How much deposit do I need?
Typically, you are required to show savings over a 3-month period of genuine savings, and show a minimum of 5% equity of the value of the property. However, as mortgage brokers we have access to a wide range of lenders including low deposit home loans and in some cases you may qualify for this type of loan.
If you meet the criteria for a Low deposit home loan, you are only requiring you to show a 2% deposit plus some purchase costs in order to apply. Your mortgage broker can complete a preliminary assessment for you which will show you how much money you will need to qualify.
How do I find out if I qualify for a home loan?
Talk to us today to see if we can help you (direct them to call a broker) or complete the detailed enquiry form.
What documents do need when applying?
Talk to us today, as every lenders requirement are different we will advise you what documents the lender requires. As a general rule for full documentation loans, lenders usually require 2 forms of employment documents, they may include your tax return, group certificate and payslips. For Alternative document loans usually for self-employed applicants, bank statements and Business Activity Statements are usually required. But contact us to see exactly what the lenders’ requirements are for the loan you are applying for.
What is the First Home Owner Grant?
This is a one-off payment to help first home buyers to assist them purchase a residential property as the principal place of residence. You may qualify for the grant if you are purchasing an established property or building a new home. The Grant has eligibility requirements, so please contact us to discuss them and your possible eligibility. You may also access a copy of the FHBG on our finance Resources page.
What other grants am I eligible for in WA? You may also qualify for a another grant if you are purchasing your first home for residential home as your principal place of business, the grant allows for up to $2,000 paid for incidental purchase expenses paid for homes purchased through a licenced real estate agent. Contact us for more information (direct them to call a broker) or complete the detailed finance enquiry form.
What's the difference between a fixed and variable rate?
A Variable rate is a floating rate and can move up and down depending on market cycles. A fixed rate can offer you security in knowing what your repayments are going to be, for example a 3-year fixed rate products’ repayment will not change over that 3-year period.
How does a Mortgage Broker get paid?
We are usually remunerated by the lender, unless otherwise advised to you in writing in advance. All fees and charges we are likely to be paid are disclosed to you in our disclosure documents on application.
What does a Mortgage Broker do?
We are accredited with a wide range of banks, credit unions and lending institutions to help you sift through the large number of home loans products available in today’s market. We go through all the features and benefits our lenders products offer, making sure you find the home loan that will work hardest for you.
What is LMI?
Lenders Mortgage Insurance is a one-off insurance payment which is a mandatory requirement for loans over 80% value of the property or security. The insurance premium is paid at settlement in order to protect the lender from default or loss.
How much is Mortgage Insurance?
The fee is dependent upon Loan Amount and Loan to Value Ratio. The costs will vary however most lenders will allow the costs to be added to the base loan amount, therefore it is repaid a part of the home loan repayment over the specified loan term. Generally, Lenders mortgage insurance can be avoided by having a 20% deposit.
What is LVR?
Loan to Value Ratio basically the total loan amount including any capitalised LMI divided by the security or purchase amount.
What is a loan protection plan?
If you get sick and cannot repay your home loan and have a ALI Mortgage Protection Plan, you may be able to make a claim to help repay part or the whole loan amount you borrowed. We are accredited to provide ALI Loan Protection Plan as part of our home process ensuring our duty of care to our clients are met.
What is borrowing capacity?
Your borrowing capacity is based on you the number of people who currently depend on you, in your household and your outgoings such as monthly expenses and commitments such as credit cards, other mortgages repayments and personal loans. Whats left over is the amount lenders calculate the applicants potential borrowing capacity on. To find out your borrowing capacity try our borrowing capacity calculator. See Calculators
How long does it take to buy a property?
The process is usually takes about 6-8 weeks depending on varying factors. Whether the property is vacant, a mortgage exists on the property, etc.
What other costs are involved in a property purchase?
For more details on additional costs in a property purchase see our Purchase calculator.