Buying your first property in 2021?

It's never been so cheap to borrow… Low rates aren’t just good news for the influx of first time buyers racing into get their first loan. This is also the right time for existing mortgage holders to capitalise on lender competition and super low interest rates. Despite interest rates dropping to historic lows, less than ten percent of mortgage holders in Australia have refinanced. That means millions of customers are paying extra interest…for no reason or benefit. That’s the definition of crazy! Especially when you have a broker like me that's here to do the heavy lifting for you. Do you know your home loan interest rate?  If no, you aren't alone. About half of surveyed home loan holders don’t know their rate! Let's talk and I can help work out the savings available. Three great reasons to refinance:

1. Leverage equity. Refinancing a home loan can allow you to free up the equity in your assets to buy another property.
2. Redeploy repayments. Lock in lower rates before they rise again, so you can choose to pay more off principal or perhaps take on a second property.
3. Better fit. This can be a great chance to consider a different product type, consolidate other debts, shave years off your loan, or access exclusive deals.

Competitive home loans are ever changing and paying extra interest on an uncompetitive loan is the price paid for not reviewing and refinancing. At the end of the day, interest is just a payment to the bank for the privilege of borrowing their money. Interest is not going towards the value of your home, so there is no benefit to paying more of it. Just to be plain. No lender will offer you a deal if you don’t ask. Let me compare over 1000s of other loans for you, and see if you can save you a $#!% tonne.

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Disclaimer: Any refinancing is subject to lender imposed terms and conditions including but not limited to loan serviceability, valuations and confirmed capacity to service both any existing and revised lending arrangements. The information provided on this site is on the understanding that it is for illustrative and discussion purposes only. Whilst all care and attention is taken in its preparation any party seeking to rely on its content or otherwise should make their own enquiries and research to ensure its relevance to your specific personal and business requirements and circumstances.

There are many moments you’ll need advice, support, suggestions and experience on your side during the journey to buying a property. One of the benefits of a broker is that we’re with you every step of the way: from the moment you consider buying, to budgeting, understanding the real estate market, securing a great loan, putting an offer in, negotiating with agents, settling and moving, revising that loan when life changes, accessing specialists like solicitors and valuers, settling in, buying future properties and eventually helping your children do the same. Here are seven non-financial ways I can help you:  

1. Suburb stats. You know where you’d like to buy, roughly. Tell me the areas you’re considering, and I will research market trends, prices, demand and opportunities. I have access to brilliant resources that inform smart decisions. What’s going on with capital growth there? Are investment yields attractive? How tight is supply, and how strategic will we need to be when making an offer? This information helps you buy intelligently.
2. Cash coach. You might not yet have reached your goals for the deposit, or you might need to prove to lenders that you’re disciplined with your dollars. I’ll create a plan for you… a realistic one… and help coach you through so that when the banks see your bottom-line they’re simply blown away by your financial skill and are happy to lend you the full amount you’re seeking.
3. Mental move. The moment you decide you’d like to buy, I’m your resource to discuss, debate, and determine the best course of action. Sometimes, the process from the initial idea to actually moving is a matter of months and sometimes it’s longer. I’m there for you from the dream to the day you park in the driveway.
4. Lifelong relationship. After moving in, interest rates might fall… I’ll be there to adjust your loan when needed. Maybe a year later, you start a family, this will change your financial situation… I’ll be there to review your loan accordingly. Two years later, you might want to buy an investment property… I’ll be there to handle your mortgage needs. And many years later, your first born might aspire to buy… I’ll be there to help them learn to budget and get their foot on the property ladder. Now, you won’t get that with a bank!
5. Agent advice. Buyers beware of the trickery you can experience when making offers and negotiating with sellers and agents. Lucky for you, I’ve been there and done that with thousands of clients. I can read the tea leaves, so to speak, and can help you secure the home of your dreams without overpaying during negotiation or auction, avoiding the typical traps along the way.
6. Inspection intel. When you view the property, I’ll help you do your own due diligence before you send in a building inspector. You can save hundreds by eliminating a property during that first impression. Simple tips like testing the plumbing in the shower for heat and pressure, checking light switches, windows and doors, and walking the block to experience the neighbourhood… how’s the traffic, how well-kept are the homes, are amenities convenient to access, is there street parking?
7. Savvy specialists. I’ve worked with solicitors, valuers, building inspectors and all of the other professionals that are required when making a purchase of property. If you need someone trustworthy and skilled for one of the steps in the process, I’m always happy to recommend or review your choices.

