First Home Buyer Home Loan Guide

Home Loan Comparison for First Home buyers

Finally, you have found the Essential guide which every First Home Loan Buyer wished they had when they bought their first property. You are about to learn the secrets Mortgage Brokers know on how to:

• Negotiate the best rate,
• Get the right loan,
• Repay your loan as fast as possible.

HomeStar Quick Start First Home Buyer Loan

A loan designed specifically for first home buyers with parents able to provide deposit guarantee and no application or ongoing fees

• Interest Rate of 7.03%
• Comparison rate of 7.03%
• Application fee of $0
• Maximum LVR: 92.5%
• Minimum Borrowing: $50,000
• Maximum Borrowing: $1,000,000

Click here to enquire about the HomeStar QuickStart First Home Buyer Loan terms and conditions

Guide to First Home Buyers – Contents

What you will learn in this guide:

• What are the benefits of buying my first home?
• How should I make the transition from renting to buying?
  • What should I do to prepare to buy my first home?
  • How do I save for my first home while I’m still renting?
• What benefits am I entitled to as a first home owner?
  • What is the First Home Owners Grant and am I eligible?
  • Am I eligible for state-based stamp duty concessions?
  • What is the First Home Saver Account and am I eligible?
• How much can I borrow?
  • How will I be assessed by a home loan lender?
  • How can I calculate my borrowing capacity?
• What do I need to know about lenders mortgage insurance and loan to value ratio?
  • What is LMI and how is it calculated?
  • What is LVR and how is it calculated?
• How important is my credit history when I choose my first home loan?
• How do I get preapproval on my first home loan and why do I need it?
• How do I know when I’ve found the best property?
  • Where do I look for the best first time for me?
  • What should I look for in the best property?
  • How do I manage my property search?
• Why is my deposit so important?
• How much deposit do I need?
• What if I don’t have any deposit?
  • What is a deposit bond and how does it work?
  • What is a family guarantee and how does it work?
• Should I borrow with someone else?
  • What are the benefits of co-borrowing?
  • How do I go about buying a property with a family member or friend?
• What is the best home loan for a first home buyer?
  • How do I choose the best home loan as a first home buyer?
  • What types of home loans do I have to choose from?
  • How do I choose between a fixed or variable interest rate?
• Which home loan features do I need as a first home buyer?
  • Do I need an offset account?
  • Do I need a portable loan?
  • Do I want to be able to make additional payments?
  • Do I need a redraw facility?
  • Do I need a repayment holiday facility?
• What other costs do I have to pay on buying my first home?
  • What other property costs might I have to pay?
  • What other lender costs might I have to pay?
  • What other government fees might I have to pay?
• What do I need to do to apply for my loan?
  • Is there a checklist I should follow when I’m applying for my first loan so I can avoid rejection?
• How do I successfully complete the sale of my first home?
• How do I manage my mortgage successfully?

Buying your first home is an exciting time – as you search for sale listings and consider floor plans. Before you get caught up in the excitement of measuring spare rooms to fit cribs and curtain sizes, you need to keep in mind that this is the biggest financial commitment of your life, so its important to get the right loan.

This guide is going to remove the stress of finding a home loan and take you through:

• Loan options,
• Repayment options,
• Purchase options,
• Ensure you are getting everything you are entitled to as a first home buyer,
• What is really important in your first home,
• Where you can save money on your purchase price, on your loan and on your deposit.

What are the benefits of buying my first home?

You know you want to start a new home to start the next chapter in your life, but have you considered all of the benefits of owning your own home?

• Pride of Ownership-Give you and your family security into the future with the most important investment of your life. No landlord to restrict how you choose to decorate your home.
• Appreciation-While dependent on fluctuations in the property market, property value does appreciate consistently over time.
• Exempt from Capital Gains Tax-Providing you use your home as your primary residence for the entire period that you own it, when it comes time to sell all the profits from your sale will be tax free.
• Mortgage Interest Deductions-Mortgage interest is deductible on your tax return provided the balance on your mortgage is smaller than the price of your home.
• Mortgage Reduction Builds Equity-As monthly repayments reduce the amount owing on your pinciple balance, the principle portion and interest payment increases slightly with each month. This means that on average each $100, 000 of a mortgage will reduce in balance after the first year by about $500, reducing the balance to $99,500.
• Equity Loans-Home owners can pay off debt with a home equity loan by borrowing against a home’s equity for a number of expenses including, home improvement, university or medical costs.
• Can be Cheaper to Buy than Rent with Current Low Interest Rates-Rather than paying rent to a landlord every week and not getting any closer to your dream home, if you find an affordable first home and a competitive first home buyer loan it can sometimes mean less of a weekly outlay to pay off your mortgage, and you are getting much more in return.

