Next Home Buyers

Looking to upsize or downsize?

Whatever size, let’s make it your best move yet.

If you’ve been thinking about your next move in the property market, you’ve come to the right place

  • We help you secure finance to purchase your next home

  • We provide you real choice, looking to find you the the most suitable loan

  • We work with multiple banks which means you have access to hundreds of products, instead of being limited to one bank’s product offerings.

  • We negotiate & liaise with the bank on your behalf (no sitting on the phone for hours on end!)

  • We do the hard work for you from start to finish, so you can focus on other, more exciting things!

Man on computer researching a variety of services offered - first home buyer, home buyer, construction loans, investment loans and refinancing.

Avenues you can explore when purchasing your next property

Sell your current property: You can sell your current property and use the funds from the sale as a deposit on your next home. This assumes you have paid off a portion of your loan and that the value of your property has increased.

Turn your current property into an investment: Instead of selling, you could potentially keep your current property and turn it into an investment by renting it out. This can provide rental income that you can use to help finance the purchase of your next home. It’s like having your current property work for you as you move into your new one.

Use the equity in your current property: Another option is to leverage the equity in your current property to purchase your next property. This involves refinancing your current mortgage or taking out a home equity loan or line of credit. Essentially, you’re borrowing against the value of your current property to obtain funds for the purchase of the next one.

Every individual’s circumstances are different and the above scenarios may not be suitable for everyone. Our role as your broker is to review your financial position and provide you the most suitable options.

We have access to more than 60 lenders including major banks, second tier & private lenders

Meaning we will find you the options that best suit your needs. Each lender has different application requirements, ever changing policy and risk appetites, so it pays to work with an experienced mortgage broker to find the right fit.

Broker vs. Bank — Who should you choose?

The alternative to working with a Finance Broker is to go directly to a bank. However, you are then restricted to that bank’s specific loan products, interest rates and policies.

This could result in missed opportunities for you for potentially better (lower) rates or products available from other banks, as well as limited flexibility in customising the loan to fit your specific needs.

As your Brokers, we have access to multiple banks, which means we will present you with multiple loan options tailored to you, rather than favouring any single bank’s interests or products. Once the options are presented to you, you can then select your preferred bank, and don’t worry, we will provide you with guidance and recommendations to make this decision!

Questions?

We have answers.

A mortgage broker (also known as a finance broker) is a licensed professional who serves as an intermediary between borrowers and lenders. They assess the financial circumstances of borrowers and connect them with suitable mortgage products offered by various lenders. Brokers facilitate the mortgage application process, offering personalised guidance and assistance to help clients secure competitive loan terms tailored to their needs.

Absolutely! By reaching out to a broker early in the process, you gain access to expert advice tailored to your unique financial situation. They can evaluate your current mortgage, income, expenses, and credit score to provide a clear understanding of your financial position. Armed with this knowledge, you’ll have a realistic assessment of how much you can afford to borrow, enabling you to establish a solid budget for your next home.

$0. Our services come at no cost to you – This is because we are paid a commission by the bank of your choice once your loan has settled. This means you benefit from our expertise and support without an additional out-of-pocket expense.

In the (very) rare event that a fee-for-service is required, we will notify you upfront.

Equity refers to the difference between the current market value of a property and the outstanding balance on any loans secured against it. It represents the portion of the property that you own outright. You can leverage equity for property financing by using it as a deposit for a new property purchase. Lenders often allow borrowers to borrow against their equity, provided they meet certain criteria.

Deciding whether to retain your current property as an investment depends on factors like your financial goals, market conditions, rental market dynamics, tax implications, and personal preferences regarding property management. Assessing these considerations can help you determine if keeping your property as an investment aligns with your objectives and financial situation.

Here is a list of some of the docs required to apply for a home loan (But don’t worry, we’ll guide you through as these documents are required throughout the process!)

• Proof of identity: Valid driver’s license, passport, or government-issued ID.
• Proof of income: Recent payslips, tax returns, and employment contracts.
• Bank statements: Typically covering the last 3-6 months to verify savings and financial stability.
• Employment details: Confirmation of employment from your employer, including length of employment and salary.
• Proof of address: Utility bills, rental agreements, or other official documents showing your current residence.
• Property documents: Contract of sale, property valuation report, and any related documents from the seller.
• Financial details: Details of assets (e.g., savings, investments) and liabilities (e.g., debts, loans).
• Credit history: Your credit report, providing insight into your borrowing and repayment history.
• Other income sources: Documentation for additional income sources, such as rental income or investments.
• Any additional documents requested by the lender to support the loan application.

Finance Terminology & Jargon

Explained. Simply.

