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One of the biggest home loan mistakes you can make is to ‘set and forget’ your mortgage for 30 years, because as the market shifts and your financial situation changes, there's a good chance your mortgage will no longer be as competitive or suitable. With that in mind, here are five signs it might be time for you to refinance:It's been at least two years since you took out your loan. Credit policies, interest rates and borrower incentives have changed a lot in that time, so you might find that better loan options are now available.Your financial situation is now different. Just as you need new clothes when your body changes, you generally need a new loan when your personal circumstances evolve.Your fixed-rate period is coming to an end. Instead of reverting to your lender's standard variable rate, look around to see if better loan options are available – because the answer will probably be yes.You've built up equity in your property. If your equity position is stronger, you might now be able to qualify for a loan with a lower interest rate or better features.You want to cash out equity. If you want to buy an investment property, you might be able to cash out equity – via a refinance – and use that money to fund the deposit.Get in touch if you need refinancing helpHit 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 Year, new loan? five signs it’s time to refinance

Getting on the property ladder is challenging, but it might be easier than you think thanks to a range of first home buyer assistance measures.The federal government offers the First Home Guarantee and Regional First Home Buyer Guarantee, which help eligible first home buyers purchase a property with just a 5% deposit, without needing to pay lender’s mortgage insurance. Also, at some point this year, Help to Buy is expected to launch – this is a shared-equity scheme that will allow buyers to reduce their cost to as little as 60% of the purchase price, by offering the government a stake of up to 40% in the property. State governments also offer a range of incentives for eligible first home buyers, including:New South Wales – a $10,000 first home buyer grant and stamp duty discounts for purchases up to $1 millionVictoria – a $10,000 grant and duty discounts for up to $750,000Queensland – a $30,000 grant and duty discounts for up to $800,000Western Australia – a $10,000 grant and duty discounts for up to $600,000South Australia – a $15,000 grant and duty discounts for up to $700,000Tasmania – a $10,000 grant and duty discounts for up to $750,000ACT – a duty discount for all purchasesNorthern Territory – a $50,000 grantConditions apply for all these schemes, so please speak to me to confirm your eligibility.Want to buy your first home? Let’s talkHit 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 List of first home buyer grants in 2025

There was conflicting news for property investors and tenants in the latest rental numbers, pointing to a mixed outlook for the rental market.On the one hand, the national median rent hit a record-high $620 per week at the end of 2024, according to PropTrack. On the other hand, rental growth fell to its lowest level since 2021, after rents increased by just 1.6% in the December quarter. For tenants, this rental slowdown reduces financial pressure, especially if you’re trying to save a deposit for your first home – although the market still favours landlords.For investors, please note that while rents are likely to keep increasing, the rate of growth will be much slower than in the past three years. As a result, it's important to be realistic at your next rental review and to take guidance from your property manager about what tenants in your local market are willing to pay.If you’re thinking about buying your first home or purchasing an investment property, contact me to organise a pre-approval.Need a home loan? Let’s chat.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 Rental market slowing despite rents hitting record-high

About three-quarters of homebuyers are now using mortgage brokers, according to the latest data from Comparator.In the September quarter, brokers originated a record-high 74.6% of all new home loans, while banks originated a record-low 25.4%.Choice is the number one reason homebuyers prefer brokers – a broker will compare home loan products from a range of lenders on your behalf, while banks will tell you about their own products only.For the same reason, many people who already own their own home turn to brokers when they’re thinking about refinancing.It’s generally a good idea to consider switching home loans every few years, because lenders often give special deals to new customers. The Australian Competition & Consumer Commission's most recent home loans inquiry found that borrowers with home loans between three and five years old paid, on average, 0.58 percentage points more in interest than those taking out new loans.That’s why you could potentially save tens of thousands of dollars over the life of your loan by refinancing to a comparable loan with a lower interest rate. If you’re thinking about refinancing, get in touch – I’ll be happy to crunch the numbers for you, to see how much you could save by switching loans.Want to refinance? Let's talkHit 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 Record numbers of consumers turning to brokers

