Spring 2018: Rates are rising, but FHB specials are still around
Spring is one of the busiest times of the year for the property market. Lenders have started the Season by featuring heavily in the news. A number of the lenders have decided to increase their interest rates, blaming rising funding costs. However, the good news is that specials for aspiring first home buyers are still very much around – in fact, there are a few more specials in store!
As most first home buyers are already aware, the first step of the home loan journey is the ‘home loan pre-approval‘.
With the Spring selling season upon us, more listings will likely enter the market, which means it is a good idea to get your pre-approval sorted now if you are planning to buy, after all, there are plenty of options out there. We have handpicked some of the latest home loan offers that are currently available through our exclusive & complimentary first home buyer home loan service – FHBA Mortgages, below:
1. Low Rate, Low Deposit, No Worries!
One lender (owned by a Big 4 Bank) is currently offering a cashback, low rate & much more… Some of the features include:
- For applications lodged from 17 September 2018 till 30 November 2018 only
- You will receive a cashback of $1,500 per application
- Borrow up to 90% of the property value
- Special interest rate of 3.70% (Comparison Rate 4.12%)
- Available on construction
- 100% offset account available
- Multiple offset account option also available
This special won’t last long and we can turn around a fully-assessed pre-approval or an unconditional within 2 business days!
2. State by State: Low variable rate product with no fees
One well-regarded lender is offering a special product that is available to those first home buyers looking to borrow up to 95% of the property value:
ACT, QLD, NSW, NT, TAS, WA
- 3.68% Variable rate
- 3.69% Comparison rate
VIC & SA
- 3.64% Variable rate
- 3.65% Comparison rate
Other important features of this product include: Unlimited redraw facility, no upfront or ongoing fees, ability to use your rental ledger in lieu of genuine savings and LMI capitalisation¹ available
3. Only just started a new job and on probation? No worries
Have you already approached a lender who has not accepted your income because you haven’t worked enough and are still under probation?
At FHBA Mortgages we have access to a few lenders who will take still approve your first home loan if you only have one payslip and are subject to a probationary period. The good news is that you won’t need to pay a higher rate in order to get your overtime income assessed at the higher level – you will be eligible for rates from 3.69%!
Simply click below to contact us, so we can assist you with your short-term employment situation – we are the short term employment specialists!
4. Enhanced LMI Waiver for Medical Practitioners, Dentists & Specialists
This product is being offered by one of Australia’s largest lenders. If you have 5% in the form of a deposit (can be gifted) then you may be eligible for a 95% loan without paying any LMI
If you work in a specialist industry talk to us about the special LMI Waivers we have available for you!
5. Interest only repayments on a fixed rate during construction!
If you are looking for fixed rate certainty while you are renting and building your first home then we have some options available to you, and that too with a mainstream lender.
The 3 year fixed rate that only first home buyers are eligible for is 3.79% and you will pay only interest during the construction period, assisting you by giving you an exact indication of your repayments so you can budget accordingly.
You can borrow up to 95% of the property purchase price with this particular lender. To find out more about this product, please click below:
Glossary of Terms:
¹LMI Capitalisation – Whereby the Lenders Mortgage Insurance premium is not paid upfront by the borrower but instead added onto the total loan balance and therefore paid over the term of the loan by the borrower
² Fixed Rate – A fixed interest rate loan is a loan where the interest rate doesn’t change during the fixed rate period of the loan giving you certainty in your repayments
³ Non-Genuine Savings – These are sums of money that may have been gifted to you or received as a lump sum from a transaction, but have not been genuinely saved over time, e.g. Gifts, tax refunds, inheritances etc…
Every aspiring first home buyer’s situation is different, therefore it is important to get some expert advice on which product is suited to your needs. Are you looking to compare these different home loan products? Perhaps you just want to know your borrowing capacity or get a better understanding of how your first home loan works? Click here to speak with an FHBA Mortgage Broker.
Disclaimer: The information on our website including this page is general in nature and should be solely relied upon. The advertised rates above were true and correct at the time of the publication. The rates do not take into account other fees and charges which you should also consider. The comparison rates are true only for the example given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. The credit license responsible for the mortgage service offered to clients is Mortgage Australia Group Pty Ltd, Australian Credit License (ACL) number 377294, Australian Business Number (ABN) 99 091 941 749. Mortgage Australia Group Pty Ltd is a member of the Mortgage & Finance Association of Australia (MFAA). FHBA Pty Ltd is an authorised credit representative of Mortgage Australia Group Pty Ltd. You should seek professional advice when obtaining finance and purchasing your first property.
First Home Buyers Australia