General Home Loan Questions
What is a mortgage, and how does it work?
A mortgage is a type of loan specifically designed for purchasing property. You borrow money from a lender to buy a home, and in return, you agree to repay the loan (plus interest) over a set period, typically 25-30 years. The property serves as collateral, meaning the lender can sell it if you fail to repay the loan.
How much can I borrow for a home loan?
The amount you can borrow depends on factors like your income, expenses, credit score, and the deposit you’ve saved. Lenders also consider your employment history and existing debts. Use our borrowing power calculator or speak to us for a personalised assessment.
What is the difference between a variable rate and a fixed rate home loan?
A variable rate loan means the interest rate can change over time, often in response to market conditions. This can result in fluctuating repayments. A fixed rate loan locks in your interest rate for a set period (usually 1-5 years), offering consistent repayments. Each option has pros and cons, depending on your needs.
What is a comparison rate, and why is it important?
A comparison rate combines the loan’s interest rate with most fees and charges to give you a more accurate picture of the loan’s true cost. It’s helpful for comparing loans from different lenders to ensure you’re getting a good deal.
What are the different types of home loans available?
Home loans come in various forms, including:
- Owner-occupied loans: For living in the property.
- Investment loans: For purchasing rental properties.
- Principal and interest loans: You pay both the loan amount and interest.
- Interest-only loans: You pay only the interest for a set time (common for investors).
- Fixed, variable, and split loans: Offering different levels of repayment flexibility
What documents do I need to apply for a home loan?
Typically, you’ll need:
- Proof of identity (passport, driver’s licence).
- Proof of income (pay slips, tax returns for the self-employed).
- Bank statements showing savings and expenses.
- Details of assets (e.g., car, shares) and liabilities (e.g., credit cards, loans).
A dedicated broker can guide you through this process.
How does the home loan application process work?
The process includes:
-
- Pre-approval: Determine your borrowing capacity.
- Property search: Find a property within your budget.
- Formal application: Submit documents to the lender.
- Assessment: The lender evaluates your finances.
- Approval: Once approved, you’ll receive a loan offer.
- Settlement: The loan funds are transferred, and you take ownership of the property.
At Own Home Loans, we handle the hard parts so you can focus on your new home.
First-Home Buyers
What is the First Home Owner Grant (FHOG), and how do I apply?
The First Home Owner Grant (FHOG) is a government initiative to help eligible first-time buyers purchase their first home. The grant amount and eligibility criteria vary by state or territory, but generally, it’s available for newly built homes or homes that have been substantially renovated. You can apply through your lender or directly with your state revenue office.
What is Lenders Mortgage Insurance (LMI), and do I need to pay it?
LMI is an insurance that protects the lender if you default on your loan. It’s required if your deposit is less than 20% of the property’s value. While it’s a significant cost, LMI enables many buyers to enter the property market sooner. We can help you calculate if LMI applies and explore options to reduce it.
How much deposit do I need to buy my first home?
Generally, lenders require at least a 5% deposit of the property’s value. However, a larger deposit (e.g., 20%) can help you avoid LMI and reduce your loan repayments. Some government schemes, like the First Home Loan Deposit Scheme, can assist in buying with a smaller deposit.
What government schemes or incentives are available for first-home buyers in Australia?
There are several incentives to assist first-home buyers, including:
- The First Home Owner Grant (FHOG).
- Stamp duty concessions or exemptions.
- The First Home Guarantee (FHBG) to buy with as little as a 5% deposit.
- Super Saver Scheme, which allows you to use some superannuation savings for a deposit.
We stay updated on these programs to ensure you benefit from any you’re eligible for.
Should I buy a home or keep renting?
This depends on your financial goals, lifestyle, and market conditions. Buying can build equity and provide stability, but it comes with responsibilities like maintenance and ongoing costs. Renting offers flexibility and potentially lower monthly expenses but doesn’t contribute to long-term wealth. Our team can help you assess your situation to make the right decision.
Refinancing
When is the right time to refinance my home loan?
Refinancing is a good idea if:
- Interest rates have dropped.
