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Few decisions have a bigger impact on your financial future than buying a property. Whether it’s your first home, your next home or an investment property, getting the finance right can make a significant difference for years to come. So why are more Australians choosing to work with a mortgage broker when making such an important financial decision? Broker market share has grown from 55% to 81% in just eight years, reflecting a growing preference for personalised guidance and support throughout the home loan journey.For many borrowers, having someone to help compare options, explain the fine print and advocate on their behalf provides confidence during what can otherwise be a complex process.Let’s take a look at some of the reasons mortgage brokers continue to grow in popularity. Optimise borrowing capacity Every borrower is different, which means there is no one-size-fits-all approach to finance. What works for one person may not be the right fit for another.A mortgage broker can help you understand your borrowing capacity and explain how different lenders might assess your circumstances. Having someone guide you through those options can help you better understand how different lending solutions could align with your current needs and longer-term goals. Navigate complex lending Today’s lending environment is more complex than ever. Borrowers are navigating changing interest rates, evolving lender policies and a property market that continues to shift.That’s where a mortgage broker can make a real difference. Rather than trying to compare countless loan options on your own, you have someone in your corner to explain your choices, help you find a suitable loan and guide you through the process with confidence.While we take care of the research, lender comparisons and paperwork behind the scenes, you can focus on the exciting parts of your property journey. Access to many lenders When you’re making such a significant financial commitment, it’s natural to want confidence that you’ve explored your options.Rather than being limited to a single lender’s products, a mortgage broker can compare loans from a range of lenders and help explain the differences between them. This can make it easier to understand the choices available and identify options that may be suitable for your circumstances and future plans. Legal protection Trust is an important part of any professional relationship, particularly when it involves one of life’s biggest financial decisions.That’s why mortgage brokers are subject to the Best Interests Duty, which requires them to act in their clients’ best interests when providing credit assistance.For borrowers, it’s an additional layer of reassurance that the recommendations they receive are designed to support their individual circumstances and objectives.Ready to get started?Buying a property is a major financial milestone, and many borrowers value having a trusted … [Read more...] about Why more than 8 in 10 borrowers are choosing mortgage brokers

Renovating an investment property can help attract quality tenants, improve rental returns and potentially add value to your property. But before choosing paint colours or collecting quotes, it’s worth understanding how you’ll fund the project. Many investors focus on the renovation itself and overlook the impact their funding choice can have on cash flow, borrowing capacity and long-term costs. The good news is that there are several ways to finance a renovation, from accessing equity to topping up an existing home loan. Here’s what you should know before getting started. Personal loan Say you want to perform a few cosmetic enhancements. Nothing too major – just a paint job, maybe some new window dressings and/or flooring.For a small project, a personal loan might be worth considering. Unsecured personal loans don’t use your property as security, and loan amounts and repayment terms are generally set at the time the loan is established.However, interest rates are often higher than those available on home loans, and loan terms are generally shorter. This could mean that repaying the loan within one to seven years could cause higher monthly bills. Refinancing If your property’s value has increased or you’ve paid down your mortgage somewhat, you may be able to refinance and use the equity to fund your renovation. Equity is the difference between the current market value of your property and what you owe on your mortgage.The perk with this option is that the interest rates are lower than for personal loans. If you’re undertaking a major renovation, it could be worth exploring refinancing, but keep in mind you’ll be adding more debt to your mortgage. Top-up loan Another option is to top-up your loan in order to fund your reno. A top-up loan is an extension of your existing mortgage that allows you to borrow extra money (without opening a whole new loan). Lenders usually add the new funds to your loan balance.Like the refinancing option, this allows you to access lower interest rates than a personal loan or credit card. You will likely not have to pay setup fees that come with getting a new loan, and the approval process is generally different from that of a complete refinance.It’s important to remember that lenders will usually only let you borrow up to 80% of your property’s value. If you exceed that, you might be up for lenders’ mortgage insurance. Also, because you’re spreading the renovation cost over the life of the loan, you might end up paying more in interest in the long run. Construction loan For larger projects like structural changes to your property, you might consider a construction loan. With this type of finance, the lender releases money to you in stages as your builder reaches milestones.Depending on the loan structure, you may only pay interest on the funds that have been drawn and many lenders offer interest-only payments. This could help you manage cashflow during the … [Read more...] about Planning an investment property renovation? Here are your finance options

