Updates

09 DecWONDERING HOW MUCH FIRST HOME BUYERS NEAR YOU ARE PAYING?

In just a few seconds, you can find out some data about first home buyers in your suburb. Click this link, type in a postcode and you’ll discover the average profile of first home buyers who participated in the First Home Loan Deposit Scheme during the first six months of 2020. Looking at the national data, for 6,814 borrowers, the average profile was: · Age = 25-29 · Household income = $91,000 · Purchase price = $400,000 · Loan-to-value ratio = 95% · Debt-to-income ratio = 4.3 Normally, when someone buys a property with a deposit of less than 20%, they have to pay lender’s mortgage insurance (LMI), which can cost thousands of dollars. But under the First Home Loan Deposit Scheme, the government acts as a guarantor, which allows eligible borrowers to put down a deposit of just 5% and avoid LMI. The First Home Loan Deposit scheme is open to only 20,000 first home […]

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07 DecBE CAREFUL WITH ‘BUY-NOW-PAY-LATER’ THIS HOLIDAY SEASON

The use of buy-now-pay-later services is exploding – and causing some people financial harm. The number of active buy-now-pay-later (BNPL) accounts increased 38% and transactions jumped 90% between the 2017-18 and 2018-19 financial years, according to a report from ASIC. ASIC found that 21% of users who were surveyed had missed a payment in the previous 12 months. Another negative impact is the red flags it can raise during a home loan application. Banks and lenders that see BNPL on your banking statements get nervous about your savings and spending habits.  Simply put, lenders might question your ability to budget and live within your means.  All BNPL providers are not looked at the same when you apply for a home loan. Some have higher risk associated with the way they lend money and it can lead to more difficulty with a home loan application. If you’re going to use BNPL, treat […]

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26 NovBoosts, bonuses and grants available to first home buyers

20 Oct 2020 What’s not to love about free money? First home buyers who buy or build a new place can tap into grants worth tens of thousands of dollars. Better get in quick though, most end on 31 December 2020. Here’s how the dollars stack up. $25,000 HomeBuilder The $25,000 HomeBuilder grant could be yours when you buy or build a new home priced below $750,000. Or, you could be eligible for HomeBuilder if you buy a doer-upper with plans to renovate. You’ll need to spend at least $150,000 on improvements to be eligible. Limits apply to your income and property value to be eligible.  See if you can claim HomeBuilder. $20,000 WA Building Bonus Build a new home in WA, and you could pocket up to $45,000. That’s thanks to the welcome combo of the $25,000 HomeBuilder grant plus the $20,000 Building Bonus grant exclusive to WA. Building Bonus isn’t […]

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12 NovHow much home loan deposit do I really need?

Home loan deposits are a lot, right? All those zeroes and decimal places. You save and save but sometimes the goalposts move, or you have to make an unexpected trip home, or you just really needed that jacket and it was on sale. The good news is, we understand it’s tough to save, especially when you really love all three of your streaming services. We want you to walk up your street and be filled with happiness at the sight of your own place. We want to see you in your comfy new living room. We want you to feel settled while you binge Game of Thrones. And we’re good at maths, so we know it’s way easier to save 5%. That’s why we let you borrow up to 95% of the value of your chosen property. But here’s the best part. Your deposit doesn’t have to all come from […]

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20 OctSimply Living Spring 2020

Welcome to the Spring edition of Simply Living. In this edition, we take a look at the new era of Open Banking and what that means to you. We also take a dive into the current reality for first home buys, and whether now is a good time to enter the market. Finally, we take a look at ways in which you can strike a balance between both residential and commercial property as part of a wealth creation strategy, by way of mixed use property investment. Now you own your data: the new world of ‘open banking’ explained.The promise of open banking is big; a new, simpler way to share your personal financial data between banks, lenders and financial companies. It started on July 1. Here’s how it works and what it means to take back control of your data to get the best rates and offers. Read more Low rates, […]

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