Home Buyers

First home Buyers

NO STRESS!

Buying your first home – it’s a very exciting time but can also be very daunting when going through the home buying home loan process.

Clarity: we will explain the process and loan types to ensure your understanding, provide the most competitive loan options to you.
Knowledge: We develop a sound understands of your needs and goals to research and negotiate with the banks matching the perfect loan for you.
Freedom to focus: We manage the process from beginning to end as your one point of contact as we communicate with the Real estate agent, settlement agent and the banks for you so you can focus on other important things in your life.
All the paper work is taken care of including the First Home Owner Grant and Home Buyers Assistance Account. We also lodge these for you to ensure you receive everything you are entitled to.
Most importantly our support to you on your journey continues. We are always there to help achieve your financial goals through the most competitive loan and for your needs.

Moving Up

your FOREVER HOME IS WITHIN REACH

if you are buying your dream home we understand your new home is your one priority with time being a precious commodity –

We form a deep understanding of your requirements and goals and from those we do the research and negotiate with our lenders to deliver the most competitive and appropriate loan for you.
Having us as your one point of contact to manage the process from end to end freeing your time and ensuring you can focus on the other important aspects in what is a very exciting experience.
If you need assistance with any required services from settlement agents to pest control we know the people who are ready to help.

Investors

SMARTER investment properTIES

if you have a property portfolio or are looking are at creating one we are here to help,
How we help –

We negotiate with all our panel lenders to ensure the most competitive rate and product to minimise your interest costs saving you as much as possible
Having us as your one point of contact to manage the process from end to end freeing your time and ensuring you can focus on the other important aspects in what is a very exciting experience.
If you are looking at your first investment property we ensure your loan is structured to be the most tax effective means and can assist with our trusted partners (accountant and Financial adviser) to ensure you are in the best position moving forward.
If you have an existing portfolio, we will review your facilities and prepare competitor quotes to minimise your interest rate and match the lenders offering to your exacting requirements

YOUVE GOT QUESTIONS, WE’VE GOT ANSWERS!

There are 2 main reasons why more then 60% of loans are arranged by a mortgage broker and that aside from being ethical business practice is that we are required by law to ensure your best interests are met in the lowest rate products from over 30 banks and ensuring it meets your needs to the letter, secondly at Keating finance we manage the process from beginning to end giving you one point of contact and a stress free and enjoyable experience so you can focus on the other important things in your life.

By the bank you choose when you are satisfied and the loan has settled (you own your home). The bank have 2 sales channels in their branch network which they rely on the staff in them to assist clients that walk off the street and pay the staff wages and the other is the broker channel which is where they pay a commission for introducing your valued business to them.

A preapproval is where you have determined the amount you want to borrow and the loan product and type but not the home so we arrange to have the bank assess your application based on your current situation and they can conditionally approve the loan by assessing your current situation tmeaning all you need to do is find your dream home or investment property.

If you are paying more than your minimum scheduled home loan repayments. This means you’ll have money available to take back out – if you want to.

Offset account -An offset links a transaction account to your variable rate home loan. The money in that account offsets the interest on your loan balance. This is how you can pay less interest with an offset account. The more money you have in the offset account, the less interest you pay on your home loan.

An example of how an offset account works

Say you’ve taken out a 25-year mortgage for $500,000. Now, suppose you pay an average interest rate of 3.5% p.a.

We’re going to assume you have, on average, $10,000 sitting in your linked account.

Over the life of your loan, you’d save $13,663. Effectively, you end up paying off your loan sooner – your 25-year mortgage ending 5 months early.

Fixed rate – A fixed interest rate loan is a loan where the interest rate doesn’t fluctuate during the fixed rate period of the loan. This allows the borrower to accurately predict their future payments

Variable rate – this is a loan in which the interest rate and hence repayments can go up, down or stay the same. The interest rates are determined by a number of factors including the Cash rate determined by the Reserve Bank of Australia

Lenders Mortgage insurance – (LMI) is a one-off, non-refundable, non-transferrable premium that’s added to your home loan. It’s calculated based on the size of your deposit and how much you borrow. The more you contribute to the purchase price of your property, the lower the cost will be. LMI protects the bank (not the borrower) against any loss they may incur if you are unable to repay your loan.

Loan to Value Ratio – (LVR) – is the amount you’re borrowing, represented as a percentage of the value of the property you’re buying. The bigger your deposit, the lower the LVR will be.
The Loan-to-Value Ratio is calculated by dividing the loan amount by the purchase price or valuation of the property you’re buying, expressed as a percentage.

For example, let’s say that you’d like to borrow $450 000 and the property price is $600 000. The LVR of the home loan would be calculated like this:

($450 000 loan ÷ $600 000 property value) x 100 = 75% LVR

Guarantor – A guarantor is someone who agrees to be responsible for repaying a debt owed to the bank under a loan provided to another individual, if the borrower(s) can’t make their repayments. A guarantor supports the loan by providing the bank with additional security such as a property they own. By providing a guarantee, the bank may lend to the borrower in situations where they may not have been able to secure the full amount on their own.

This usually relates to a family guarantee – Under a family security guarantee, a family member with sufficient equity in their home can use it as a security guarantee for your loan.

The person providing the security is known as the guarantor. The guarantor doesn’t give you or the lender any money. However they will have to accept the obligations associated with entering into a guarantee. And you will still need to make the repayments.

The guarantor’s security doesn’t cover the entire loan amount, just a portion of it. This is usually the amount needed to reduce your loan-to-value ratio (LVR) to 80%. The guarantee is limited to this amount.

If the security guarantee reduces your LVR to 80% you won’t pay Lenders Mortgage Insurance.