After years of fierce competition, fast-rising prices and crowded auction weekends, the market is beginning to show signs of a shift. More properties are being listed for sale, homes are taking longer to sell, and buyers are becoming increasingly selective about what they’re willing to pay. One of the clearest signs of this changing market can be seen in auction clearance rates. Nationwide, fewer properties are selling under the hammer, with clearance rates recently dipping below 50%. In Sydney and Melbourne, auction success rates have dropped to their lowest levels in years.While this may sound like bad news for sellers, it could create opportunities for buyers. A softer market can mean less competition, more room to negotiate and a greater chance of finding the right property without feeling pressured to act quickly.So, what’s driving the decline in auction clearance rates, and what could it mean if you’re looking to buy? Federal Budget tax changes In the recent Federal Budget, the Government announced it would reform negative gearing and capital gains tax (CGT). These measures are now law.Under the changes, which will apply from 1 July 2027, negative gearing for residential property investments will generally be limited to new builds. The 50% CGT discount for individuals, trusts and partnerships will also be replaced with cost base indexation and a 30% minimum tax rate on capital gains.Existing investments held at 7:30pm AEST on 12 May 2026 will generally be exempt from the negative gearing changes, and CGT reforms applying only to gains that accrue after 1 July 2027.These changes have cooled investor demand, with many putting their purchasing plans on ice. This in turn has impacted auction activity. Cautious buyers and differing expectations Changing market conditions have seen buyer demand soften, with many purchasers taking a more measured approach and spending longer evaluating their options. At the same time, some sellers are still adjusting their expectations to the current market environment, creating a wider gap between buyers’ and sellers’ expectations.This gap in expectations is also influencing auction results. With buyers approaching the market more cautiously and auction clearance rates falling, some properties are not reaching their reserve price and are being passed in on auction day before moving to private negotiations. Interest rate hikes Since the beginning of this year, we’ve seen the cash rate increase three times. Lenders have, in turn, increased their interest rates, which reduces the amount buyers can borrow.Rising interest rates affect auction activity by tightening buyer budgets and impacting consumer confidence. With fewer eager buyers competing for properties, vendors might struggle to reach their reserve price, resulting in a property being passed in. How do the falling auction clearance rates affect buyers? A cooling property market can create more … [Read more...] about What’s driving the drop in auction clearance rates?

Australia’s property market is entering a new phase, and many buyers may be looking to better understand the opportunities and challenges that come with changing market conditions. With buyers increasingly taking their time to purchase and becoming more selective, properties are no longer being snapped up at lightning speed in many markets. Buyers are negotiating harder and walking away if the asking price is not in line with current market expectations.Recent tax reforms in the Federal Budget have also caused many investors to reassess their purchasing plans and strategies. Sellers are having to adjust their price expectations and adapt to the changing conditions, too.If you’re looking to buy a home or investment property, talk to us about your finance options. We’ll explain your borrowing power and organise pre-approval. Interest rate news With economists and banks not aligned on where the market is heading, the Reserve Bank of Australia (RBA) has decided to leave the cash rate on hold at 4.35% at its June meeting. This follows three consecutive rate hikes so far this year.While headline inflation has eased, underlying inflation remains elevated.Annual inflation dropped to 4% in the 12 months to May, largely driven by a decline in fuel prices, which were nearly 12% lower in May.In contrast, underlying inflation remained more persistent, with the RBA’s preferred trimmed mean measure increasing to 3.6%, up from 3.4% in April.Treasurer Jim Chalmers welcomed the lower headline inflation rate, but said his government was not “complacent” about the risks.“We know that there are still inflationary pressures in our economy. But these numbers today are much better than the market expected, much better than forecast, and that’s obviously a very good thing,” the treasurer said.The RBA said the three rate hikes appeared to be having “broadly the expected effect”, as international economic pressures ease.“It would take some time to assess the ultimate impact on the economy of the tightening in monetary policy since February but, at this stage, it appeared to be having broadly the expected effect,” the last RBA Board meeting minutes said.“Housing demand had eased, which also reflected the broader economic environment and recently proposed tax changes.”The next cash rate decision will be on August 11. Economists and major lenders are divided on the likely path for the upcoming interest rates, as global and domestic factors continue to shape an increasingly unpredictable economic environment. Home value movements The latest housing market figures show the downturn is deepening. National dwelling values dropped 0.4% in June according to Cotality, marking the largest month-on-month fall since December 2022.Sydney’s prices fell 1.2%, Melbourne’s dropped 1%, and Canberra’s were down 0.6%. Adelaide’s prices remained flat, while Brisbane saw modest gains. Hobart and Perth’s values increased 0.6% and 0.7% respectively.The June quarter … [Read more...] about Australia’s Property Market Update: What Buyers Need to Know

