FIRST HOME BUYERS
WHY IT'S IMPORTANT TO USE A BROKER?
40+ Lenders to find you the best deal
Work with you throughout your journey
100% free service
Buying your first home can be overwhelming, and this is why it is so important to have a mortgage broker on your side. We have 40+ lenders on our panel, we partner with you to guide you through the purchasing process, and best of all our service is 100% free. We are paid a commission by the bank you choose for bringing them your business.
CAN A PARENT OR FAMILY MEMBER be a GUARANTOR?
No/Low deposit with a guarantor
Get into the property market faster
If you have a parent or close family member that wants to help you succeed they can be a guarantor for your new property purchase. In doing this some lenders will allow you to purchase a property with a 0% deposit, by using your guarantor's property as security. The guarantor will be released from your loan when your loan is less than 80% of the value of the property. This can happen from either reducing your debt, or your property increasing in value – or in most cases, both happening simultaneously.
HOW MUCH OF A DEPOSIT DO I NEED TO PURCHASE
Don't forget about additional purchase costs
When purchasing a property, you will need a minimum of a 5% deposit in most cases. The deposit amount can vary between banks, so your broker can help with finding out which bank could be the best fit for you. There are other purchasing costs involved with a property, lenders charge ‘lenders mortgage insurance’ when you have less than a 20% deposit.
WHAT IS BORROWING POWER?
Your borrowing power is different with each lender
Let a mortgage broker guide you
It is important to work with a broker so they can work out how much you can afford to borrow, and which banks will want to partner with you. There are many factors that affect an individuals borrowing power, some of these are; income, living expenses, marital status, and whether you have any children.
WHY ARE LIVING EXPENSES SO IMPORTANT?
Know your cash flow
Plan in advance!
For first home buyers it is especially important to get your broker to work out exactly how much your mortgage repayments will be on any particular property so you can make a budget and ensure that you can afford to pay the mortgage. Banks currently have a strong focus on borrower's living expenses. To ensure you have a greater chance of getting a loan it is important to do your best to reduce your living expenses and cut out unnecessary expenses.
ARE THERE GRANTS/CONCESSIONS AVAILABLE FOR FIRST HOME BUYERS?
Pay no/low stamp duty