How should I make the transition from renting to buying?

It can be easy to be over excited when looking to buy your first home. Before you even consider looking at new homes, you will need to make sure you are ready for the application process and that your finances and savings are in order.

What should I do to prepare to buy my first home?

• Don’t pay the government pay yourself. Consider every aspect of your life and how you can change it to benefit the savings you need for your first home loan deposit. start thinking about all the deductions you can make from your taxable income, and ask your accountant about incentives such as salary sacrifice to put you into a more affordable tax bracket.
• Clear your other debts. Whether a looming credit card debt or personal loan, pay off all of your debts so you can focus on your first home.
• Remember your parents? Your parents may be able to relieve some of the pressures of saving for your first home by letting you move back in to save on rent or help cover other bills and expenses. Your parents can also help you by becoming a guarantor on your mortgage which can mean you need less of a deposit, or they can take over a portion of your loan repayments if your income will not cover the amount you need.
• Create and Accurate Budget. Don’t leave anything out! Consider both necessary and luxury expenses so you can develop an effective savings plan.
• A second line of income from extra weekend work or by working from home may be necessary to achieve your first home deposit.

How do I save for my first home while I’m still renting?

• With regular contributions. No matter what sort of first home savings account you choose, set up an automatic payment plan to pay yourself first. This means setting up an automatic debit from your transaction account when your wages arrive every payday.
• With an ordinary savings account. If you are able to meet your savings goals without relying on interest payments, you can then avoid paying tax on the interest you earn from your savings, saving you a lot of time and paperwork in the long run.
• A term deposit account will lock away your savings to stop you being tempted on your path to saving for your new home. You can also often earn a high amount of interest so even if you are being taxed at a rate of 60%, you can still end up with significant interest earnings at the end of your term, not to mention your original savings are still there too.
• Consider a First Home Saver Account. This is a dedicated savings account designed specifically to help you save the deposit for your first home. You can make contributions and set up an automatic payment plan, but the account must be opened for at least four years before you can access the funds you have saved. However when it comes time to withdraw your first home deposit your interest earnings are subject to a lower tax rate because your savings account provider covers the tax costs. Plus the government will contribute up to 17% on top of the first $5000 you have saved each year, so you can be earning up to $850 from the government on top of your own contributions and on top of your interest earnings.

Read this article on the Top 5 ways to Stop Paying Rent

What benefits am I entitled to as a first home owner?

As a first home buyer, you may be entitled to a range of benefits, grants and specialised savings products to help make the process easier.

What is the First Home Owners Grant and am I eligible?

First Home Owners Grant Checklist

1. Is a $7000 grant available to all Australian first home buyers. This Federal Government initiative is not means tested and is not taxed.
2. An eligible property must be used as your principal place of residence. At least one applicant must live in the home within 12 months of settlement-Different requirements for each state.
3. Each person involved in the purchase must be a first home buyer. This means if you are buying a property with your spouse, partner or family member you and they must not have claimed the First Home Owners Grant before, and must not have owned and occupied home before either.
4. Either or both applicants must be Australian Citizens depending on state.
5. Each applicant must be at least 18 years old, and you cannot buy as a company or trust.
6. You must be buying or building after July 2000.
7. Your lender or broker can complete the application for you. Most Australian home loan lenders are authorised to complete a first home owner grant application on your behalf. As such you can have your First Home Owner Grant application processed at the same time as your loan so you can be sure your application is submitted and received in time to be eligible.

Am I eligible for state-based stamp duty concessions?

