December 9, 2016
safe-mortgage-brokers

Are Mortgage Brokers safe?

Why does my broker ask for so much documentation? No one likes paperwork; however, providing your broker with the right documentation will save you time and money.   What information will your broker ask you to provide? When you ask to enlist the services of a broker, they will probably ask you for the following documentation: Identification, including photo ID such as driver licence Income verification documentation such as recent payslips Birth certificate, if you are applying for a government funded first home owner grant Depending on the lender or bank you would like your broker to apply to for […]
November 16, 2016
no-lmi

How to avoid paying LMI

Lender’s mortgage insurance (LMI) is required in many instances when a home loan is worth more than 80 per cent of a property’s purchase price, as well as in some other circumstances. In very basic terms, when a lender considers a loan to carry a high risk, LMI is likely payable. Here’s how you can avoid paying the costly premium. Save for a higher deposit The purpose of LMI is to protect lenders in case the borrower fails to make repayments and, when the loan-to-valuation ratio (LVR) exceeds 80 per cent, so the loan amount is more than 80 per […]
October 6, 2016
refinance

When Would I Refinance My Mortgage?

Whenever it makes financial sense to do so. Heard about mortgage refinancing? In the past, most Melbournians who took out a mortgage doggedly continued with it until they had paid it off. These days, people refinance their mortgage much more frequently. The average duration of a home loan in Australia now is just 4-5 years. Here we look at some of the reasons people in Australia refinance their home loan & mortgage. Reason #1: Finding a better rate The most common reason for people to refinance their mortgage is to get a better rate. But be careful you don’t become […]
September 26, 2016
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2016 September Housing market update

It has been another strong week for auction activity, there were 2,445 auctions held across the combined capital cities with a preliminary auction clearance rate of 78.3 per cent this week. Last week, the final auction clearance rate was recorded at 76.2 per cent with 2,149 residential properties taken to auction. At the same time last year, auction volumes were higher (2,835) with a clearance rate of 69.7 per cent. Over the first four weeks of spring, auction clearance rates have consistently been recorded at a higher rate than over the corresponding weeks last year, while auction volumes remain around […]
September 1, 2016
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How to Negotiate with your real estate agent

At the moment over 90% property transactions you are likely to deal with real estate agent, Therefore, it is worth taking time to understand what makes them tick. Moreover, they will ask numerous questions to find out your needs, however, if you can understand your agent it is an added advantage for you. Rule number one, a real estate agent represents the seller, not the buyer. Agent are paid a commission on the sale of the property, so it’s not just their responsibility to ensure the vendor gets the highest possible price, it’s in their interest. Furthermore, this will help […]