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First-time buyers often have the misconception that all they need is a down payment and monthly mortgage. Many people don't realize there are plenty of other costs associated with homeownership; many first home buyers find themselves in trouble because this detail trips them up later on.Aside from additional costs, stamp duty is something that usually surprises the homeowners while burning a hole in their pocket. Precisely because in Australia, there's no standard rate of stamp duty, rather, every state has its own rates.To simplify your query, this blog particularly aims to inform you of everything relating to NSW stamp duty.  What is Stamp Duty Stamp duty is a kind of tax payable on certain purchases like property or land, as well as on distinct assets that fall under that banner. The tax is levied by the Australian state and territory government on all the legal documents, agreements, and trusts implicated while purchasing an asset, precisely having legal ownership of a particular asset transferred to you.  Who is Stamp Duty payable to in NSWIn NSW Australia, stamp duty is payable to the Office of State Revenue. The transaction can be made by mail or BPay and there are several other ways as well. The money goes towards funding public sectors in NSW which put it back into our economy for a good cause. Usually, the government uses these funds to strengthen the sectors like health, emergency services, transport, education & training, and emergency services.  When do you require to pay the Stamp Duty in NSW?Stamp duty is what you pay when you buy a property, and it can happen in two ways: either the contracts are exchanged and when the transaction is finalised. While buying a property you will need to pay the amount within 3 months after the completion of the transaction. To be more accurate, interest will start to accrue on that purchase from day one so be sure not to let more than 3 months go by before paying your stamp duty.If an individual purchases their home with a loan after this window has expired without exchanging contracts first then they are liable for additional fees such as conveyancing costs (to draw up legal documents), mortgage registration charges (for registering the new borrower's name over the title deeds) and also insurance premiums which may need updating.In case you're buying a residential unit of the plan, then the stamp duty should be paid within 15months of the deal.  How to find out how much stamp duty you'll have to payOne of the best ways to figure out your stamp duty is by researching from your end. No one would like to be left with the large unexpected tax on the day of purchase. Hence, an online stamp duty calculator can be a great help. This can help you give an exact idea of the tax, by feeding the dutiable value of the property, type of property, what are purchasing and location. Stamp Duty Calculator What are the rates for stamp duty NSW stamp duty rates are separated into specific … [Read more...] about The Ultimate Guide To Stamp Duty For Property Buyers in NSW

From July 1, the federal government will release a total of 30,000 openings in three different assistance programs aimed at first home buyers and single parents.At the same time, the government will increase the price caps that apply to two of the programs, making them easier to access.The three schemes allow eligible buyers to purchase a property with a deposit of anywhere from 2% to 5% (depending on the scheme). The government guarantees the ‘gap’ between that 2-5% deposit and a standard 20% deposit, so the buyer doesn’t get charged lender’s mortgage insurance (which generally applies when buyers have a deposit under 20%).Under the First Home Loan Deposit Scheme, 10,000 first home buyers can purchase existing homes with a 5% deposit.Under the New Home Guarantee, 10,000 first home buyers can buy or build new homes with a 5% deposit.Under the Family Home Guarantee, single parents (who may or may not be first home buyers) can purchase a property with a 2% deposit.The schemes have price caps, which vary from region to region. From July 1, the caps will increase for the First Home Loan Deposit Scheme and Family Home Guarantee.Needing a great deal? 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 Government makes it easier for first-time homebuyers and single parents to buy property.

The total value of residential dwellings in Australia has surpassed $8 trillion for the first time, according to new data from the Australian Bureau of Statistics. During the March quarter, the total value of Australia's 10.6 million homes rose by $449.9 billion – the biggest jump on record.At the same time, national property prices rose 5.4% – the fastest rate of growth since the December 2009 quarter. The breakdown by capital city was:Sydney = 6.1%Hobart = 6.1%Canberra = 5.6%Perth = 5.2%Melbourne = 5.1%Darwin = 4.7%Brisbane = 4.0%Adelaide = 4.0%Needing a great deal? 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 Red-hot property market sets new record

Reserve Bank governor Philip Lowe has reminded banks they need to continue rigorously assessing home loan applications.“It is important that lending standards remain sound in an environment of low interest rates and rising housing prices,” he said in a recent speech.“The RBA does not, and should not, target housing prices. We do, though, have a strong interest in trends in household borrowing, especially given the already high level of household debt in Australia.”What, exactly, are 'high lending standards'? Well, it can differ from lender to lender, but it's based on three core factors:Employment status and incomeSavings and credit historyExisting loans and equityWhere it gets tricky is that different lenders assess those factors differently, and so reach different conclusions on who they lend to. As a mortgage broker, I can give you expert advice on which lender would best suit your personal circumstances.Need trusted home loan advice?Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. Call me 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 RBA urges banks to keep lending standards high