- Your financial situation has changed.
- You want to access equity for renovations or investments.
- Your current loan no longer suits your needs.
Regular loan health checks can help you decide if refinancing is beneficial.
What are the costs involved in refinancing?
Refinancing costs may include:
- Exit fees (for some older loans).
- Loan application fees for the new lender.
- Valuation and settlement fees.
- Government charges for changing titles.
However, the potential savings often outweigh these costs. We can provide a detailed cost-benefit analysis for your situation.
How much money could I save by refinancing?
Savings depend on your current interest rate, loan size, and the new loan terms. Even a small reduction in your interest rate can save thousands over the life of the loan. We’ll run the numbers and show you how much you can save.
What’s the difference between refinancing and a loan top-up?
Refinancing involves replacing your current loan with a new one, potentially with better terms or a different lender. A loan top-up increases the amount borrowed on your existing loan, often to fund renovations or other expenses. We can help determine which option suits your needs.
Can I refinance if I have bad credit?
Refinancing with bad credit is possible, but options may be limited. Specialist lenders offer solutions, though interest rates may be higher. We’ll work with you to explore the best options and improve your financial standing for better rates in the future.
Property Investment
How do investment home loans differ from owner-occupied loans?
Investment loans are designed for properties intended to generate rental income. They often have higher interest rates than owner-occupied loans because they are considered higher risk. Additionally, tax benefits like negative gearing may apply to investment loans, but not to owner-occupied loans.
What is negative gearing, and how does it work?
Negative gearing occurs when the income from your investment property is less than the costs of owning it (e.g., loan repayments, maintenance). The loss can be offset against your taxable income, reducing your tax bill. It’s a strategy commonly used by Australian property investors.
How do I calculate the return on investment for a property?
Return on investment (ROI) is calculated by dividing your annual net profit (income minus expenses) by your total investment cost, then multiplying by 100. For example, if your property generates $10,000 in profit annually and you invested $200,000, your ROI is 5%.
Can I use equity from my existing home to buy an investment property?
Yes, equity is the difference between your property’s value and the remaining mortgage. You can access this equity to use as a deposit for an investment property, reducing the need for upfront savings. Speak to us to learn how much equity you can access.
What is an interest-only loan, and is it suitable for investors?
An interest-only loan allows you to pay just the interest for a set period (usually 1–5 years), lowering your initial repayments. It’s popular with investors who aim to maximise cash flow or leverage negative gearing benefits. However, it’s important to consider the higher repayments when the loan reverts to principal and interest.
Loan Features
What is an offset account, and how does it work?
An offset account is a transaction account linked to your home loan. The money in the account reduces the balance on which interest is calculated, saving you interest over time. For example, if you have $20,000 in your offset account and a $300,000 loan, you’ll only pay interest on $280,000.
What are the benefits of making extra repayments?
Extra repayments can reduce your loan balance faster, saving you interest and potentially shortening your loan term. Many lenders allow extra repayments without penalties, especially on variable-rate loans.
What is redraw, and how does it differ from an offset account?
A redraw facility allows you to access extra repayments you’ve made on your loan. Unlike an offset account, funds in a redraw may not be as easily accessible, and some lenders charge fees or set limits on redraws. Both tools can help save on interest, depending on your financial goals.
Can I split my home loan between fixed and variable rates?
Yes, a split loan allows you to divide your loan into fixed and variable portions. This provides the stability of a fixed rate and the flexibility of a variable rate. It’s a popular choice for borrowers who want to balance certainty and potential savings.
What is a loan pre-approval, and how long does it last?
A loan pre-approval is an indication from a lender of how much you can borrow, subject to final checks. It gives you confidence when house hunting. Most pre-approvals are valid for 3–6 months, depending on the lender. We can guide you through the process to get pre-approved.
Car and Equipment Finance (New Offering)
Can I finance a car or equipment through Own Home Loans?
Yes, we now offer car and equipment finance in addition to home loans. Whether you’re looking to buy a personal vehicle or need equipment for your business, we can help you find competitive finance options tailored to your needs.
