What Australian Borrowers Need To Know In 2019?
Searching for real estate to buy, or lease in Australia? If yes, then without wasting your time any further, you should buy or lease property in Australia.
Needless to say, Australia has been the most popular investment destination in the Asia Pacific. The prices of property in Sydney and Melbourne are increasing at a faster rate than experts can ever predict.
Many states in Australia introduced a foreign citizen stamp duty surcharges to curb the foreign investment. As a result, the first time home buyers get more chance to buy a property and the participation of foreign buyers at auctions decreased.
Getting approval for the home loan in Australia has become difficult
Haven’t applied for a home loan recently? Well, if you are planning to go for a home loan in Australia then you need to accept that the things are changed now.
These days, while applying for the home loan, the mortgage brokers ask more questions as compared to earlier. They investigate related to living expenses, income types, and many more. Lenders see casual workers, self-employers, contractors as more of a risk because there is no guarantee of continued work. Even more, the decline rate of the home loan approval has increased. Thus, borrowers need to meet certain conditions to get the easy approval for the loan in Australia.
Tips for Borrowers
As a borrower, you must follow some of these tips:
- Explore the market and don’t take the first offer. You will come across different loan options and make sure you’re getting the best possible terms on your loan compare loan products. Make sure to do prior research to have a better sense of how much you can afford to borrow.
- Before you go to the market to buy a property, get pre-approval from the lender. However, there are many lenders available offering the various loan options for distressed buyers who have found them in hot water and need hundreds of thousands of dollars to complete the purchase only in a few weeks.
- Establish good relationships with your vendors or seller of your property. It can be a great help when money gets tight. This way, you can lock better terms and negotiate repayment with each vendor.
These tips will provide you with even better opportunities down the road to get a loan at better interest rates. The loan market is positive to relax the lending policies and improve efficiency for first-time homebuyers.