Getting a Mortgage in Australia has never been easier!. One of the only things in the world that your can really truly own is property, but what if you don’t have the means necessary to do so? You get a Mortgage! Mortgages are essentially loans that are
secured by something tangible, such as real property. Mortgages are dispersed to future and current homeowners to ease the financial burden that the purchasing of a home may cause. The word “Mortgage” often scares people away, for they can relate it to a story one of their friends told them about not being able to pay theirs. Have no fear; safe, reliable, and low mortgage rates are now here!
Before applying for a loan, you should probably find out if you’re eligible in the first place. If you’re here on a work visa, do not give up, as it is now possible for you to get a Mortgage if you hold a 457 visa. When it comes to how much money you can
borrow things like, marital status, and employment history are set to make a difference in the percentage you can borrow. In more cases than not, as a holder of a 457 visa you will be able to get a loan for 80% of the property value. Now you may be thinking that
being a foreigner will cause the lender to charge you a higher interest rate than a citizen of Australia, if you were thinking this, you couldn’t be more wrong, you will pay the same amount of interest as a citizen would, and sometimes even less (Please note, this
is by a case by case basis). You can also get a homeowners loan if you hold a 422, 405, 415,405,447 or 995 visa. Being a contract employee also should not deter you from an attempt at purchasing a home, as contract workers are eligible for loans towards property.
In advance to sending in your actual application for a Mortgage, it is a good idea to find out what your credit score is, this and your annual income will help you determine what amount of money you can prequalify for, you will still have to fill out the general
application. After prequalifying for a mortgage, one has to apply to a credit union, bank, or financial institution to seek their approval. Getting approved means that the mortgage company has bestowed its faith and trust within you to make correct and timely payments towards your home (or what ever the property you’re seeking the loan for is). After your initial application is approved you may want to look at a chart that depicts the amount of interest the mortgage that you can afford will bring on. If you’re wondering if there is only one kind of mortgage well here is your answer, no there is not just one type of mortgage.
Mortgages vary from applicant to applicant and from owner to owner. Some mortgages are set to be paid off in 15 years whilst others are set at 30 years; obviously this depends on the mortgage amount and how much money the borrower can contribute
towards the monthly mortgage payment. It wouldn’t be a bad idea to think about how long you are going to reside in the home you want to purchase with your mortgage, it will help you determine whether you want a variable rate or a fixed rate. Beware of the
variable rates honeymoon rate, it may be easy to make the monthly payment for the first year, but the rate is sure to hit an incline after a year is up, so if you do decide on a variable rate, be sure to have extra money to put towards the payments if needed. You
should also consider about six mortgage lenders as it is always good to have a variety!
Gathering and evaluating the options that are appropriate for you can be a difficult and time consuming task. At a company such as Mortgage Options they can provide you with unbiased advice on the right loan for your individual needs while eliminating the
burden of personal research. You can then be well on your way to purchasing something that all Australians cherish, a home.
Please note that this advice is a general guideline to buy property, not all advice applies to everyone, if you have further questions or concerns, BBM advises you to get in contact with a professional on the topic as this is just casual advice.