State By State Property Cap Values For the First Home Owners Grant

Home Buyer Concession Scheme In The ACT For Existing Homes

Home Buyer Concession Scheme in the ACT for Vacant Land

Learn more about how stamp duty is calculated in each Australian state

What is the First Home Saver Account and am I eligible?

• Dedicated savings account for first home buyers
• Account must be opened for four financial years before you can access your savings account.
• Funds must be used towards the purchase of your first home.
• Tax breaks and government co-contributions-interest earned on account taxed at a low 15% rate.  Plus the government will contribute 17% of every dollar you save up to $5000 in a financial year. This means you could be earning an extra $850 each year simply from government contributon
• Earn higher interest than regular savings and term deposit accounts.
• The First Home Saver Account is an individual account. This means that if you are planning to buy a first home with your partner or friend and you are both first-time buyers you can then pool your savings after four years to buy a home together.
• You cannot access your funds early or use them for any other purpose
• New legislation has seen it possible to purchase a home within the the four year period but funds must still remain in the account until the end of the period.

First Home Saver Eligibility Checklist

1. Have a tax file number and provide it in your application
2. You must not have previously owned a property in Australia or on Norfolk Island which was your primary residence
3. You must not have already opened a First Home Saver Account unless you closed your previous first home Saver account within the 14 day cooling off peiod

Read the Home Loan Finder Guide on First Home Saver Accounts

How much can I borrow?

This is one of the most influential questions you will need to ask on the path to buying your first home. Your borrowing power affects the home you can buy, and is the best place to start your search for the perfect home to save you time considering homes and neighbourhoods you can’t afford.

How will I be assessed by a home loan lender?

• Your income. A lender will consider your gross annual income which is the total of your entire earnings for a whole year, before tax. A lender will also consider the type of income you are earning, for example full-time or casual.
• Any other income. This could be rent you receive from other investment properties or family assistance from the government for example. A lender will also consider income from other investments and will often require two years proof of this income, showing actual dividend amounts, not growth in the value of the investment.
• Your expenses. This information will cover the number of applicants and dependent children, as well as credit card limits, and the balances you have on existing investment properties or personal or car loans, and the lender may also consider your HECS debt. This gives the bank a good idea of how much money you have left over from your income after you have paid all of your bills.
• If you can comfortably repay your loan. When the lender has all of the information about your income and expenses, they can see how much uncommitted income you have to dedicate to your home loan. Most lenders will consider that 30 to 40% of your gross salary is a comfortable amount to commit to your home loan, and this takes into account costs such as repairs, council rates, insurance and strata fees not just your repayments.
• Your savings. Being able to show a good saving history will make you a more attractive loan candidate but it is possible to get a loan without a long savings history. Your savings become important, when you need to show you have enough funds for your loan deposit and having 5% of the cost of the property as your deposit will give you a wider range of home loan choices.
• Your stress rate. Interest rates are not static, even if you choose a fixed home loan your rate is not fixed for the entire term. Therefore lenders will take into account current interest rates, and a high stress rate which takes into account future rate rises to make sure you can afford your repayments now and into the future. Most lenders will use a stress rate of around 2% more than the current official rate when deciding how much you can afford to borrow.
• Your credit history. Every lender will check your credit report before approving your home loan application, as this will give them information about your current credit card debts and your past repayment history on personal loans, bills and credit cards. If you have a chequered credit history it is not impossible to get a home loan, you may simply need more savings or you may have to pay a higher interest rate

Speak to a Home Loan Finder mortgage advisor to find out what benefits you are entitled to as a first home buyer

How can I calculate my borrowing capacity?

• Tips to calculate a rough guide. Consider your income, and then consider that most lenders will allow you to take out a loan which would require around 30% of your income. If you are applying for a joint home loan, incomes are added together and can increase your borrowing power, and dependents can decrease your borrowing power since they are an expense.
• Use the table below to get an idea of how much you will be able to borrow based on your income and family:

What do I need to know about lenders mortgage insurance and loan to value ratio?

Lenders mortgage insurance and your loan to value ratio are terms you will hear a lot of in your search for your first home and your perfect first home loan. So find out more about how LMI and LVR are calculated and how they apply to you.

What is LMI and how is it calculated?

