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Home purchases are usually put off since they involve a significant financial commitment in addition to a substantial amount of effort. However, there are methods to make the process of purchasing a home simpler. Owning a home is a long-term decision that may not only provide you with significant returns on your investment but is also known to bring about a great deal of happiness and security.Still have some questions that haven't been answered? We have put up a helpful guide for first-time homebuyers in Sydney that explains how to overcome the numerous obstacles that stand in the way of purchasing a property. Let's discuss some of the most common roadblocks to ownership and what you can do to ensure you overcome them.1. The Initial PaymentA major obstacle for first-home buyers in Sydney is having enough cash on hand for a down payment. A standard mortgage normally requires borrowers to put down 20% of the home's purchasing price. Finding a 20% down payment for a first-time home purchase might be challenging, if not nearly impossible. The good news is that down payments are no longer as much of a barrier as they once were.There are several mortgage alternatives available to borrowers today, including low- and no-down-payment loans.2. Finding a Good PropertyFinding a suitable house that fulfils all of their specifications is one of the biggest issues first-time buyers have. Therefore, you might need to consider moving to a new area if you have trouble finding a home that meets your requirements for price, schools, green space, and other criteria. To maximize your chances of finding the ideal fit, it is crucial to thoroughly explore every sector you have chosen. Additionally, it could be advantageous to hunt for a developing location, which is typically situated close to growing neighboring towns.3. Putting Money Aside for a MortgageFirst of all, because your deposit is the biggest item you will be saving for, saving for your first house might seem like an impossible undertaking. Typically, the down payment must equal at least 5% of the property's cost in order to qualify for a mortgage that will cover the remaining balance. To ensure this figure is more attainable, you will need to create a detailed and practical strategy. To obtain a general notion of how much you should aim for, it could be useful to look at houses in the neighborhood you want to purchase in.4. Mortgage SecuringLenders have tightened their affordability requirements over the past few years, which has made it harder for borrowers to get a fair offer. Sydney’s first home buyers expert, like Fresh Water, could be able to help you if your credit score isn't in great shape. They will put you in touch with a mortgage specialist with experience in your situation who will be able to assist you through the process as well as be available to answer any questions you may have. As a consequence, when the case has been evaluated specifically, you will receive professional guidance on … [Read more...] about 5 Challenges Faced by First-Time Home Buyers

There are a record number of homes under construction, according to the latest data from the Australian Bureau of Statistics.A total of 241,926 home builds were underway in the June quarter, which was up 0.7% from the previous record result recorded in the quarter before.On the surface, that would suggest the federal government's plan to build one million new homes (see previous story) in five years is realistic.However, as Housing Industry Association economist Tom Devitt pointed out, there are "more houses still being commenced than completed", which means this "record pipeline" of building work is due to limited supply rather than overwhelming demand. "Supply constraints are continuing to hold back completion of these projects. Materials constraints have plagued builders over the last two years, and shortages of skilled trades have only become more acute," he said."These supply constraints will keep Australia’s home builders busy this year and next as they continue to work down this record volume of detached house projects."Want to build? I can help you get finace. Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about Home builders working through “record pipeline” of projects

The federal government has rolled out a new policy to address what it calls “one of our nation’s biggest economic challenges” – housing affordability.The National Housing Accord, which was unveiled in the recent Budget, aims to improve affordability by building one million new well-located homes over five years from 2024.What makes the accord unique is that, for the first time, it aligns the efforts of governments, institutional investors and the construction sector.The role of the construction sector will be to build homes that are more energy-efficient and to train more apprentices.Institutional investors, like superannuation funds, will be expected to fund development projects "for their members’ interests and for the national interest". As for governments:The federal government will provide financing options to facilitate institutional investment in social and affordable housingStates and territories will expedite zoning, planning and land release for social and affordable housingCouncils will deliver planning reforms and free up land for new buildsWhether you want to build a new home or buy an existing home, it's important you get your finances in order so you maximise your chances of qualifying for a loan.Three ways to make yourself more creditworthy are to:Pay all your bills on time;Reduce your expenses; andIncrease your income.Contact me if you need a pre-approval. Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about New housing accord to deliver 1m new homes