What’s the difference between a personal loan and car finance?
Car finance is a secured loan where the vehicle serves as collateral, often resulting in lower interest rates compared to personal loans. Personal loans, on the other hand, are usually unsecured and can be used for various purposes, not just a car purchase.
What is a novated lease, and how does it work?
A novated lease is a salary packaging arrangement where your employer deducts car payments from your pre-tax income. It’s a tax-effective way to finance a vehicle and is popular with employees looking to reduce their taxable income.
Can I use car finance for a second-hand vehicle?
Yes, many lenders offer car finance for second-hand vehicles, though eligibility and terms may vary depending on the car’s age and condition. We can help you explore the best options for financing a second-hand vehicle.
Are there tax benefits to financing equipment for my business?
Yes, equipment finance may offer tax benefits, such as claiming depreciation or deducting interest payments. We recommend speaking with your accountant to fully understand the tax advantages based on your specific circumstances.
Financial Hardship
What should I do if I can’t make my home loan repayments?
If you’re struggling to make repayments, contact us or your lender immediately. Most lenders have financial hardship teams that can assist with temporary repayment relief, such as reduced payments or a repayment pause. We can guide you through the process.
Can I defer my repayments if I’m experiencing financial hardship?
Yes, many lenders offer repayment deferrals or payment plans for borrowers experiencing genuine hardship. This could include illness, unemployment, or other unforeseen circumstances. Let us know, and we can help you communicate with your lender.
What happens if I default on my loan?
Defaulting occurs if you miss repayments without arranging support. This can lead to penalties, a negative credit report, or even repossession of your property. It’s essential to act quickly and seek help if you’re at risk of defaulting.
Are there support programs available for struggling homeowners?
Yes, several government and non-profit programs assist struggling homeowners, including financial counselling services. We can help connect you with these resources or explore options with your lender to ease financial pressure.
How can Own Home Loans help if I’m facing financial difficulties?
We offer personalised advice and advocate on your behalf with lenders to find solutions, such as restructuring your loan or accessing hardship provisions. You don’t have to navigate tough times alone—we’re here to support you.
Working with Own Home Loans
Why should I use a mortgage broker instead of going directly to the bank?
A mortgage broker works for you, not the bank. We compare loans from multiple lenders to find the best option for your needs, saving you time and potentially thousands of dollars. Plus, we handle the paperwork, making the process seamless.
How does Own Home Loans compare with other mortgage brokers?
At Own Home Loans, we pride ourselves on a personalised approach. We take the time to understand your goals, offer transparent advice, and provide ongoing support well beyond settlement. Our success is built on long-term relationships, not just transactions.
What does Own Home Loans charge for its services?
Our services are typically free for borrowers, as we’re paid a commission by the lender when your loan settles. Rest assured, this doesn’t affect the interest rate you receive, and we’re committed to finding the best deal for you.
What happens after I settle on a home loan with Own Home Loans?
Our relationship doesn’t end at settlement. We conduct regular loan reviews to ensure your loan remains competitive, provide support with refinancing or accessing equity, and are always available to answer your questions.
How can Own Home Loans help me if I want to invest in property?
We specialise in property investment strategies. From securing the right loan to accessing equity and structuring your finances tax-effectively, we’ll work closely with you to build a successful property portfolio.
Special Circumstances
Can I get a home loan if I’m self-employed?
Yes, self-employed borrowers can get home loans, but the process may differ slightly. Lenders typically require additional documentation, such as two years of tax returns, business activity statements (BAS), and profit-and-loss statements. We specialise in helping self-employed clients secure loans that suit their unique financial circumstances.
Can I get a home loan with a low credit score?
A low credit score doesn’t necessarily disqualify you from getting a home loan. Some lenders offer solutions for borrowers with less-than-perfect credit, though the interest rates and terms may vary. We’ll guide you through your options and work towards improving your credit profile where possible.
How do guarantor home loans work?
