We can make a massive difference in how much sooner you can own that property you want to buy. How you setup your mortgage, and taking into account any other loans and savings you have makes a huge difference to your long term financial success.
By Assessing your situation with us you can take years off the length of your loan and own your property sooner.
Are you ready to start buying property
If you have the following things in place you are ready to start buying property
- Decent deposit – The larger the better when saving for a property. Generally 20% of the purchase price plus enough for costs is a good goal.
- Regular savings habit – To get a home loan you need have a history of regular savings in your bank account and a good track record of employment.
- Pre-approval for a loan – Before you decide have a look at a few different loans . Ask the lender for a key facts sheet on each home loan to make it easier to compare. When you select the loan and have a pre approved you’ll know your monthly repayments and what you can afford to pay for a property.
- Additional savings – These will act as a buffer if interest rates rise and your repayments increase. Alternatively build a buffer by choosing a loan that allows extra repayments.
How much can I afford when buying property?
The best way to work out how much you can afford to pay when buying property is to review your budget. If you don’t have one, click on this link to use the ASIC budget planner to:
Add what you pay in rent to what your currently saving towards a deposit to work out how much you can afford to pay in loan repayments.
Without stretching your budget too much work out how much you can easily afford to borrow, ensuring you have a enough for a buffer.
Include all the costs of owning and buying property: like lender’s mortgage insurance, stamp duty, and legal fees and ongoing costs like, water rates, property maintenance, land rates and insurance.