As any property investor could tell you, rents have grown strongly over the past year.But when you drill down into the data, as realestate.com.au did, you discover that some types of rental property have been more in-demand with tenants than others.Between the September quarters of 2021 and 2022, demand was higher for houses (which experienced an 11.1% annual increase in rents) than units (7.1%).Drilling down further, by bedroom size, it turns out that houses with more bedrooms were more popular than those with less:2 bedrooms 7.7% annual growth3 bedrooms 9.3%4 bedrooms 12.0%5 and more bedrooms 11.4% For units, the results were different:1 bedroom 11.1% annual growth2 bedrooms 8.4%3 and more bedrooms 10.0%Whether you want to buy an investment property to take advantage of these rising rents or buy your first home to escape them – I can help.The most important part of buying a property is securing finance. I can compare home loans on your behalf, recommend a suitable lender, structure your loan correctly and manage the application on your behalf.Reach out for a home loan.Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about Rents rising fastest for large houses and small units

One of the world’s largest real estate firms has given five very good reasons why “Australian real estate represents a compelling investment”.CBRE said Australian real estate has provided an average return of 9.5% per annum over the past decade – significantly higher than the average home loan interest rate during that period.Rental vacancy rates are below 1% in some cities. When supply is low, demand is high, which is translating into "robust rent growth".Australia's population is forecast to grow 14% between in 2021-2030, which would be the "highest amongst leading economies". More people would mean more demand for real estate.Australia has a "strong" and "resilient" economy, which makes it a good place to invest.Local real estate is relatively easy to sell if you decide you want to cash out. CBRE said Australia ranks sixth in the world on the dollar value of property transactions.I can help you secure finance to buy a property, whether it’s to live in or for investment purposes.Get in touch if you need a loan.Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about CBRE hails Australia’s strong real estate market

The way Australians make and receive payments is continuing to evolve, according to the Payments System Board that sits within the Reserve Bank. Over the past year, there has been growth in electronic payments, new payment types (e.g. buy now pay later) and the New Payments Platform, according to the board’s annual report. At the same time, there has been an ongoing decline in cash payments, a trend that has been occurring “for many years”. The report also said that the Payments System Board would continue its research on central bank digital currencies – a digital form of money that might be issued by the Reserve Bank and used by households and businesses. "Australians are readily embracing new payment trends, particularly those offering value propositions for greater speed and convenience," according to the report. "The bank has an important role in understanding these new technologies and innovations, as well as any implications for the competition, efficiency and stability of the payments system."Want to buy an investment property? Let's talk. Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about Alternative payment methods gaining currency

Home loan activity has fallen since earlier in the year, but demand among first-home buyers has held up better than that of other buyer groups.Between April, when national property prices peaked, and August, the most recent month for which we have data, total home loan commitments fell 13.9%, according to the Australian Bureau of Statistics.However, the decline varied between different buyer groups:Investors down 20.1%Subsequent home buyers (owner-occupiers) down 10.8%First-home buyers (owner-occupiers) down 9.9%CoreLogic's head of residential research, Eliza Owen, who analysed downturns since 2004, found first home buyer demand for finance during downturns has traditionally been resilient, with smaller falls in demand compared to the other two groups, and sometimes even increases.Ms Owen said there were two reasons for this:Governments introduced first-home buyer incentives during some of these downturnsPrice falls made it easier for first-home buyers to save a deposit and enter the marketWant to compare interest rates? Let's talk.Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about How different buyer groups are responding to the changing market

The increase in interest rates over the past six months has made it harder for Australians to qualify for a home loan, and made it more important they get help from a mortgage broker.Every rate increase of 0.50 percentage points reduces an average borrower’s maximum loan size by about 5%, according to the Reserve Bank’s head of domestic markets, Jonathan Kearns.Since May, the Reserve Bank has increased the cash rate by 2.50 percentage points – which means the average person’s borrowing capacity has fallen by about 25%.The key words here are ‘average’ and ‘about’ – because borrowing capacity varies not just from person to person but lender to lender. Two banks can offer the same borrower very different maximum loan amounts; sometimes, they might be more than $100,000 apart.With borrowing conditions getting harder, it’s vital you seek guidance from an expert broker.I work with a large panel of lenders, so I know which lenders would be more likely to offer finance to someone with your scenario. I can then present your application in such a way as to maximise your chances of approval.See how much you can borrow nowSee how much you can borrow now. Let's talk.Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Chat to us today We partner with over 50 lenders so you can find the perfect solutionFollow Facebook Linkedin Do you have questions about mortgages or loans?Ask us in the comments below … [Read more...] about Why your borrowing capacity is probably lower than six months ago