A guarantor home loan allows a close relative, usually a parent, to use their property as security for your loan. This can help you buy a home with a smaller deposit and avoid Lenders Mortgage Insurance (LMI). It’s important to understand the risks for both you and the guarantor—our team can explain these in detail.
Can I buy a home if I’m on a visa in Australia?
Yes, many lenders provide home loans for visa holders, though eligibility depends on your visa type and conditions. Additional requirements, like larger deposits or Foreign Investment Review Board (FIRB) approval, may apply. We can help you navigate these requirements and find the right loan.
What’s the best way to finance a house and land package?
Financing a house and land package typically involves a construction loan, which allows you to draw funds as each building stage is completed. This type of loan can differ from standard home loans. We’ll guide you through the process to ensure your finances are structured correctly.
Ongoing Support
How often should I review my home loan?
It’s a good idea to review your home loan every 1–2 years or whenever your circumstances change (e.g., income, interest rates, or financial goals). Regular reviews ensure your loan remains competitive and aligned with your needs.
What’s involved in a home loan health check?
A home loan health check evaluates your current loan to determine if it’s still the best option. We look at your interest rate, fees, features, and other lenders’ offerings. If we find a better deal, we’ll help you refinance seamlessly.
Can Own Home Loans help with my existing loan, even if they didn’t arrange it?
Absolutely! We’re happy to review any loan, whether it was arranged through us or another broker. Our goal is to ensure you’re always on the most competitive and suitable loan for your needs.
How does Own Home Loans help with refinancing or switching lenders?
Refinancing can be complex, but we make it easy. From assessing your options to handling all the paperwork, we take care of everything. We also work to minimise costs, ensuring the process delivers maximum savings for you.
What should I do if my interest rate increases?
If your interest rate rises, don’t panic. Contact us to explore your options, which may include negotiating with your current lender, refinancing to a lower rate, or adjusting your repayments. Acting quickly can help minimise the impact on your finances.
- FAQ's
-
General Home Loan Questions
What is a mortgage, and how does it work?
A mortgage is a type of loan specifically designed for purchasing property. You borrow money from a lender to buy a home, and in return, you agree to repay the loan (plus interest) over a set period, typically 25-30 years. The property serves as collateral, meaning the lender can sell it if you fail to repay the loan.
How much can I borrow for a home loan?
The amount you can borrow depends on factors like your income, expenses, credit score, and the deposit you’ve saved. Lenders also consider your employment history and existing debts. Use our borrowing power calculator or speak to us for a personalised assessment.
What is the difference between a variable rate and a fixed rate home loan?
A variable rate loan means the interest rate can change over time, often in response to market conditions. This can result in fluctuating repayments. A fixed rate loan locks in your interest rate for a set period (usually 1-5 years), offering consistent repayments. Each option has pros and cons, depending on your needs.
What is a comparison rate, and why is it important?
A comparison rate combines the loan’s interest rate with most fees and charges to give you a more accurate picture of the loan’s true cost. It’s helpful for comparing loans from different lenders to ensure you’re getting a good deal.
What are the different types of home loans available?
Home loans come in various forms, including:
- Owner-occupied loans: For living in the property.
- Investment loans: For purchasing rental properties.
- Principal and interest loans: You pay both the loan amount and interest.
- Interest-only loans: You pay only the interest for a set time (common for investors).
- Fixed, variable, and split loans: Offering different levels of repayment flexibility
What documents do I need to apply for a home loan?
Typically, you’ll need:
- Proof of identity (passport, driver’s licence).
- Proof of income (pay slips, tax returns for the self-employed).
- Bank statements showing savings and expenses.
- Details of assets (e.g., car, shares) and liabilities (e.g., credit cards, loans).
A dedicated broker can guide you through this process.
How does the home loan application process work?
The process includes:
-
- Pre-approval: Determine your borrowing capacity.
- Property search: Find a property within your budget.
- Formal application: Submit documents to the lender.
- Assessment: The lender evaluates your finances.
- Approval: Once approved, you’ll receive a loan offer.
- Settlement: The loan funds are transferred, and you take ownership of the property.