• It does not protect you it protects the lender. Lenders mortgage insurance protects your home loan provider if you default on your loan, and the provider makes a loss when they sell your home to cover their costs. If you want to insure your repayments if you are unable to meet your mortgage obligations, you will need to take out a separate personal insurance policy.
• LMI is provided by an external insurance underwriter. Lenders mortgage insurance is organised by an external insurance provider and the premiums are determined by that insurance company based on the amount of your loan, your loan to value ratio, the stamp duty amount and type of loan.
• Lenders mortgage insurance can be paid upfront or over the life of the loan. You can pay your LMI with your other loan application fees, or you can spread the cost out over the life of your loan by adding it to your loan amount.
• You can avoid paying LMI you borrow 80% or less of the value of the property. This means if you can come up with a 20% deposit or more you will not have to pay any lenders mortgage insurance.

What is LVR and how is it calculated?

• The loan to value ratio will tell you the percentage of the property price you are borrowing. It is important to know the percentage of the property price or property valuation which you are borrowing because this can tell you how much of a deposit you need and what type of loan you can get. For example if LVR is 80% this is the maximum which most lenders will consider for a low doc loan. However if your loan to value ratio is 100% because you are applying for a no deposit home loan, as a first-time buyer you may be able to use your first home owners grant to cover loan insurance and may need only a minimal amount to cover stamp duty costs.
• You can calculate your loan to value ratio by dividing the loan amount, by the actual property purchase price or valuation whichever is lower. When you divide the loan amount by the purchase price convert that answer into a percentage by multiplying by 100, and that percentage is your LVR. For example if you are applying for an $80,000 loan on a property with a $100,000 purchase price dividing your loan amount by your purchase price gives you a value of 0.8, when that is multiplied by 100 your LVR is 80%.
• You can reduce your loan to value ratio while still borrowing 100% of the purchase price. If you use a family equity guarantee you can reduce your loan to value ratio by using the equity in an existing property to offer a limited security guarantee reducing the loan to value ratio.

How important is my credit history when I choose my first home loan?

Unfortunately a credit search can reveal some nasty surprises but don’t worry because even if you have a bad credit history there are ways to rectify your past and secure your future in your new home. Your credit history can influence your choice of first home buyer loan because:

• It will show past credit applications. This includes applications you have made for credit cards, as well as for store cards and other personal loans you have to your name.
• Your credit report will show your repayment history. On your credit report will be information about whether you have defaulted on payment of any bills, loans or credit cards, and this could be anything from an overdue phone bill, to late payment on your rent.
• Your credit history is constantly being updated. Applications for credit and payment defaults will be removed after five years however more serious infringements such as bankruptcies will stay on your credit record for seven years. These constant updates also mean that recent credit behaviour will appear on your credit history, so if you are considering applying for a home loan try and curb your credit card spending and avoid any new credit applications.
• Your credit history can affect the loans you can apply for and interest rates you are eligible for. If you have a bad credit history it is not impossible to secure a first home buyer loan, your choices may simply be more limited and you may not be eligible for interest rate discounts.

Steps to Securing a Bad Credit Home Loan

• Keep on top of your bills! Even if you have struggled to pay your bills on time in the past, it’s never too late to start establishing a good credit history.
• Generate a solid deposit. Being able to show your lender a significant amount of money will show you are capable of being financially responsible and be able to offer additional payments if necessary.
• Find a lender with a good reputation. Choose a lender with solid knowledge of bad credit loans to avoid landing in hot water in the future.
• Do your research. Consider all of the options available and make sure to read the fine-print of each loan and weigh up all the features on offer. Despite having bad credit, you deserve the best home loan available to you.

Discover some of the bad credit home loans currently available to home buyers

How do I get preapproval on my first home loan and why do I need it?

After all of the time you spend searching and comparing for the perfect home loan, you don’t want to let that home loan deal get away.

