Geoff Wood, director of My First Property Finance, says bigger deposits generally lead to lower interests rates with some banks, however licensed finance or mortgage brokers are often able to negotiate the same rate even if the deposit is only five per cent of the total loan amount.
“In general terms, banks will lend up to 95 per cent of the total $450,000 value of that property, which means you can borrow $427,000, and of course the deposit you need will be reduced if you are eligible for the first home buyer’s grant,” Woods says.
“It’s vital to remember that there are always extra costs and charges involved in buying a property that will increase the size of the deposit required. Conve...
A mortgage broker is such a powerful adviser that, for good or bad, they are likely to have a major influence on your financial life. Here’s some advice from industry experts on five important signs that you have scored a good one.
1. Their credit guide
According to Peter White, CEO of the Finance Brokers Association of Australia (FBAA), the first thing that helps to recognise a good mortgage broker is that they give you their credit guide up-front before talking to you.
“It’s a document that discloses their range of services, their background, what their internal and external dispute resolution processes are, what industry associations they are members of and what ombudsman they are a pa...