First Home Buyers
There are a few ways on how to obtain your first home. We cover most of it here, but there may be some other unique circumstances that we may be able to help you, by knowing your personal circumstances.
Main issues for First Home buyers:
- Tips on saving for a deposit
- What is the government grant?
- What do lenders look for?
- How we can help
1.Tips For saving a deposit
Deposit required depends on lender type & loan selected. Owner occupied is generally 10%.
- Amount of money sit in the bank in your name for 3 Month
- Progressive savings (best in separate account) – 5% of purchase price.
- Get rid of Credit Card debt
- Parents can help out with deposit also (see us about it)
- If you can sell an item and show the records like shares, car, etc
- Mortgage insurance (LMI) insist on 5% genuine savings (money in the bank) – there are also lenders that would lend without genuine deposit.
- If you are paying rent, that may be taken into account, but you still need 5%
2. The First Home Owners Grant
FHOG (First Home Owners Grant) was established when GST was introduced to help people obtain their first home. It is not mean tested, but it requires that you have not obtained any home beforehand in Australia. There are few other requirements, which you can find in our website under “Links”, which takes you straight to Vic. Gov. Grants!
- We process your FHOG on your behalf if we fill out mortgage application.
- Grant is also available on packaged deal, not on land alone.
- There are different sums for new construction, compared to established home.
- There is also extra sum for regional centres, but be careful about city and high rise apartments. Check with us first.
FHOG (Note: always check for latest issue with the government)
3. What do the Lenders look for?
Ability to pay the loan (called serviceability)
Work stability and saving history
Type of security (as mentioned above, be careful about type of property)
- Credit history (CRA)
Credit history – Veda, Dunn & Bradstreet, You also need to meet banks lending criteria
4. How we can help
We help you obtain best loan with our panel of lenders, and do all the work for you. You save time and money with one point of call. We manage your loan application from start to finish, by providing you with options according to your goals, so you have peace of mind. We do not charge you fee, as we get paid by the lender.
NOTE: If you still do not fit into above conditions, give us a call.
There may be some other issues we may help you with, when we know your personal circumstances.