BEYOND YOUR FIRST HOME?
Got a growing family and looking for more space or simply wanting an upgrade?
Buying a new home and finding a suitable loan the second time around should be even easier than your first but it’s likely a few things have changed since last time. Your income, the size of your family, additional debts will all have an impact on your upgrade but that’s where we can help.
We will walk through your situation and determine how to get the best possible result.
We know you have lots of questions. So, we’ve provided answers to the most common ones here.
Most lenders ask for 5% of the property value as a deposit but you need to factor in purchase costs like stamp duty, conveyancing and the impacts of lenders mortgage insurance (LMI). In general, the more you have saved, the more options you have and the easier the approval process becomes.
Bridging finance may be an option. It is a loan that enables you to buy a new home before your existing home is sold. It can be tricky and not without its risks, so it’s really something you need to discuss with us.
This could be your start to an investment portfolio as it is for a lot of Australians. We can look through your financials and see if this stacks up and service both loans, bearing in mind that rental income can be a contributing factor to serviceability.
While this is a slightly different scenario to buying your first home the same requirements exist when proving you can foot the bill. Your income and current debts will be a key factor and any growth in value on your current home may leave you in a better state providing you with more access to products and potential discounts. See our borrowing calculator for reference.
Variable interest rates move, normally relative to changes in official interest rates set by the Reserve Bank of Australia. A variable rate loan is beneficial when rates are on the decline. Fixed interest rates don’t move. You can fix your rate for a particular period of time, normally between 1 and 5 years. But it’s most beneficial when rates are on the rise.