At Wealthy You, we have mortgage brokers who are experts in every field. Furthermore, they are legally required to operate in your best interests. This implies that they will evaluate your financial status and recommend loan products that are appropriate for you.
Our skilled brokers consistently respond to consumers’ most frequently asked home loan questions. Check them out to receive all the information you require.
1. What Is The Maximum Amount I Can Borrow and What Interest Rate Am I Eligible For?
Some of the same characteristics influence the interest rates a lender will offer you and the quantity you can borrow. The official Interest rates are influenced by the RBA’s official cash rate as well as the rates and lending policies of individual lenders. The better the rates lenders will provide you, the stronger your house loan application. The strength of your loan application is determined by the amount of deposit you have available, your Loan-to-Value Ratio (LVR, the lower the better), your credit rating, and other variables.
The RBA’s choices also have an impact on how much you can borrow. Your serviceability – your ability to repay the loan – will be evaluated by the lender. greater interest rates imply greater repayments, and the more the rates go up, the less you’ll be able to borrow. Other factors lender will check is your serviceability include your credit history, income and expenses. Check your borrowing capacity in our borrowing capacity calculator.
2. What Refinance Or First-Buyer Cashback Can I Get?
Lenders may offer cashbacks incentives to those who will refinance. The cashback amount will depend on every lender and it varies on the amount you are refinancing.
3. How would I know if I have Equity in my Home?
This question is common for those homeowners who are curious about the current value of their home/investment properties, and how much equity they have built over time. Equity is the difference between the market value of your home and the amount you owe on your mortgage. To determine how much equity you have, you can contact the property agent to conduct appraisal or contact us to get you a valuation report.
4. What Government Grants Are Available? Can I Qualify For Any?
As of 2023, some of the major national government schemes for first-home buyers include the Help to Buy Scheme, First Home Guarantee (previously known as First Home Loan Deposit Scheme), Family Home Guarantee, Regional First Home Buyer Support Scheme, and the First Home Super Saver Scheme. Eligibility for these schemes can depend on various factors, including your income, the property’s value, the location of the property and whether you are a first-home buyer.
5. I Have Recently Been Employed. Do I Need To Be Three Months In This Job To Be Eligible For A Home Loan?
Before accepting an application for a home loan, many lenders prefer to see at least three months of continuous work in the same position or industry. However, if you can demonstrate a strong employment history and steadiness, some lenders may consider less than three months. It is crucial to remember that each lender has its own set of criteria for evaluating loan applications, and satisfying the employment criterion does not guarantee acceptance.
7. Can I Buy/Build Property On A Temporary Visa?
In most circumstances, temporary visa holders will have to pay additional costs on top of the property purchase, such as foreign buyer surcharges and stamp duty. Before considering your application, certain lenders may need you to have a specific type of visa and a minimum length remaining on your visa. You might also require FIRB approval. Some temporary visa holders may lack the necessary deposit to purchase a home. In such circumstances, a mortgage broker can assist clients with a ‘prepare to buy’ strategy.
8. Should I Go For Fixed Or Variable?
Your financial goals and current interest rate trends will determine whether a fixed or variable interest rate is ideal for you. A fixed interest rate provides repayment certainty, whereas a variable interest rate allows you to gain if interest rates decline. Furthermore, variable-rate mortgages frequently allow for unlimited extra mortgage repayments, whereas fixed-rate mortgages normally allow for no more than $5K-$10K per year.
9. Can I Apply For A Loan If My Part IX Debt Has Been Discharged?
If you have had your Part IX obligation dismissed, you may still be eligible for a loan, including a land and construction loan. It is crucial to realise, however, that you may face higher interest rates and fewer lender possibilities. In most circumstances, professional lenders are the only ones who will make loans to those who have a history of debt discharge.
10. Can I Get A Cheaper Rate As A Foreign Investor?
No, you may wind up paying greater interest rates as a foreign investor than Australian citizens and permanent residents. The Australian government levies additional fees and taxes on foreign property investors, which can make obtaining a mortgage more expensive.
Talk To An Expert!
Do you need expert advice on house loans or have questions about the process? Please do not hesitate to contact Wealthy You! We will be with you every step of the way.
Call us on 02 7900 3288 or enquire online for free and let us help you achieve your dream of owning a home.