• Your finance will be confirmed and so will your budget. When you secure preapproval on your first home loan you are locking in your loan application and so you know exactly how much you are able to borrow and how much of a deposit you need. Not only is this confirmation a load off your mind, it also gives you a solid budget to work with in your search for the perfect first home.
• You will have more bargaining power when you find the right home. If you can show a seller or a real estate agent that you have your finance preapproved they can feel secure in knowing that you are serious about the sale and that there will be few hassles with the settlement period. This can give you more power in negotiating a better price on your first home.
• You can secure preapproval in writing.  If you have the details in writing you have a secure contract with the bank regarding your interest rate, your home loan deal and your home loan amount.
• Same-day approval of your loan when you find your first home. When you do find the first home of your dreams you simply need to contact your mortgage broker or lender with a copy of the sale so they can transfer your pr-approval into full approval and this can often take as little as an hour.

Pre-Approval Tip: Make sure you read all of the conditions which come with your preapproval contract. This could include:

• You finding a suitable property
• The bank receiving a registered valuation of the property
• Mortgage insurance being accepted

How do I know when I’ve found the best property?

There are so many options open to you when you consider your first home, it can be hard to know which of the hundreds of properties you looked at is the right one for you. So, follow our tips and information to help you know where to look, what to look for, what to do in your search and when to do it.

Where do I look for the best first home for me?

• Transport-Check the public transport to work, school or the local shops. The last thing you want is to have to spend hundreds of dollars commuting each day.
• Proximity to Family and Friends-Whatever your socialising needs consider how far you will have to travel for family functions and parties a friend’s places.
• Noise-Busy roads, flight paths, factories or shops all play a part.
• Parking-If looking to buy inner-city, is there off-street parking available?
• Schools-Good schools in the area?

Property Search Tip: Consider the Future:-Always remember when you are buying your first home it may not always be your dream home, but if you make the right choice you will be able to turn that first home into an investment for your future. t can even pay to research sales in the area over the last 12 months to see where the area has come from and where it might be going.

What should I look for in the best property?

• Talk to your real estate agent about
• What the property last sold for
• Whether it is heritage listed
• Local council rates
• Any plans already approved for renovations
• Council check for illegal additions
• What is the required settlement period
• Has a title search been done

• Inspections you will need to organise
• Checking the underfloor areas for ventilation
• Checking that the exterior walls are square and not cracking
• Checking that the exterior walls are square and not cracking
• Checking the weatherboards for rot
• Condition of the roof, guttering flues, chimneys and flashings
• Evidence of water damage or mildew inside in the bathrooms wet areas and in the garage
• Pest inspections for termites and borer
• The wiring water, and gas services
• Possible damage by nearby tree roots.

• Obligations on common properties. If buying strata property you will need to ask for certificate showing information regarding:
• Management committee
• Insurance costs
• Levy costs
• Deeds and books
• Restrictions on pets
• Parking
• How common areas can be used

Home Loan Tip: Make a List-Before you start looking make a list of the things you like about where you’re living now, and the things you don’t like. Also decide how many bedrooms you want and how many bathrooms, and any other features such as a fireplace, a big backyard or an enclosed garage. Chances are you won’t find everything on your list in your first home but now you know the things which are most important.

How do I manage my property search?

• Help your memory by taking notes. You are going to be looking at a lot of properties in the search for your first home so from the beginning start taking notes and photos where allowed, so you can remember the prices, the locations, the neighbourhoods, the features and the drawbacks of each property you look at, and save time revisiting the same properties and making the same mistakes in your search.
• Make the time to search. The last thing you want to do when looking for your dream home is rush. set aside blocks of time to search and consider your needs so you can stay focused and be successful.
• Make sure you’re ready. This means making sure you have your pre-approval organised so you are looking in the right budget, because even over the course of a couple of months the housing market and prices can change significantly and all of your previous searches will have been in vain.
• If you are bidding at an auction you’ll need to be ready to buy. If you have the highest bid above the sellers reserve price all you need to provide is 10% deposit of the reserve price. However there is no cooling off period so have your deposit and deposit bond ready!
• If you are making an offer on a property for sale you have a little more breathing time. When you put in an offer and sign and exchange contracts with the seller, you will also need to pay a 10% deposit. After exchanging contracts you will usually also benefit from a cooling off period which can be around 3 to 5 days, however in Western Australia there is no cooling off period.

Why is my deposit so important?