Reach out today with your questions, dreams, ideas and plans… Let’s do this together.

So, you’ve made the commitment: 2021 is a property-buying year! Unsurprisingly, that’s a common goal for the new year I’m hearing from clients. After all, when will rates be this low again? And with changes to lending due to occur in March, the home loan opportunities for buyers are ripe and ready for the picking. Plus, the 60 lenders I negotiate with are eager to please and ready to compete for your home loan. After making a mental commitment to buying a home, inevitably, the first thing prospective home buyers do is start window shopping online or with their local real estate agencies. And this is what you’ll probably do: you’ll look at the homes available, consider the prices, sort through the spectrum of off-the-plan to delightfully old, superbly renovated or requiring some TLC. Then you'll start to factor in what you’d be happy to go for (is a pool a necessity? Maybe not) and what is non-negotiable (a walk-in wardrobe and a dishwasher, please), and you start mentally preparing for the big buy.

Hold up! You’ve missed a step.

There’s a critical phase to house-hunting online and in the real world that puts you in a position of power. It’s called pre-approval and it’s free, lasts at least three months and gives you a clear guide on property prices in your buying range. Not having it can cause all sorts of headaches, like discovering you can’t borrow the amount you need for the property you love.

What, precisely, is pre-approval?

Put simply, it means a lender has indicated that they would be prepared to lend you a certain amount of money with which to buy property. It means you can accurately fix the settings on your property search portal to the maximum amount you’re likely to be lent. And if you did find a property you like, you’d be in a position to make an offer. You’ll also be more attractive to sellers because you’re “good to go” and you won’t make the mistake of falling in love with a $900,000 stunner when you’re likely to be lent $700,000.

Seven steps to getting pre-approval

1. Book in to see me so we can get the property party started
2. I’ll review your fiscal footprint (credit history and financial situation)
3. I’ll work out your capacity regarding repayments (how much you comfortably can afford to repay)
4. We’ll cross reference your needs with 60 banks and lenders and their various loan types
5. We’ll settle on a lender who is a good match for your plans and position
6. You’ll leave with a number to start home-hunting intelligently…
7. And that number is valid for up to half the year!

Make your resolutions a reality with pre-approval today.

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Disclaimer: This document  provides an overview or summary only and it should not be considered a comprehensive statement on any matter. You should before acting in reliance upon this information seek independent professional lending or taxation advice as appropriate specific to your objectives, financial circumstances or needs. 

After much industry-wide debate, best interests duty for mortgage brokers - the statutory obligation for me to act in the best interests of consumers and to prioritise consumers’ interest when providing credit assistance - is now law. And frankly, it’s yet another reason buyers should work with brokers and not directly with banks to secure their home loan. This new legal duty offers customers peace of mind knowing that their mortgage broker is legally required to act in their best interests. It is important for you to know (and share with your clients) that best interests duty doesn’t apply to banks. This is just one more reason I encourage you to educate your clients on the benefits of using a broker. After all, there’s a big difference between getting a home loan through a banker versus getting a loan through a broker. Yes, it’s easy to walk into a bank to ask for a loan… but there are at least 6 reasons why it makes more sense to get a broker, like me, on the team. 1. PRIORITY - I am legally bound to put the buyer’s best interests first 2. FOCUS - I work for the buyer, not for the bottom line of a bank 3. CHOICE -  I’ll compare plenty of rates, lenders, and terms 4. NO FEES* -  I come at no cost to the buyer for my service and expertise 5. READY - I’m available to the buyer all the time; online or in person 6. LOYAL - I’ll be there for the long haul to review their loan and support their future plans Especially for first home buyers, having a finance expert who is invested in their journey can be crucial to making the home ownership dream come true. *There may be occasions where you may be charged a fee by your broker

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This document provides an overview or summary only and it should not be considered a comprehensive statement on any matter. You should before acting in reliance upon this information seek independent professional lending or taxation advice as appropriate specific to your objectives, financial circumstances or needs.