Tips For First-Time Home Buyers About Home Loans In Australia
Buying your first home may be something you’ve dreamed about for many years. You’ve finally decided that it’s time to take the plunge and get your own residence. However, the buying process can be extremely overwhelming when you’ve never gone through it before. By understanding how the buying process works and the necessary components involved in it, you can be better prepared when you start to go through the buying process yourself.
The first factor you need to consider when you start thinking about buying a home for the first time is the down payment. This is going to be the amount of money you’re going to have to give the bank in order for you to be eligible for home loans in Australia. Most lenders require a minimum of 20 percent of the value of the property you plan on purchasing as the down payment amount. Realize that the higher your initial down payment, the lower the interest rate and the less likely a lender for home loans in Australia will require you to have lender’s mortgage insurance or LMI.
First-time homebuyers have a major advantage over previous homeowners when it comes to the First Home Owner Grants. These can help to reduce the amount of your down payment. In addition, first-time homebuyers are eligible in some States and Territories for stamp duty concessions. By checking what areas are eligible, you can better decide where you may want to purchase a home. There are many resources for these grants online and we highly advise that you check them out further as they can save you a ton of money on Loans.com.au Home Loan in Australia.
There are going to be up-front costs to purchasing a home. You can’t simply roll everything into the home loan. You’ve learned already that a 20 percent minimum deposit is going to be required by any lender of home loans in Australia. You will also need to plan for the up-front costs of Stamp Duty, legal fees, moving costs, and application fees. The actual purchase of a new home is going to require more than just the down payment amount you have saved. Speaking with a real estate professional can help you to figure out what these excess fees are so that you can be prepared to pay them before-hand instead of being caught off guard trying to come up with money at the last minute.Home loans in Australia can be an overwhelming task for newbies. There seems like there is so much involved and you just don’t know where to start. There is surely a lot involved in obtaining home loans in Australia, but if you take the time to do your research and talk to licensed professionals they can guide you along the way, including using a Home Loans calculator www.loans.com.au/calculators/home-loan