It has never been cheaper to borrow money with interest rates at a record low! The Australian Financial Review has reported that in many suburbs across the country, it actually works out cheaper to buy than rent. This fact was also recently confirmed by market-leading property website realestate.com.au.
And first home buyers should take note as with the various government support packages, they can save tens of thousands of dollars.
So now is a great opportunity for renters to buy
If you are thinking about buying a property, now might just be the right time to shop around for the
right loan to make it happen.
- How much you can borrow
We advise speaking to your lender or mortgage broker who can help you determine how much you can borrow, the different types of loans, interest rates and if there are any ongoing fees involved
- Buying an investment or if you intend to live in the property
Knowing the reason for your purchase will help you decide on the type of loan which will suit you best. It will also help to do a budget and do the maths to see if you can make the mortgage repayments and to pay other bills e.g. water, council, electricity or gas
- Do you have your property deposit ready
When you sign a contract of sale, you will be asked to place a deposit to secure the property. The deposit is usually up to 10% of the purchase price. If you don’t have access to your full cash deposit right now, you have the option of using a Deposit Power Guarantee. This will allow you to delay paying the cash deposit amount until settlement time.
Exciting times ahead!