At Own Home Loans, we handle the hard parts so you can focus on your new home.
First-Home Buyers
What is the First Home Owner Grant (FHOG), and how do I apply?
The First Home Owner Grant (FHOG) is a government initiative to help eligible first-time buyers purchase their first home. The grant amount and eligibility criteria vary by state or territory, but generally, it’s available for newly built homes or homes that have been substantially renovated. You can apply through your lender or directly with your state revenue office.
What is Lenders Mortgage Insurance (LMI), and do I need to pay it?
LMI is an insurance that protects the lender if you default on your loan. It’s required if your deposit is less than 20% of the property’s value. While it’s a significant cost, LMI enables many buyers to enter the property market sooner. We can help you calculate if LMI applies and explore options to reduce it.
How much deposit do I need to buy my first home?
Generally, lenders require at least a 5% deposit of the property’s value. However, a larger deposit (e.g., 20%) can help you avoid LMI and reduce your loan repayments. Some government schemes, like the First Home Loan Deposit Scheme, can assist in buying with a smaller deposit.
What government schemes or incentives are available for first-home buyers in Australia?
There are several incentives to assist first-home buyers, including:
- The First Home Owner Grant (FHOG).
- Stamp duty concessions or exemptions.
- The First Home Guarantee (FHBG) to buy with as little as a 5% deposit.
- Super Saver Scheme, which allows you to use some superannuation savings for a deposit.
We stay updated on these programs to ensure you benefit from any you’re eligible for.
Should I buy a home or keep renting?
This depends on your financial goals, lifestyle, and market conditions. Buying can build equity and provide stability, but it comes with responsibilities like maintenance and ongoing costs. Renting offers flexibility and potentially lower monthly expenses but doesn’t contribute to long-term wealth. Our team can help you assess your situation to make the right decision.
Refinancing
When is the right time to refinance my home loan?
Refinancing is a good idea if:
- Interest rates have dropped.
- Your financial situation has changed.
- You want to access equity for renovations or investments.
- Your current loan no longer suits your needs.
Regular loan health checks can help you decide if refinancing is beneficial.
What are the costs involved in refinancing?
Refinancing costs may include:
- Exit fees (for some older loans).
- Loan application fees for the new lender.
- Valuation and settlement fees.
- Government charges for changing titles.
However, the potential savings often outweigh these costs. We can provide a detailed cost-benefit analysis for your situation.
How much money could I save by refinancing?
Savings depend on your current interest rate, loan size, and the new loan terms. Even a small reduction in your interest rate can save thousands over the life of the loan. We’ll run the numbers and show you how much you can save.
What’s the difference between refinancing and a loan top-up?
Refinancing involves replacing your current loan with a new one, potentially with better terms or a different lender. A loan top-up increases the amount borrowed on your existing loan, often to fund renovations or other expenses. We can help determine which option suits your needs.
Can I refinance if I have bad credit?
Refinancing with bad credit is possible, but options may be limited. Specialist lenders offer solutions, though interest rates may be higher. We’ll work with you to explore the best options and improve your financial standing for better rates in the future.
Property Investment
How do investment home loans differ from owner-occupied loans?
Investment loans are designed for properties intended to generate rental income. They often have higher interest rates than owner-occupied loans because they are considered higher risk. Additionally, tax benefits like negative gearing may apply to investment loans, but not to owner-occupied loans.
What is negative gearing, and how does it work?
Negative gearing occurs when the income from your investment property is less than the costs of owning it (e.g., loan repayments, maintenance). The loss can be offset against your taxable income, reducing your tax bill. It’s a strategy commonly used by Australian property investors.
How do I calculate the return on investment for a property?
Return on investment (ROI) is calculated by dividing your annual net profit (income minus expenses) by your total investment cost, then multiplying by 100. For example, if your property generates $10,000 in profit annually and you invested $200,000, your ROI is 5%.
Can I use equity from my existing home to buy an investment property?
Yes, equity is the difference between your property’s value and the remaining mortgage. You can access this equity to use as a deposit for an investment property, reducing the need for upfront savings. Speak to us to learn how much equity you can access.
