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Some interesting new data sheds interesting light on the eternal debate over whether to have a variable or fixed home loan.Reserve Bank of Australia data for August shows owner-occupiers on three-year fixed loans were paying, on average, 1.26 percentage points less than those on the discounted variable rate.However, as the graph shows, these things move in cycles. The gap between fixed and variable rates might start closing, with the Reserve Bank signalling it will start increasing official interest rates once the economy strengthens. If you're wondering whether to go fixed or variable, here are three things to consider:Does your variable rate have features a fixed loan might not have?Do you want the repayment certainty that comes from a fixed loan?Have you considered a split loan, which is part variable and part fixed?Want to compare rates? Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Book a review 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 Fixed vs variable rate comparison reveals big difference

Almost 598,000 residential properties were sold in the year to August, which is the highest number of annual sales since 2004, according to CoreLogic.The August result was 42% higher than the year before and 24% higher than the 20-year average. Six states and territories recorded sales volumes above their 20-year average:QLD = up 28.9% on the 20-year averageWA = up 28.6%NSW = up 25.3%ACT = up 24.8%SA = up 23.4%VIC = up 20.5%TAS = down 3.3%NT = down 12.0%As the statistics show, buyers are competing hard for properties right now. So if you’re in the market, it’s vital you get your finances in order. That way, if you see a property you like, you can beat the competition.See how much you can borrow now.Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Book a review 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 snapping up properties in red-hot market

Why Our Stamp Duty Calculator is the Best Solution For Property Owners In Sydney? Stamp duty is a mandatory tax that the state and territory governments levy on a home buyer, whenever they purchase a property. It is the amount of tax you will have to pay on any property purchase. The amount will depend on a number of factors, including where you live and if you are a first home buyer in Sydney. When purchasing a home or investment property, there are a number of costs that can take buyers by surprise, especially if you’re a first home buyer in Sydney and you are just becoming familiar with how the entire buying process works.Whilst there are a few costs that can be factored into your home loan, there are others that are required to be paid upfront, and by a certain deadline – and this includes the stamp duty for the residential property you have purchased. It is important to note that the amount of it payable is subject to a few varying calculations, and the total cost is influenced by which state and even the territory you are purchasing in, the property’s value or purchase price, and if it will be your primary place of residence or as an investment. For instance, the stamp duty calculator in NSW indicates that it should be paid within three months of the settlement of the property.How do you calculate stamp duty?The fees vary depending on the state or territory you are purchasing in. Each region has its own sliding scale, subject to its own calculations. Ultimately, it is determined by the dutiable value of your property, which is the price you paid for it, or its value on the market at the time of purchase.The lower the value of the property, the lower the bracket will be, and the less you will have to pay. To look at it another way, it is calculated by applying a sliding scale of taxation, with percentages increasing according to the value of the property. The general rule is that the cheaper the property, the less tax will be paid. Freshwater Financial Services’ stamp duty calculator in NSW is determined based on the dutiable value of the property, the place it is purchased in, and the property type. The data required, is sourced directly from the relevant state or territory office of state revenue, to ensure the most accurate figures. However, there are a number of other factors that can also determine the costs of it.In helping you secure a competitive home loan that suits your goals and financial position, a qualified and experienced mortgage broker can also assist in calculating how much you should expect to pay, according to the property you are purchasing and the place you choose to buy your home in. Knowing the amount earlier on can help you best budget for it, and it is always advantageous to have a professional guide you through the buying process, especially when you are a first home buyer in Sydney.Connect with us today and let us help with your stamp duty calculations, you can book a free appointment with our best … [Read more...] about Why Our Stamp Duty Calculator is the Best Solution For Property Owners In Sydney?

The Australian Taxation Office has reminded property investors to beware of common tax traps that can delay refunds or lead to an audit.The most common mistake investors make is failing to declare all their property income, including capital gains from selling an investment property, according to the ATO.Other common mistakes include claiming for interest charges on personal loan amounts and immediately claiming the full amount of capital works.“If you take out a loan to buy a rental property and rent it out at market rates, the interest on that loan is deductible. However, if you redraw money from that mortgage for personal use, such as buying a boat, or going on a holiday, you can’t claim the interest on that part of the loan,” according to the ATO.“We also see taxpayers claiming capital works as a lump sum rather than spreading the cost over a number of years. Capital works include a new building or an extension, renovations or structural improvements.”For more information, see the ATO's investors toolkit and its depreciation and capital allowances tool.Chat to us today.Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Book a review 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 ATO warns property investors about tax mistakes

