First Home Buyer

This is one of the most important thing you can do as a first-time home buyer. Although it is not always easy to get into the property market, it may be more expensive to stay out of it. That said, there are pros and cons for both. Being a homeowner is tremendously rewarding, but it comes with responsibilities. Have a think about the pros and cons of buying vs renting to make sure you’re taking the right step.

Next, think about your budget. Before applying for a home loan, you need to work out a budget. Once the difference between what you earn and what you spend is calculated, you will soon have a clearer picture of your disposable income. 

Use our Online calculators to work out how much you can borrow, what deposit you’ll need, what your monthly repayments will be, and how this fit with your current earnings and expenses.

If you need to borrow more than 80% of the total value of the property, most lenders will require you to take Lenders Mortgage Insurance (LMI). The amount varies, and it protects only the lender if you are unable to repay the loan – not you.

There is also stamp duty, which is a state tax on property purchases. The amount of stamp duty that is payable varies state by state, so be sure to use a Stamp Duty Calculator to estimate what yours will be.

Approaching the bank directly is not always beneficial. You will only receive financial advice and home loan options from that lender, and won’t be offered the same variety and choice that an expert broker can provide. Given mortgage brokers offer home loans from a variety of lenders, including the big banks, the mortgage broker process is much like having a bank search engine highlighting the best solutions on the market.

Our expert mortgage brokers will get to know you and understand your property ownership goals, both now and in the future. Both are just as important, so they make sure any decisions made now won’t hinder you from achieving future plans. 

The individual circumstances determine the type of loan that is right for you. Whether you want security of fixed rates or want the flexibility of variable rates. Or you wish to keep paying Principal payments into the loan or want to pay only interest for some time to keep your budget in control. We will be there to advice you on pros and cons of all the features and products the banks have to offer. 

We have hundreds of products across many Australian financial situations. We will help you compare these products on your behalf to secure the best possible home loan for you. 

Lenders will look at several factors when they assess your suitability for a loan, such as your ability to make the repayments, the stability of your employment and the quality of the security (property you are buying). For instance, if you have recently had maternity leave or you are self-employed, this could create a more complicated loan application, hence you need an expert advisor to direct you towards the right bank or lender that has policies best suited to your situation.

Remember, paying off all your debts and establishing a good savings history are also important steps for a first home buyer. If you do not know your credit score, be sure to check it, and keep it up by setting a budget and always paying your bills on time. If you clear all the hurdles, you will be eligible for a loan preapproval. 

We, at TLIH, are here to help you in the buying process from pre-approval right through to settlement of your purchase. With the right approach, you will build your confidence as you look for a home to call your own.