Higher interest rates make it harder for borrowers to qualify for larger loans or even loans of any size. That's because for every increase of 0.50 percentage points in interest rates, the average person's borrowing capacity falls by about 5%, according to PropTrack senior economist Paul Ryan.Since 2022, the Reserve Bank of Australia (RBA) has increased official interest rates by 4.25 percentage points, thereby reducing the average person's borrowing capacity by about 40%.If and when the RBA starts cutting rates, borrowing capacities will rise. In the meantime, the banking regulator, APRA, could achieve the same outcome by reducing a thing called the mortgage serviceability buffer.Currently, to protect borrowers and the banking system, lenders need to add a buffer of at least 3 percentage points when assessing someone’s ability to repay a home loan – so if, hypothetically, you applied for a loan with an interest rate of 6.20%, lenders would assess whether you’d be able to make your mortgage repayments if the rate rose to at least 9.20%.If APRA reduced this buffer requirement to say 2.5 percentage points or 2 percentage points, the assessment rate on the hypothetical loan mentioned above would fall, thereby increasing your borrowing power.However, APRA recently ruled that it would keep the buffer at 3 percentage points. “In reaching the decision to keep the settings steady, APRA took account of high household indebtedness and a pick-up in credit growth, persistent cost-of-living pressures, a weakening jobs market and heightened geopolitical risks,” the regulator said.Talk to me about your borrowing powerHit 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 interest rates import your borrowing capacity

If you’re a lower-income or middle-income earner, you will soon have a new way to buy a property, after the federal parliament passed legislation for Help to Buy.Under Help to Buy, individual buyers who earn less than $90,000 per year or joint buyers who earn less than a combined $120,000 will be able to purchase a property in tandem with the government.The government will take an equity stake of up to 30% in an established property or up to 40% in a new property, thereby reducing the amount of money you must contribute to enter the market. If you eventually sell the home, the government will receive some of the sale proceeds, equivalent to their stake.Property price caps apply, which vary from location to location, from $450,000 in the regional areas of Western Australia, South Australia and Tasmania to $950,000 in Sydney.Help to Buy will be open to any Australian citizens who do not currently own a home and who intend to live in the property they purchase. Buyers will need a deposit of only 2% and will not need to pay lender’s mortgage insurance.However, while the scheme has been approved at the federal level – and therefore in the ACT and Northern Territory – it has not yet been approved at the state level. For that to happen, each individual state will need to pass supporting legislation; once a state does so, it will be able to participate in Help to Buy. Ideally, that will happen sometime in 2025, although it depends on each state’s circumstances.Need a home loan? Let’s chat.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 Govt unveils new assistance scheme for owner-occupiers

Good news for anyone planning to buy in early 2025, with the latest data suggesting conditions have turned in favour of buyers.During this year's spring selling season, sales volumes across the country were 4% lower than the spring average in 2019-23, according to CoreLogic. At the same time, the median amount of time required to sell a home rose from 28 to 32 days between the August and November 2024 quarters.All this points to a market in which, increasingly, vendors are having to compete with other vendors to sell their home, rather than buyers having to compete with other buyers to purchase a property. That suggests there will be pressure on vendors to reduce their asking prices as we head into 2025, which will give buyers more negotiating power. If you’re thinking about entering the market in 2025, I’d recommend that you consider:Looking for ways to increase your savings rateAvoiding making any unnecessary large purchasesTrying to improve your credit score – by paying all your bills on timeMaintaining your current role – it’s hard to get a loan when you’re still in the early stages of a new jobContacting me for a home loan pre-approvalGet in touch if you need a pre-approvalHit 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 Buyers gaining nogatiating power heading into new year

The federal government is aiming to improve housing affordability by increasing the supply of housing, which would be expected to reduce demand and put downward pressure on prices. As a result, the government is attempting to facilitate the building of 1.2 million homes in the five years from July 2024. So what does the latest homebuilding approvals data show?Unfortunately, it suggests the government will struggle to achieve its target.In the five years to September 2024, only 937,950 approvals were issued. This is a drop-off from the five years to September 2023, when 949,469 approvals were issued, according to the Australian Bureau of Statistics. It’s also worth noting that because some projects never proceed after receiving the green light, the building of 1.2 million homes will require an even greater number of approvals.But there is some good news: Housing Industry Association economist Maurice Tapang said “the market is past its trough” and more buyers are now choosing to build new homes.“The cost of homebuilding materials are growing at a more normal pace, while build times for houses are back to pre-pandemic levels,” he added. If that trend continues, it would represent good news in terms of affordability.Need a home loan? Let’s chat.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 More homes needed to solve affordability problem