There are a lot of schemes which the Government keeps on rolling out to ease out the financial burden of buying a home. Under the First Home Buyer Assistance scheme (FHBAS), NSW, a first home buyer may get a concessional rate of transfer duty or even an exemption from paying the duty altogether. The First Home Buyer Assistance Scheme, NSW, applies to buying an existing home, buying a new home and vacant land on which you intend to build a home. The threshold of this scheme expires on 31st July, 2021. So hurry up, if you are excited to become a first home buyer.Below are the thresholds from 1 August 2020 to 31 July 2021:New Homes: Buy a new home valued at less than $800,000, apply for a full exemption, and pay no transfer duty. Buy a new home valued between $800,000 and $1 million, and apply for a concession transfer duty rate. The amount will be based on the value of your home.Existing Homes: Buy an existing home valued at less than $650,000, apply for a full exemption and pay no transfer duty. Buy an existing home valued between $650,000 and $800,000, and apply for a concession transfer duty rate. The amount will be based on the value of your home.Vacant Land: You won’t pay transfer duty if your land is valued at less than $400,000. For land valued between $400,000 and $500,000, you’ll receive a concessional rate.The First Home Buyers Assistance Scheme, NSW is a scheme to encourage the people of NSW to become first home owners. It helps first home buyers take the first step and deposit their first amount with the government helping them with concession transfer duty rate. You are eligible to all the benefits of this scheme if you fulfil the following criteria:The contract date must be on or after 1 July 2017 and must be for the whole property.Note: To be eligible for the increased transfer (stamp) duty threshold available between 1 August 2020 and 31 July 2021, the contract date must be on or after 1 August 2020 and on or before 31 July 2021.You must be an individual, not a company or trust.You must be over 18 years of age.You, and your spouse or partner, must never have owned or co-owned residential property in Australia.You, and your spouse or partner, must never have received an exemption or concession under this scheme.At least one of the first home buyers must be an Australian citizen or permanent resident.Why should you take the help of a mortgage broker in Sydney while using the scheme?It is not an easy task to find the right home for yourself. In fact it sure is one of the biggest financial decisions one makes in a lifetime. There is too much to know as it will be a completely new learning curve and no doubt there will be a lot of anxiety. Therefore it definitely helps to have someone by your side, like a verified mortgage broker in Sydney, to help you throughout the home buying journey, making sure you understand the process of First Home Buyer Assistance Scheme NSW every step of the way. To find the right mortgage broker in Sydney … [Read more...] about First Home Buyer Assistance Scheme

Do you want to make your home more sustainable? If so, you might be interested in taking out a ‘green loan’.A range of lenders now offer special loans for borrowers who want to finance home improvements such as:Installing solar panelsInstalling water tanksAdding insulationAdding double glazing to the windowsDoing renovations to make the home more energy-efficientLenders increasingly want to prove their green credentials and attract customers who care about the environment.One way to do that is with green loans, which may offer lower interest rates and different borrowing conditions than traditional loans.Want a green loan? I can help. Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Book a review 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 Lenders offering special loans for green home improvements

There is never a right or the wrong time to buy a house. If you are planning to get one for quite some time, go for it because now is the time for you. The current market rates are at their lowest now than they have ever been before. Adding to that, there are a lot of governmental schemes and concessions for first home buyers in Sydney to help them through their housing finances today, encouraging them to take the first step in becoming a first home buyer.If you are still skeptical about the process of purchasing a house and are unaware about housing finances, you need not worry about that because there are a lot of mortgage brokers in Sydney to help you with that and also to find the best offers that are right for you. Though, you might need to work a little while finding the best mortgage broker for your home. There is no right time to buy a home, it is only right when you are ready to become a first home buyer in Sydney. If you have been thinking about purchasing, moving, investing or downsizing a home there are advantages to making 2021 the year you make your move. Here are some reasons as to why it could be your year: Interest RatesThe interest rates this year have been the lowest we have ever seen in history making it an ideal year to invest in that property you have always wanted to. The rates are likely to remain low for the next few years, giving you an edge to make a sound decision. There are many important factors that need to be taken into account while planning to become a first home buyer in Sydney, and interest rates are one of the major ones. You can take help from your mortgage broker too when it comes to getting a discount on the interest rates from your lender.Schemes and Incentives Government schemes and incentives for first home buyers help them in taking the first step towards buying a home. It is necessary to do proper research about the current schemes, state and federal included, to make a sound decision. Location Is it not surprising that buying a house in a suburb is cheaper than renting. It costs less to pay a home loan each month than to pay rent. This is good for all the first home buyers in Sydney and around the country who may not realise that buying a property could reduce their home buying costs in the long term. Plenty of Options around the Suburbs Although the overall number of houses for sale in Australia remains low, there are still plenty of suburbs around the country where conditions are skewed towards home buyers. Considering the ‘buyer’s market’, suburbs across Sydney and Australia present a great opportunity for home buyers looking to get into or move within the market. Mortgage Brokers A good mortgage broker can help you find savings on your home loan. They can negotiate a good home loan deal with your lender or help you look for cashback offers and interest rate deals that could help you save on your home loan. Mortgage Brokers take the hassle and complexity out of the process in finding the right home … [Read more...] about 5 Reasons 2021 Could Be The Year To Buy a Home

Properties are being removed from the market faster than they’re being added, which is pushing up demand and prices, according to CoreLogic.Between May and July, 1.4 homes were sold for every 1 new listing added to the market. Supply and demand are in balance when the number of sales matches the number of new listings. But in all capital cities, for every 1 new listing there were more sales:Adelaide = 2.0 salesACT = 1.5Sydney = 1.5Hobart = 1.5Brisbane = 1.3Melbourne = 1.3Perth = 1.2Darwin = 1.1The reason the sales-to-new-listings ratio is so high right now is because properties are selling at their fastest rate since 2004, while new listings are below their long-term average.With prices rising fast, the sooner you enter the market, the less you’ll have to pay. So speak to a broker if you’re thinking about buying in 2021.Speak to us today. Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Book a review 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 Demand outstripping supply in all capitals