With the cash rate on hold, many borrowers are taking a closer look at their home loans. If you haven’t reviewed yours in a while, it may be worth exploring whether your current loan still suits your situation. With cost-of-living expenses still stretching household budgets, even a small reduction in your interest rate could make a meaningful difference to your monthly repayments.Refinancing isn’t right for everyone, but it’s always worth understanding your options. Here’s what to consider before you decide. Switching could make a meaningful difference Interest rates can vary significantly between lenders. According to MoneySmart.gov.au, there can be a difference of more than 2% between variable home loan rates on the market. Depending on your loan size, this could translate to a meaningful difference in what you’re paying overtime.If you’ve been with the same lender for some time, you may also be stuck paying ‘loyalty tax’. Lenders often reserve discounts and deals for new customers rather than existing ones, making it even more important to regularly review your home loan and compare others.Factor in all fees and chargesBefore refinancing, it’s important to understand the fees and charges that may apply. These can include:Break fees — if you’re on a fixed-rate loanDischarge fees — charged by your current lender to close your loanApplication fees — charged by the new lender to set up your loanSwitching fees — if you stay with the same lender but change loan productsStamp duty — depending on your state or territory Weighing up these costs against any potential change in your repayments is an important part of deciding whether refinancing makes sense for your circumstances. Be aware of Lenders’ Mortgage Insurance Before refinancing, it’s worth having a clear picture of your home’s current market value and how much equity you hold, particularly given that property values have fluctuated across many markets in recent years.If you hold less than 20% equity in your property, refinancing may trigger a requirement to pay Lenders Mortgage Insurance (LMI). It’s also worth noting that LMI is generally not transferable between lenders, meaning even if you paid it on your original loan, you may need to pay it again on a new one.This is an important cost to factor in when reviewing whether refinancing is the right move for you. Consider the loan term When refinancing, it’s important to pay attention to the loan term. Resetting to a longer term, such as 30 years, generally means paying more interest over the life of the loan, even if the rate is lower.Depending on your circumstances, it may be worth considering a loan term that aligns closely with what remains on your current loan. Be intentional with interest-savings features When rates are rising, having a financial buffer can help ease pressure on your budget. Features like an offset account or redraw facility allow you to keep extra funds … [Read more...] about Is refinancing still worth considering?

Australia’s property market is moving through a softer phase. Rising interest rates, stretched affordability, and the federal budget’s tax reforms have eased buyer demand. This is particularly evident across Sydney, Melbourne, and Canberra, where prices have drifted lower since the start of the year.Conditions vary considerably by location, property type, and price bracket. While some markets continue to hold firm, others are seeing more listings, longer selling times, and vendors with greater motivation to negotiate.For buyers who are prepared, a quieter market can present a different set of opportunities than what was available during the peak. So, what does a softer market actually mean for buyers? Falling prices may make entry easier Property values have been recording noticeable declines across a number of markets, with Sydney, Melbourne, and the ACT among the areas seeing the most movement. Auction clearance rates have hovered around 50% in recent weeks, a level hitting a six-year low and some experts are now expecting price declines of up to 10%.While falling prices can reduce the entry point for some buyers, lower values don’t automatically translate to greater affordability. Higher interest rates affect how much buyers can borrow, which remains an important consideration regardless of where prices sit. Less competition, more motivated sellers As market conditions soften, buyer competition has eased in many areas, though supply constraints in some locations mean demand remains relatively firm.In markets where the balance has shifted, vendors may have greater motivation to negotiate. This can create more room for discussion around price, purchasing conditions, and settlement terms than was typical during the peak of the market. Vendor discounting We are already seeing vendors discounting their prices amidst weaker market conditions.According to Cotality, buyers have been paying around 5% less than the original asking price for private treaty purchases across capital cities in recent months, which is above the decade average of 3.3%.The federal budget’s proposed changes to negative gearing and the Capital Gains Tax discount have also added uncertainty for investors, with some agents already adjusting price guides in response to weaker demand.Properties are also taking longer to sell in many markets. For buyers, more time on the market can mean more opportunity to research, compare, and enter into negotiations without the same pressure that characterised the peak of the cycle. Different real estate methods Given the changing market, some sellers may opt for “expression of interest” (EOI) campaigns or private sales, rather than auctions. This can be beneficial for buyers, as it gives them more time to make calculated purchasing decisions.With an EOI, buyers are invited to submit their best and final offer in writing by a specific date, along with their preferred terms and … [Read more...] about What a softer market means for investors and owner-occupiers

