Thinking about buying a home on the Gold Coast and searching for the right advice on home loans? We get it, it’s a big deal! But don’t worry, we have you covered with this online guide. It has everything you need to know about available Aussie home loans including breaking down the basics, loan types and home loan interest rates.
Watch our video about refinancing below if you are looking for top tips on finding a better deal on your existing loan or scroll down for all the home loan basics you need to make informed decisions for financing your dream home or investment property.
A mortgage, or home loan, is a loan that allows you to purchase a property. The property itself serves as collateral, securing the loan. In return for the loan, you make regular payments, typically over a period of 25 to 30 years.
Home Loans come in many forms, due to the many components that make up the loan. The most important component of a mortgage for how much you will pay over the life of the loan is the interest rate charged by the lender. If you want a loan of $800,000, you will have to pay back that money plus the set interest.
You will typically make these repayments monthly, although there are options available to make repayments fortnightly or weekly, with the interest that you pay compounded with each repayment.
Over time, the lender may change your interest rate if you have elected a variable interest rate, meaning that the amount of your repayments will either increase or decrease. If you select a loan with a fixed interest rate, you will have a set amount for your repayment for the nominated time period, usually 1-5 years.
Meet with one of our mortgage brokers to discuss your financial situation, goals and preferences.
Our mortgage broker assesses your financial health including your income, expenses, credit score and borrowing capacity.
We provide you with a selection of loan product comparison outlining the features, interest rates and fees associated with each option.
Our expert mortgage broker will obtain home loan pre-approval for you with your chosen lender, giving you a clear budget and a stronger financial position when making offers on properties.
Once you have had an offer accepted on a property, your broker will complete the loan application with your chosen lender for formal loan approval.
Throughout the approval process, the broker communicates with the lender, ensuring a smooth and efficient process to assist you getting formal approval on time for settlement.
We help you apply for any available grants on incentives you are eligible for, such as the First Home Owners’ Grant (FHOG). We will be able to advise what you are eligible for when we do your financial assessment.
We take care of your loan settlement with your lender on the day of your property settlement. We call you the minute we are given the green light from your lender so you have peace of mind everything is going to plan for handover on your property.
Our assistance does not stop once settlement on your loan has occurred. We continue to provide support year after year whenever you need it and we can assist with refinancing or any questions you may have about your home loan.
Pre-Approval: Get pre-approval to confirm your borrowing capacity before you start searching for a property. Pre-approval cements your buying power to make offers and provide confidence to the seller.
Refinancing: Reduce your interest rate or consolidate debts with a refinancing loan with one of our refinance specialists.
Investment Loans: Invest in property with our specialised investment loan options.
First Home Buyer Loans: Speak to our first home loan specialists to ensure you can take advantage of government grants and incentives to purchase your first home.
The amount you can borrow is dependent on a number of factors, such as expenses, income and current debts. Most lenders will base the size of your Gold Coast home loans on your capacity to meet monthly repayments.
Typically, lenders prefer a 20% deposit but many have a minimum as low as 5% of the purchase price. There are also instances where you may be able to obtain a home loan with no deposit, such as when you can access equity of an existing property, you have a guarantor, or you can demonstrate a mix of genuine and non-genuine savings like monetary gifts or inheritance.
Where a variable interest rate fluctuates from time to time according to the lender’s current interest rate, a fixed-rate loan generally has the same interest rate locked in for a term from one to five years. It is best to speak to a mortgage broker about which will suit you best for your personal situation and financial goals.
An experienced mortgage broker will guide you through everything you need to make sure your application has everything a lender will need to give you approval first time around. A mortgage broker has a legal duty to work in your best interest – banks don’t! – and they can review your financial situation in order to match you with the right lender and home loan product.
Pre-approval allows you to have your finance application assessed by the lender before formal approval. This is a great idea because you will know how much the lender will give you for your home loan and that puts you on the right foot for looking at the right homes in your budget and confidently making offers you know you can afford.
