Home loan tips for first home buyers

Step 1: Speak to a Mortgage Broker

The most important step you’ll need to undertake is to speak with a Mortgage Broker. After you’ve made an appointment make sure you listen to what they have to say, it may save you a lot of time and money.

Step 2: Budgeting

If you plan to purchase a property, it’s always essential to budget your finances and save, save, save. If you find yourself wondering where to start or how best to budget your monthly expenses, speak with your trusted Mortgage Broker, they can help you to get on the right path.

Step 3: Necessary documentation

Gather all your necessary documents to take to your appointment with your Mortgage Broker, including:

• payslips;

• sufficient proof of identification for each applicant;

And details of:

• any debts or loans to be paid;

• recurring income (ie rental income, pensions etc);

• your living expenses;

• your previous address, if you have lived there for less than three years;

• your previous employer, if you have worked at your current role for less than two years.

Depending on your circumstances, your Mortgage Broker may need more information.

Step 4: Important conversations

Your trusted Mortgage Broker will discuss your plans and your circumstances with you to determine what you can afford. They will also provide you with statutory documentation to initiate the lending process and work out for you what loan products will be appropriate in your circumstances.

Step 5: Property research

Before you set out on inspecting properties and measuring room sizes, it’s a good idea to first undertake some online research of the market to identify suitable locations and properties. It could save you a lot of time and potential disappointment. Remember, don’t place a deposit on a property until your Mortgage Broker tells you that unconditional finance has been offered by a lender. A little work now can save a lot of disappointment later on.

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.