One of the things your first home buying plans will continue to come back to is the amount of deposit you have, compared to the amount that you still need. You’re probably sick of hearing about it but when you realise exactly how important it is that you have enough deposit, and as much deposit as possible, it will make sticking to that savings plan all the easier. The deposit for your first home loan is important because:

• It’s now very hard to get a 100% loan. In the past a 100% loan was an option if you didn’t have a deposit and wanted to borrow the full amount you needed to buy your first home. In some cases you could even borrow 110% to cover the fees from your lender and the government charges associated with buying a home. However lenders have become increasingly wary of 100% loans and most will require at least a 5% deposit of the purchase amount.
• The larger your deposit the smaller your loan. If you can put down just 10% deposit that means you can borrow that much less from the bank and in turn pay less interest and make less repayments to pay off your loan sooner as it is a smaller amount.
• If you have a 20% deposit you can avoid lenders mortgage insurance. Lenders mortgage insurance or LMI is what the bank will charge you depending on how risky you are as a lone candidate. Therefore if you have more of a deposit, and are borrowing less from the bank you are less committed and therefore less of a risk and so lenders will waive the costs of LMI.

How much deposit do I need?

You will always need to remain aware of how much you need for your home loan deposit to make sure your savings are on track, and your loan will be processed without a hitch when it comes time to buy your dream home. To give you an idea of how much of a deposit you will need according to the property prices you are looking at:

• You will need to know how much deposit you are going to contribute. This comes back to whether you plan to contribute a typical minimum deposit amount of 5% or whether you are interested in pulling together 20% of the purchase price to help you avoid lenders mortgage insurance.
• Consider how you will use the government first home owner grant. You can use the $7000 first home owner grant to make up the rest of your deposit so you can reach your goal deposit amount sooner. Just be sure to make your lender or mortgage broker aware of these plans so the paperwork can be processed in time.
• Consider a 5% or 20% deposit on your purchase price:

What if I don’t have any deposit?

A deposit is not the be all and end all of your search for the perfect house and the perfect first home loan. There are several ways to still secure a first-time home loan, such as using a deposit bond or a family equity guarantee.

What is a deposit bond and how does it work?

• It delays your requirement for a deposit. A deposit bond or a deposit powered guarantee as it is also known acts as a substitute for a cash deposit on a property until settlement.
• You know you will have the deposit amount available in the near future. A deposit bond can suit you if you have your cash locked away in a fixed term deposit investment, or in an investment property and you need more time to convert those assets into a cash deposit. This means you know that you will have the cash available at the time of settlement for your first home and first home loan, and so you don’t have to miss out on a great deal.
• You can apply for a deposit bond if: you are an Australian citizen, you are a permanent resident, you are purchasing your first home, you are an investor or you intend to bid at auction.
• A deposit bond insures your purchase. A deposit bond works in the same way as an insurance policy where the deposit bond informs the vendor that your insurance company will pay a 10% deposit to the to cover circumstances where a deposit would normally be forfeited by the vendor. While there is no money actually changing hands all of your purchase funds are paid at the settlement of the sale when the purchase price is then paid in full and your deposit bond lapses.
• A deposit bond can be organised for up to 10% of the purchase price for your choice of terms. You can choose a short term deposit bond guarantee for settlement terms up to 6 months, or a long-term deposit bond for settlements up to 48 months.
• Always check that a deposit bond will be an accepted form of payment. While a deposit bond guarantees your deposit when purchasing your first home, not all sellers or estate agents will accept a deposit bond. The vendor may need your cash deposit to go towards their own home loan deposit for their next purchase, and so may be unwilling to accept the deposit bond. Real estate agents are also paid their commissions from the deposit and so some agents may refuse to accept an offer on a property if you plan to use a deposit bond. This can then trap you into a sale because most sales contracts do not specifically mention the use of a deposit bond. If you are forced to produce a cash deposit because your deposit bond is not accepted, you will still be charged for the use of a deposit bond, plus you will have to find the cash for your deposit.
• If your deposit bond has to be paid your insurer will need to be reimbursed. A deposit bond is a guarantee to the vendor that you will pay them the full amount of the sale at settlement. Ordinarily a deposit bond will not require you to produce the deposit amount unless your insurer is required to pay the vendor the deposit bond, then your insurer will come to you looking for the amount of the deposit paid.
• A deposit bond on loan approval. This is the most affordable type of deposit bond and is valid for up to 12 months. In this instance your deposit bond is approved in the lender’s home loan approval process on a loan which is unconditional.
• A deposit bond without approval from your lender. This type of deposit bond can be valid for up to 48 months, but because of the additional paperwork required to assess your deposit bond application independently from your home loan approval, it can be a more expensive type of deposit bond. This deposit bond is not part of your lender’s loan approval process, but is similar to the process required to apply for a loan.
• A low doc deposit bond. A low doc deposit bond allows you to self certify your income so you only need to provide minimal documentation to confirm your details. You will need to be able to verify: your identity; the capital improved value of the existing property you own which you are using as security for your deposit bond; your repayment history on your existing mortgage; and a copy of the contract of sale.
• You can determine your eligibility for a deposit bond. To give you an idea of whether you can successfully apply for a deposit bond, add the amount which you need to secure using a deposit bond, to the outstanding loan amount on the property you are using a security. If the total is less than 80% of the value of the property you are using a security, your deposit bond is likely to be approved.

