A redraw facility is a feature of certain types of loans (usually home loans) which allows the borrower to access extra contributions that have been made to the loan. While drawing on these funds will reduce the benefit of paying more into the loan than you’re required to, having an extra pool of cash at […]
Loans for the purchase of residential apartments usually have guidelines and/or restrictions based on each lender’s willingness to accept the risk associated with the property. The main consideration is usually the size of the apartment. Most lenders impose restrictions on the minimum size of an apartment. Usually the apartment will need to be at least […]
Important finance considerations Before attending an auction you will need to make sure that you well prepared and are in the best possible position to bid. This will include knowing your purchase price limit. On auction day you will need to make sure you have funds available to complete the purchase if you are successful. This will […]
In terms of interest savings, a redraw facility has much the same effect as a 100% offset account. Therefore, what are the advantages of one over the other? Offset accounts are essentially savings accounts and operate that way. There will be easy access to your funds. Most come with an ATM, EFTPOS and cheque access. […]
Guarantors traditionally use their own property (or the equity in it) as security to guarantee either an entire loan or a portion of it. What are the types of guarantees?Guarantor loans have become popular in recent times as they can reduce the upfront cost of a home loan, particularly when it comes to the deposit. […]
It’s usually better to apply for a home loan while you’re pregnant and still working rather than while on maternity leave. Some banks may be more willing to consider a loan application which involves maternity leave than others. Pregnancy is only one element of an application the banks consider when making a decision. Being pregnant […]
A basic home loan is a home loan which is light on features but offers a low interest rate and less mortgage fees. This type of “No Frills” home loan is useful for borrowers who seek lower regular repayments and ongoing costs. The borrower’s requirements may be simple and met for example by just having […]
You may be looking to refinance your home loan in order to get a better interest rate, or better service or a longer IO period or in order to get access to the equity that you have built up. These are all perfectly valid reasons to do a home loan refinance. While a refinance can […]
Buying your first home can be very stressful and intimidating. Do you know that mortgage brokers need a diploma and two years on the job experience before they can offer you advice. So do you really think that you can learn all there is to know about home finance in a few days or even […]
If you are building a new home or making substantial changes to an existing home then you need to obtain a construction loan. Not all lenders offer construction loan and many of those that do, charge more fees and higher interest rate. Usually, but not always, you are restricted to a variable interest rate although […]
