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Home Loan Frequently Asked Questions
Do I need a Loan Approval
before buying a property?
How long does a Loan Approval take?
How can I apply for a home loan?
What supporting documentation do I need
when lodging my Loan Application?
How much deposit Do I need?
How much stamp duty will I pay?
What other fees are involved in purchasing
a new home?
What is a deposit Bond?
How long does settlement take?
What is Mortgage Insurance?
What happens if I change my mind or cancel
my Loan?
First Home Owners Grant
Do I need a Loan
Approval before buying a property?
Yes, we advise organizing a Loan Approval ( subject
to a valuation report once property found )which advises
the Borrowers of exactly how much you can afford to
pay for a home. This allows you to spend more time looking
at properties that suit your budget.
Link > How
much can I borrow calculator
How long does a
Loan Approval take?
The average loan is approved in 24 - 48hrs of receiving
the completed application & supporting documents
required. This may differ depending on the Borrowers
, the Lender & the type of loan.
Link > How
much can I borrow calculator
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How can I apply for
a home loan?
1. Online Application via our Contact
Form, complete your details and submit.
2. Download
our Application Form or alternatively you can email
excel directly with your own enquiry or phone our
office on 02 4627 8100.
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What supporting documentation
do I need when lodging my Loan Application?
This will depend on the type of loan and lender but
generally you will need to submit the following;
100 points ID e.g drivers license, birth certificate
Last 2 payslips
2 years tax returns
Bank Statement
See our Home
Loans Applications page for available forms
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How much deposit
Do I need?
The deposit required will depend on the type of loan
you need & the Lender. As a general rule you will
need a minimum of 3% of the purchase price in genuine
savings.
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How much stamp duty
will I pay?
Stamp duty is a state government tax based on a property’s
selling price therefore this will differ on every home
purchase. please note this fee has been waived for 1st
home buyers.
Link > Use
our Stamp duty calculator for estimations on stamp duty
costs
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What other fees are
involved in purchasing a new home?
This again will depend on the type of loan and the
lender you choose. Some of the fees you may incur are;
- Loan application fees
- Valuation fees
- Building / Pest /survey / strata Reports
- Lenders Mortgage Insurance
- Solicitor’s fees
- Building Insurance
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What is a deposit
Bond?
Deposit Bond is a guarantee or bond that substitutes
for a Cash Deposit between signing contracts and settlements,
when purchasing your home at Auction or through your
Real Estate Agent.
These Bonds are generally 10% of the Purchase Price.
Link > See Deposit
Bonds for more information
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How long does settlement
take?
The length of time between exchange of contracts and
settlement varies. It normally ranges from four to six
weeks. Settlement time is normally dictated by the seller
and the banks providing the mortgages, but is negotiated
also by the buyer.
Link > Loan
Application Process
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What is Mortgage
Insurance?
Lenders Mortgage Insurance (LMI) protects the lender
from any losses resulting in the sale of a property
due to default by the borrower. LMI premiums are generally
paid by the borrower when the loan amount borrowed is
over 80% of the purchase price. Some Lenders require
the LMI premium to be paid upfront while other Lenders
will add the premium cost to your home loan.
Contact our office
today for advise on LMI premiums
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What happens if
I change my mind or cancel my Loan?
If your loan has been approved and you want to change
the property you were purchasing to a different property
you may inccur a 2nd valuation fee.
If your loan has been unconditionally approved &
you decide not to go ahead with the Loan then you may
incur a cancellation fee & the valuation fee.
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First Home Owners
Grant
The rules & requirements in qualifying for the
$7,000 First Home Owners Grant is governed by the Office
of State Revenue (OSR). Their website address is www.osr.nsw.gov.au