What is an interest-only loan, and is it suitable for investors?
An interest-only loan allows you to pay just the interest for a set period (usually 1–5 years), lowering your initial repayments. It’s popular with investors who aim to maximise cash flow or leverage negative gearing benefits. However, it’s important to consider the higher repayments when the loan reverts to principal and interest.
Loan Features
What is an offset account, and how does it work?
An offset account is a transaction account linked to your home loan. The money in the account reduces the balance on which interest is calculated, saving you interest over time. For example, if you have $20,000 in your offset account and a $300,000 loan, you’ll only pay interest on $280,000.
What are the benefits of making extra repayments?
Extra repayments can reduce your loan balance faster, saving you interest and potentially shortening your loan term. Many lenders allow extra repayments without penalties, especially on variable-rate loans.
What is redraw, and how does it differ from an offset account?
A redraw facility allows you to access extra repayments you’ve made on your loan. Unlike an offset account, funds in a redraw may not be as easily accessible, and some lenders charge fees or set limits on redraws. Both tools can help save on interest, depending on your financial goals.
Can I split my home loan between fixed and variable rates?
Yes, a split loan allows you to divide your loan into fixed and variable portions. This provides the stability of a fixed rate and the flexibility of a variable rate. It’s a popular choice for borrowers who want to balance certainty and potential savings.
What is a loan pre-approval, and how long does it last?
A loan pre-approval is an indication from a lender of how much you can borrow, subject to final checks. It gives you confidence when house hunting. Most pre-approvals are valid for 3–6 months, depending on the lender. We can guide you through the process to get pre-approved.
Car and Equipment Finance (New Offering)
Can I finance a car or equipment through Own Home Loans?
Yes, we now offer car and equipment finance in addition to home loans. Whether you’re looking to buy a personal vehicle or need equipment for your business, we can help you find competitive finance options tailored to your needs.
What’s the difference between a personal loan and car finance?
Car finance is a secured loan where the vehicle serves as collateral, often resulting in lower interest rates compared to personal loans. Personal loans, on the other hand, are usually unsecured and can be used for various purposes, not just a car purchase.
What is a novated lease, and how does it work?
A novated lease is a salary packaging arrangement where your employer deducts car payments from your pre-tax income. It’s a tax-effective way to finance a vehicle and is popular with employees looking to reduce their taxable income.
Can I use car finance for a second-hand vehicle?
Yes, many lenders offer car finance for second-hand vehicles, though eligibility and terms may vary depending on the car’s age and condition. We can help you explore the best options for financing a second-hand vehicle.
Are there tax benefits to financing equipment for my business?
Yes, equipment finance may offer tax benefits, such as claiming depreciation or deducting interest payments. We recommend speaking with your accountant to fully understand the tax advantages based on your specific circumstances.
Financial Hardship
What should I do if I can’t make my home loan repayments?
If you’re struggling to make repayments, contact us or your lender immediately. Most lenders have financial hardship teams that can assist with temporary repayment relief, such as reduced payments or a repayment pause. We can guide you through the process.
Can I defer my repayments if I’m experiencing financial hardship?
Yes, many lenders offer repayment deferrals or payment plans for borrowers experiencing genuine hardship. This could include illness, unemployment, or other unforeseen circumstances. Let us know, and we can help you communicate with your lender.
What happens if I default on my loan?
Defaulting occurs if you miss repayments without arranging support. This can lead to penalties, a negative credit report, or even repossession of your property. It’s essential to act quickly and seek help if you’re at risk of defaulting.
Are there support programs available for struggling homeowners?
Yes, several government and non-profit programs assist struggling homeowners, including financial counselling services. We can help connect you with these resources or explore options with your lender to ease financial pressure.
How can Own Home Loans help if I’m facing financial difficulties?
We offer personalised advice and advocate on your behalf with lenders to find solutions, such as restructuring your loan or accessing hardship provisions. You don’t have to navigate tough times alone—we’re here to support you.