With property prices easing in some markets and recent federal budget housing tax reforms appearing to reduce investor competition, conditions may be becoming more favourable for first-home buyers. In this type of environment, there could be more choice, less pressure and more room to negotiate than we’ve seen in recent years. Buying your first home can feel like a big leap, especially when prices, rates and lending rules are constantly changing. But the start of a new financial year provides a great opportunity to reset, get organised and understand what support may be available to help you take the next step.Here are some tips if you’re looking to buy your first home this new financial year. 1) Review your finances Before you start browsing listings or attending open homes, the most important thing you can do is to get your finances in shape.Lenders don’t just look at your income. They’ll analyse your spending habits too, examining bank statements to build a picture of how you manage money day-to-day. That means your finances need to tell a good story.Go through your statements and ask yourself what subscriptions, memberships, or recurring expenses you could cut or reduce. Even modest changes that are sustained over a few months can meaningfully strengthen your application and show lenders you’re financially disciplined. 2) Create a budget and supercharge savings If you don’t already have one, a budget can be a useful tool for understanding your finances. Consider mapping out your after-tax income alongside your expenses, which might fall into essentials (like rent, groceries, utilities, and insurance) and non-essentials (such as eating out, entertainment, and hobbies).From there, it can be interesting to see how much could potentially be saved each month. A well-known framework is the 50/30/20 rule — 50% toward essentials, 30% toward lifestyle, and 20% toward savings. Keeping separate bank accounts for each “bucket” is something many people find works well for them. 3) Do a credit check It’s worth taking a look at your credit report before you apply for a home loan. Lenders typically review your credit history as part of their assessment process.Under the Privacy Act 1988, you’re entitled to a free copy of your credit report every three months from each of Australia’s three credit reporting bureaus: Equifax, Experian, and illion.Your credit report generally includes information such as:Your borrowing history over the past five yearsAny credit applications you’ve madeYour repayment history Each bureau also assigns a credit score, calculated on a different scale: Because each bureau uses its own scoring system, your score may vary between them, and different lenders may use different bureaus.If you spot any errors or information that doesn’t look right, contact the relevant credit reporting bureau directly to have it investigated and corrected. 4) … [Read more...] about 5 tips for first-home buyers to kick off the new financial year

Rising interest rates have stretched affordability to its limits, and the federal budget’s proposed tax reforms have only added to the uncertainty. The result? Buyers are pulling back, and auction clearance rates are feeling the pressure. In case you missed it, the latest federal budget proposed new changes that are set to take effect from 1 July 2027. This will limit negative gearing for residential property investments to new builds and replace the 50% Capital Gains Tax (CGT) discount for individuals, trusts and partnerships with cost base indexation and a 30% minimum tax rate on capital gains. The good news for existing investors is that these changes will be limited in their impact. Properties you already owned on or before 7:30pm AEST on 12 May 2026 are exempt from the negative gearing changes. And if you sell a property, the new CGT rules only apply to any profit earned after 1 July 2027. If you’re planning an upcoming winter property purchase, we can explain your borrowing capacity and organise pre-approval on your finance. Interest rate news At its latest meeting, the Reserve Bank of Australia (RBA) left the cash rate on hold at 4.35%, following three consecutive rate hikes so far this year.Inflation is easing with Australia’s annual Consumer Price Index (CPI) dropping to 4.2%, which is down from 4.6% in March.However, the RBA’s preferred measure of inflation, which is called underlying inflation, still sits at 3.4%. That’s above the 2–3% target band that the RBA needs to hit before it will consider cutting rates.RBA governor Michele Bullock recently said higher interest rates were working, but struggling households could face up to two more years of cost-of-living pain.“These increases have been necessary to tighten financial conditions and slow growth in demand in the economy to ensure we get on top of inflation,” she said.“We have already seen some signs that this tightening has worked, but it will take one to two years for the full effects to flow through the economy.“Now I recognise this is a difficult time for many households facing cost-of-living pressures, but it is important we bring inflation under control.”If your repayments are starting to feel like a stretch, it’s worth thinking about refinancing sooner rather than later.That’s where we come in. We’ll compare the market on your behalf and find a home loan that works for your financial situation and goals. And if you’re a property investor trying to make sense of the federal budget’s changes, we can help you understand what it means for your portfolio.The next cash rate decision lands on 11 August. Opinions are divided on what comes next, with some economists predicting more rises ahead, while others believe the peak is already behind us. We’ll keep you updated in the coming months. Home value movements Australia’s national home values were flat in May, which could be a sign that the housing market is continuing to lose momentum across most … [Read more...] about After years of relentless growth, Australia’s property market is showing signs of slowing, with home values stalling in some cities and falling in others.