LMI is a one-off, upfront insurance premium that is generally payable when you borrow more than 80% of the property value. It does not protect you as a borrower. It protects the lender in the event that you default on the loan, and they have a shortfall in funds after selling the property.

The purchase price will consist of the loan and other amounts provided by the Superannuation Fund.

There are so many things in life to think about these days! Insurance however is not always top of mind.

If you are considering buying a smaller apartment, lenders and mortgage insurance companies have restrictions on what sort of apartments and developments they will accept as security for loans.

A loan pre-approval is written confirmation that a lender has reviewed you and your current financial position and is prepared to lend you money up to the pre-approved loan amount.

An auction is conducted in public on a date set by the vendor. If you intend to make a bid, you or your representative will have to attend the auction to make an offer. You will win the auction if you’ve offered the highest bid above the vendor’s reserve price. If all bids are under the vendor’s asking price, the property is “passed in” and the auction is finished. Private negotiations will then usually take place with the auction’s highest bidders.

A fixed rate loan means that for a set period of time the interest rate that you pay, and therefore your monthly repayments, remain the same.

The time frame is commonly 1 to 5 years, however longer terms are available.

Debt consolidation is where you increase or re-finance your home loan and use the funds to payout credit card, personal loan or car loan debt

Every lender has their own terms and conditions, and this is intended only as a general guide to understanding this topic. Contact us to discuss your individual circumstances. A construction loan operates slightly differently to a standard home loan. Construction funds from the loan are progressively drawn down at each stage of construction, as detailed […]

Finding a property can be a challenge, especially when you have so many different considerations to take into account. Give yourself a head start through determining your ‘must have’ features compared to those you could possibly live without.