What is a family guarantee and how does it work?

• You use the equity in the home of a family member to guarantee your deposit. If you don’t have the available funds to cover the amount you need for your first home loan deposit, your immediate family can act as guarantor over your loan. The two main types of family guarantee are security or property guarantee, and an income guarantee.
• A limited liability guarantor. This type of family equity guarantee allows a family member to offer their property as security for a portion of your home loan. This is usually between 10 and 20% of the property value. The property you intend to purchase then acts as security for the remaining 80% which means that you then have two loan facilities but neither of those exceed 80% of the property value so you don’t need to pay lenders mortgage insurance. Once you are able to take over the entire loan you remove the family equity guarantee, and if you default the guarantor is only liable for the portion of your loan which was secured by their property.
• An income guarantor. This type of family guarantee means that a family member guarantees your home loan repayments for a certain period of time. This can help you through a period where your income doesn’t meet your repayments such as the early stages of owning your first time, however if you default on your home loan repayments your family guarantor is liable for the full repayment amount.
• Second mortgage family guarantee. A family member may also choose to take out a second mortgage on the property you are buying is your first time to help you meet the repayments because you can’t cover the entire cost each month on your own. In this case your family guarantor gives you the money for a portion of the property price and they are then responsible for the amount of their loan. You then make the repayments on your loan for a portion of your home and your family member makes the repayments on their portion of their loan on your home.
• Gift of loan amount. In this case a family member can take out a mortgage on their own property and give the money from the loan amount to you to help with your deposit and loan expenses. With this type of family equity guarantee your loan and a home, and you’re guarantor’s loan and their home are not linked so you are each responsible for your own repayments and properties.
• You will need to choose a specialised family equity loan. While you are still eligible for the first home owners grant and you have a wide choice of home loan options, you do need to choose a specialised family equity loan product. Off the plan loans and mortgage insured low doc loans are not eligible for a family equity guarantee. When choosing your family equity loan you need to be aware of all of the standard home loan features and fees as well as any fees which may be charged if you’re guarantor decides to sell the property which is acting as security for your loan.
• Plan your family equity repayment options. Your lender may be able to help you obtain the necessary paperwork to help you and your family guarantor formalised an agreement about how you will repay them. The type of repayment options available to you will depend on the lender you choose.

Should I borrow with someone else?

If you have been looking at the costs and eligibility requirements of a first home loan, you may have found you can’t afford to buy a home by yourself. As a result you may be considering buying your first home with a friend or family member, and you’re not the only one because co-borrowing is a growing trend in Australia and there are a number of home loans which can cater to these specific needs.

What are the benefits of co-borrowing?

• It can be easier to save the deposit amount. With two people saving for a deposit it can be quicker and easier to raise the amount you need. You may also be able to put down a larger deposit and in turn borrow less, saving you money in interest over the long-term.
• You may be able to borrow more. When your income is combined with a friend or family member, your joint income may make you eligible to broker a larger loan amount and you can therefore consider higher value properties.
• It can be easier to make the repayments. With another person to help you meet the monthly commitments of your home loan less of your income needs to be committed to your repayments giving you more to spend on living your life. Some lenders will even allow as many as four people to apply for a joint mortgage which can make the repayment commitments even easier, just keep in mind that you will probably also need to look at a bigger and more expensive property to house everyone.