Buying a home is perhaps one of the biggest financial decisions a person makes in their life. I would say it's the biggest and beautiful decision which will age with you, and see the ups and down together with you. Now when it dwells ready to become a part of your life how can you make the experience you regret. So of course you want to be sure the decisions you're making are the right one.Now when you've found your right home at the right price, then the next thing that awaits is the right source of borrowing money. There are so many options out there that can be tempting for ease to opt for a mortgage with one out of them.Now with the changing time gone are days when Australians were only reliant on the banks rather it has turned out to be mortgage brokers in Sydney are the new guide and financial aid who are rescuing you from the luring deal while steering you through the process and hitching on the best deal for you. But the good news is they don't just help you find the perfect mortgage but also save you time, money as well as are legally obliged to put your interest first. They're always on your side As we all possibly know, always a mortgage broker in Sydney is obliged to serve you. So the time you join your hands with a mortgage broker, they will do things to benefit you. They don't work for the lender, they work for you and to profit you, they can give access to far more products than the bank or if you went direct. They give you unbiased advice and an array of options from their lending panel to choose the one which suits you the most and best. They abide by the law A Sydney mortgage broker is abide by the law 'Best Interest Duty' obligation. According to Best Interest Duty, a broker will work for you, not the lender. So, even though a particular product may add a commission to the broker, they won't recommend it until it lies in your true interest. They understand your financial need A mortgage broker in Sydney works to provide the best out of their knowledge and only a mortgage with the lowest interest rate is best is not necessarily true. That's why the best mortgage broker will always first analyse your financials to understand your financial needs, circumstances and goals.They ask you several questions and go through your credit scores, and use this information to filter out the most suitable options from their lending pane. You may save some extra bucks Several different types of fee can be involved in taking a new mortgage loan or say while working with a new lender, which includes an origination fee, application fee, appraisal fees. Working with a mortgage broker in Sydney may be able to get lenders to waive some or all of the fees, which can eventually save hundreds to thousands of bucks. You're protected While in the process your mortgage broker has a duty of care to you. Thus out of their duty, they must recommend a suitable mortgage and must be able to justify the reasons for selecting that particular loan. Why he thinks the … [Read more...] about When you visit a Mortgage Broker, your interests are better protected

Borrowers who stick with the same lender year after year are probably being slugged with a ‘loyalty tax’, according to new data from CoreLogic. Owner-occupiers who took out new variable loans in April were charged an average interest rate of 2.77% p.a. However, owner-occupiers with existing variable mortgages were charged an average of 3.10% p.a. – forcing them to pay a loyalty tax of 0.33 percentage points.Investors had to pay an even larger loyalty tax, with variable loans priced at 3.06% for new borrowers and 3.44% for existing borrowers – a gap of 0.38 percentage points.For a $500,000 mortgage, those interest rate differentials can add up to a lot of money over the life of the loan:You pay $31,887 less interest over 30 years with a rate of 2.77% p.a. rather than 3.10% p.a.You pay $37,539 less interest over 30 years with a rate of 3.06% p.a rather than 3.44% p.a.Paying too much? 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. Book a chat 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 Loyal borrowers pay higher interest rates

With more Australians now working from home, taxpayers have been warned not to “copy and paste” expense claims from previous years that would no longer apply.The Australian Taxation Office (ATO) said it would look closely at anyone who claims significant working-from-home expenses, while also maintaining or increasing their claims for things like car, travel or clothing expenses.“You can’t simply copy and paste previous years’ claims without evidence,” assistant commissioner Tim Loh said.“But we know some of these unusual claims may be legitimate. So, if you explain your claim with evidence, you have nothing to fear.”Mr Loh said the ATO expects working-from-home claims to increase, as the number of home-based workers has jumped since the pandemic.“But, if you are working at home, we would not expect to see claims for travelling between worksites, laundering uniforms or business trips.”Mr Loh said the ATO’s data analytics team would be on the lookout for unusually high claims.“Particularly where someone’s deductions are much higher than others with a similar job and income,” he added.Needing a great deal? Hit the button below to arrange a conversation with one of my loan specialists to find a deal that's best for your situation. ATO's Warns on 'Copy/Pasting' Claims 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 taxpayers about dubious expense claims

The total value of Australian residential real estate has now passed the $8 trillion mark, reaching $8.1 trillion at the end of April, according to CoreLogic. CoreLogic head of research Eliza Owen said that puts the value of residential property at:4 times the size of Australia’s GDP$1 trillion more than the combined value of Australia’s stock market, superannuation savings and commercial real estate stockThis valuation landmark is an important reminder that whether you want to refinance an existing loan or buy a new home, it’s vital to know the value of the property.If your loan-to-value ratio (LVR) is less than 80%, your mortgage broker will have a better chance of getting you a lower interest rate. Also, you won’t have to pay lender’s mortgage insurance (LMI).Existing homeowners can borrow against the equity in their home, and use it to fund the deposit on an investment property.Want to refinance?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 Property now worth four times the size of Australia’s GDP