Working with Own Home Loans
Why should I use a mortgage broker instead of going directly to the bank?
A mortgage broker works for you, not the bank. We compare loans from multiple lenders to find the best option for your needs, saving you time and potentially thousands of dollars. Plus, we handle the paperwork, making the process seamless.
How does Own Home Loans compare with other mortgage brokers?
At Own Home Loans, we pride ourselves on a personalised approach. We take the time to understand your goals, offer transparent advice, and provide ongoing support well beyond settlement. Our success is built on long-term relationships, not just transactions.
What does Own Home Loans charge for its services?
Our services are typically free for borrowers, as we’re paid a commission by the lender when your loan settles. Rest assured, this doesn’t affect the interest rate you receive, and we’re committed to finding the best deal for you.
What happens after I settle on a home loan with Own Home Loans?
Our relationship doesn’t end at settlement. We conduct regular loan reviews to ensure your loan remains competitive, provide support with refinancing or accessing equity, and are always available to answer your questions.
How can Own Home Loans help me if I want to invest in property?
We specialise in property investment strategies. From securing the right loan to accessing equity and structuring your finances tax-effectively, we’ll work closely with you to build a successful property portfolio.
Special Circumstances
Can I get a home loan if I’m self-employed?
Yes, self-employed borrowers can get home loans, but the process may differ slightly. Lenders typically require additional documentation, such as two years of tax returns, business activity statements (BAS), and profit-and-loss statements. We specialise in helping self-employed clients secure loans that suit their unique financial circumstances.
Can I get a home loan with a low credit score?
A low credit score doesn’t necessarily disqualify you from getting a home loan. Some lenders offer solutions for borrowers with less-than-perfect credit, though the interest rates and terms may vary. We’ll guide you through your options and work towards improving your credit profile where possible.
How do guarantor home loans work?
A guarantor home loan allows a close relative, usually a parent, to use their property as security for your loan. This can help you buy a home with a smaller deposit and avoid Lenders Mortgage Insurance (LMI). It’s important to understand the risks for both you and the guarantor—our team can explain these in detail.
Can I buy a home if I’m on a visa in Australia?
Yes, many lenders provide home loans for visa holders, though eligibility depends on your visa type and conditions. Additional requirements, like larger deposits or Foreign Investment Review Board (FIRB) approval, may apply. We can help you navigate these requirements and find the right loan.
What’s the best way to finance a house and land package?
Financing a house and land package typically involves a construction loan, which allows you to draw funds as each building stage is completed. This type of loan can differ from standard home loans. We’ll guide you through the process to ensure your finances are structured correctly.
Ongoing Support
How often should I review my home loan?
It’s a good idea to review your home loan every 1–2 years or whenever your circumstances change (e.g., income, interest rates, or financial goals). Regular reviews ensure your loan remains competitive and aligned with your needs.
What’s involved in a home loan health check?
A home loan health check evaluates your current loan to determine if it’s still the best option. We look at your interest rate, fees, features, and other lenders’ offerings. If we find a better deal, we’ll help you refinance seamlessly.
Can Own Home Loans help with my existing loan, even if they didn’t arrange it?
Absolutely! We’re happy to review any loan, whether it was arranged through us or another broker. Our goal is to ensure you’re always on the most competitive and suitable loan for your needs.
How does Own Home Loans help with refinancing or switching lenders?
Refinancing can be complex, but we make it easy. From assessing your options to handling all the paperwork, we take care of everything. We also work to minimise costs, ensuring the process delivers maximum savings for you.
What should I do if my interest rate increases?
If your interest rate rises, don’t panic. Contact us to explore your options, which may include negotiating with your current lender, refinancing to a lower rate, or adjusting your repayments. Acting quickly can help minimise the impact on your finances.
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- Money Survey
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We want to understand how you feel about your financial situation and overall financial well-being. This short survey will help us gain insights into your confidence, challenges, and goals when it comes to managing money. Your responses will remain confidential and will help us tailor support, resources, and guidance to better meet your needs. It only takes a few minutes – thank you for sharing your thoughts!