A lender is an institution that provides funds to borrowers (that’s you) with the expectation of repayment. In the context of mortgages, lenders typically include banks, credit unions, mortgage companies, and other financial institutions.

An interest rate is the percentage charged by a lender to a borrower for the use of borrowed funds, expressed as a proportion of the principal loan amount. The interest rate directly impacts the total amount of interest paid over the life of the loan, thus influencing the overall cost of borrowing.

Interest rates can be fixed, meaning they remain constant throughout the loan term, or variable, meaning they can fluctuate based on market conditions.

Borrowers with higher credit scores and stronger financial profiles typically qualify for lower interest rates, while those with lower credit scores may be offered higher rates to compensate for the increased risk to the lender.

A  product refers to a specific loan or financial product. Products include different features such as fixed or variable interest rates, loan terms, repayment options, and additional benefits like offset accounts or redraw facilities.

Products are designed to accommodate borrowers, from first-time homebuyers to property investors.

Understanding the features and terms of different lender products is essential for borrowers when comparing options and selecting the most suitable loan for their individual circumstances (*hint hint*, that’s where we come in – we help you compare and understand the most suitable product for you).

Borrowing capacity refers to the maximum amount of money a lender is willing to lend to you based on your financial circumstances, including income, expenses, assets, liabilities, and credit history.

Lenders assess borrowing capacity to determine the amount they are comfortable lending to borrowers while ensuring they can comfortably meet their loan repayments. Understanding your borrowing capacity is essential when considering buying a home, as it helps you determine a realistic budget and choose loan options that align with your financial goals and capabilities.

Serviceability refers to your ability to comfortably meet your loan repayments based on your income and financial commitments.

Lenders assess serviceability by comparing a borrower’s income to their existing expenses, including living costs, debts, and other financial obligations. The goal is to ensure that borrowers have sufficient income to cover their loan repayments without experiencing financial hardship.

Ultimately, demonstrating strong serviceability increases the likelihood of loan approval and provides confidence to both borrowers and lenders in managing their financial obligations responsibly.

Lenders Mortgage Insurance (LMI) is a type of insurance that protects lenders in the event that a borrower defaults on their mortgage loan and the sale of the property doesn’t cover the outstanding loan balance. It is typically required for home loans where the borrower has a deposit of less than 20% of the property’s purchase price. LMI allows borrowers with smaller deposits to access home loans, as it mitigates the risk for lenders by providing a financial guarantee against potential losses. The cost of LMI is usually paid by the borrower and can be included as part of the loan or paid upfront. It’s important to note that LMI solely benefits the lender and does not provide any coverage or protection for the borrower.

Stamp duty, also known as transfer duty or conveyance duty, is a tax levied by state and territory governments in Australia on the sale or transfer of certain assets, including real estate properties. The amount of stamp duty payable is typically calculated as a percentage of the property’s purchase price or market value and varies depending on factors such as the property’s location, type, and value. Stamp duty is payable by the buyer and must be paid within a specified timeframe after the property transaction is completed. It’s an essential consideration for homebuyers as part of the overall cost of purchasing a property.

A fixed-rate mortgage is a type of loan where the interest rate remains constant for an agreed-upon period, usually between one to five years. This means that your repayments remain the same each month, providing certainty and stability. In contrast, a variable-rate mortgage has an interest rate that can fluctuate over time in response to changes in the market. Variable-rate mortgages may offer flexibility and the potential for lower interest rates initially but can result in fluctuations in repayment amounts over the loan term.

Principal & Interest (P&I) refers to the two components of a mortgage repayment. The principal portion of the repayment goes towards paying down the original loan amount, while the interest portion covers the cost of borrowing money.

In the early years of a mortgage, a larger proportion of the repayment goes towards paying interest, with the principal portion gradually increasing over time. This results in a gradual reduction of the loan balance. P&I repayments ensure that the loan is fully repaid by the end of the loan term.

Loan-to-Value Ratio (LVR) is a financial term used by lenders to assess the risk of a mortgage loan. It represents the ratio of the loan amount to the appraised value or purchase price of the property, expressed as a percentage.

For example, if you’re buying a property valued at $400,000 and you’re borrowing $320,000, your LVR would be 80% ($320,000 / $400,000 * 100).

LVR is an important factor for lenders because it helps them determine the level of risk associated with the loan. Generally, the lower the LVR, the less risk for the lender, as there is more equity in the property. Borrowers with lower LVRs may be eligible for lower interest rates and may not be required to pay Lenders Mortgage Insurance (LMI).

Ready to buy your next property?

We understand you don’t live and breathe finance like we do; so it’s natural to have questions about how it all works.