A commitment the size of a mortgage calls for some thorough preparation.
Buying a home is one of the biggest financial decisions you will ever have to make. While it’s an exciting step to take, it can also be daunting – especially if you are not well prepared for the process. We’re here to give you a little advice to take some of the fear away from jumping into a mortgage. Use this checklist to empower yourself to make the right decision before signing on the dotted line.
Get educated Gather information and familiarise yourself with the basic types of loan packages available. Read through them to assess whether they meet your requirements.
Complete the correct paperwork Fill out all of the forms and get all the necessary documents in order as soon as possible to ensure your loan application can be approved quickly. Your lender needs time to assess your documents and conduct credit checks to ensure your suitability.
Be honest Honesty is the best policy. If you aren’t upfront about your existing financial commitments it will only make it harder to get the loan and increase the likelihood of the contract falling over.
Find the perfect match You need to find a loan that will meet your personal requirements. A reputable lender can explain the benefits and features of different loan types, which will allow you to compare products and find one that suits your needs.
Fees and charges Make sure you understand all the fees that apply for the life of the loan. Consider the lender’s comparison rate – an independent calculation that recognises all applicable fees and charges, enabling the comparison of similar products.
Pre-approval done Now that you have pre-approval for your loan you can place a contract on your dream property. Just ensure you have a finance clause worked into the contract. Pre-approval speeds up the process when it comes time to get finance, ensuring that your 14-day finance clause isn’t breached.
