When it comes to mortgages and loans, knowledge isn’t just power — it’s profit. This blog is where we break down the market updates, latest trends, expert insights, and practical strategies to help you make smarter financial decisions. Whether you’re buying your first home, refinancing, expanding your business or growing your investment portfolio, we’ll give you the tools to navigate the lending landscape with confidence. A well-informed borrower is a step ahead — so let’s make sure you’re always in the driver’s seat.
Frequently Asked Questions - Clear Answers for Confident Decisions
When it comes to mortgages and loans, asking the right questions is the first step to making sound financial choices. This FAQ section provides straightforward, practical answers to help you navigate interest rates, loan options, and the borrowing process with confidence. A well-informed decision today can lead to stronger financial outcomes in the future, and we’re here to help you every step of the way.
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What Mortgage Brokers Do?
A mortgage broker acts as a middleman between you and lenders, helping you secure a home loan. They must act in your best interests when recommending a loan. A good broker will: - Understand your needs and goals. - Assess how much you can borrow. - Find suitable loan options. - Explain loan features, costs, and fees. - Handle the application and settlement process.
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How Mortgage Brokers Get Paid?
Most brokers are paid a commission by lenders, so you don’t pay them directly. Some brokers receive a flat fee, while others get a higher commission for recommending certain loans. In some cases, brokers may charge you a fee in addition to lender commissions. If you're unsure about costs, compare different brokers or check online.
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Before Meeting a Mortgage Broker
- Check They’re Licensed Ensure the broker is licensed to provide credit advice by searching ASIC’s Professional Registers: - Credit Representative - Credit Licensee If they’re not listed, they’re operating illegally. - Know What You Want Think about your priorities before meeting a broker. Do you want the lowest-cost loan or specific features like extra repayments? Make a list of: - Must-haves (essential features) - Nice-to-haves (optional features)
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How Much Money Can I Borrow?
The amount you can borrow depends on your income, expenses, debts, and credit history. Lenders also consider your deposit and loan type. A mortgage broker can help assess your borrowing power.
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What Is the First Home Owner Grant (FHOG)?
The FHOG is a government grant for eligible first-home buyers to help with purchasing or building a new home. The amount and rules vary by state or territory.
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How Do I Know If I’m Eligible for the First Home Owner Grant?
Eligibility depends on factors like: - Being a first-home buyer - Buying or building a new home - Living in the property as your main residence Check your state or territory government website for details.
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What Other Costs Are Involved?
Beyond your deposit, you may need to cover: - Stamp duty (varies by state) - Legal and conveyancing fees - Lenders Mortgage Insurance (LMI) if your deposit is less than 20% - Loan application and ongoing fees - Building and pest inspections
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What Is Lenders Mortgage Insurance?
LMI is insurance that protects the lender if you default on your loan. It’s usually required if your deposit is less than 20%. LMI costs vary based on your loan amount and lender.
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What Is Refinancing?
Refinancing means switching to a new loan, either with your current lender or a new one, to get a better deal or access equity.
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How Does Refinancing Work?
Refinancing involves: - Comparing new loan options - Checking costs like exit fees or break costs - Applying for a new loan and paying out the old one - Starting fresh with a new loan structure A mortgage broker can help you weigh up the benefits and costs.
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Will an Investment Loan Be Any Different to My Existing Loan?
Yes. Investment loans often have different interest rates, repayment terms, and borrowing limits compared to owner-occupied loans. Lenders assess investment loans differently, considering rental income and potential risks.
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Can I Use the Equity in My Home as a Deposit?
Yes, if you have built up equity (the difference between your property’s value and your remaining loan balance), you may be able to use it as a deposit for another property. Lenders have specific criteria for this, so speak to a mortgage broker for guidance.