How do I go about buying a property with a family member or friend?

• You will only be getting one first home owners grant. Even if both of you are eligible to receive the first home owners grant of $7000, as you are making a joint home loan application you will only be entitled to one grant amount.
• Keep the relationship equal. An important factor in the success of co-borrowing is to maintain an equal and strong relationship with your fellow borrower. Therefore make sure each of you is responsible for an equal 50-50 share in the property and that you have a legally binding contract.
• Consider a co-ownership agreement. A co-ownership agreement can cover things such as maintenance, payment for any damages and each person’s capital gains liability. It will also include details of what is to happen if one person defaults on their loan payment; typically if one person defaults the other person can be liable for all of the repayments and you may want to be able to take power of attorney in this case so you can refinance or sell, or you may want to make sure you are not held responsible by the lender for the repayments if your co-borrower has lost their job or become unable to work. A co-ownership agreement can also cover you in the event that the relationship between you and your co-borrower breaks down because details of such a situation will be in your agreement and can save you on costly litigation.
• A co-ownership agreement will need to be obtained from your solicitor. A co-ownership agreement is not a standard part of a home loan contract and will need to be organised in addition to your home loan application.

What is the best home loan for a first home buyer?

There is not one type of home loan which is best for first home buyers, the best home loan for you is the one which is affordable, has the features you need, is easy to use and is best suited to the type of buyer you are and the type of property you are buying. So instead of looking for the home loan which is touted as the one which is best for first home buyers, learn how to choose and compare different types of first home buyer loans, and how to make one of the biggest decisions when it comes to your home loan about whether to choose a fixed or variable interest rate.

Contact a mortgage advisor from Home Loan Finder to find out about the best first home buyer loans on the current market

How do I choose the best home loan as a first home buyer?

• Consider a loan which allows you to make extra repayments easily. As a first home buyer now is the time when you will I likely to have the most opportunity to make additional repayments to your home loan. Therefore make sure you choose a loan which does not penalise you for making additional repayments, and makes it easy to make those repayments via direct debit, ATMs or using Internet and phone banking.
• Choose a loan with affordable fees. As you have now learnt, you have enough other fees and charges to worry about when it comes to your home loan without worrying about application fees, annual fees or monthly fees. It is possible to find a first home buyer loan with affordable low fees, and many providers are willing to negotiate fee waivers when it comes to application time so it never hurts to ask.
• Does your loan meet your long-term needs, and will it be easy to adjust. It is hard to imagine where you will be in five or 10 years, let alone in 30 years but it does pay to take the time to consider your future and how your home loan will fit into that future. If you think that you will prefer more flexibility down the track look for a home loan which is easy to restructure, one which offers you the opportunity of fixed or variable rates, or both, and the opportunity to pause repayments when you start a family for example
• Choose a loan you can afford if rates go up or your income goes down. While interest rates are still quite low they are on the rise so as you are choosing the best home loan for you consider how you will be able to afford the repayments as interest rates go up. Also think about how you would meet your repayments if you lost your job, got sick or saw a reduced income for any reason.
• Always read the fine print. It’s an oldie but a goodie and it can be the point which points out a deal breaker on a first home buyer loan you were considering. Therefore make sure you always take the time to read and understand the fine print on your home loan features and contract.

What types of home loans do I have to choose from?

• A split rate loan. Choosing a split rate home loan allows you to choose a part of your loan which will attract a variable interest rate and a part which will be charged a fixed interest rate. This allows you to take advantage of flexibility if rates drop, but also gives you a feeling of certainty knowing that part of your loan is fixed if rates do rise.
• Honeymoon home loan. While this home loan may not take you to a beautiful tropical island and serve you cocktails by the pool, it can give you something just as good if you are a first-time buyer because you can enjoy an introductory variable interest rate period or discounted interest rate period where your normal interest rate is reduced by around 1% for up to a year, to help ease into your mortgage commitments.
• A low doc home loan. This type of first home buyer loan requires little documentation as the name suggests. You need very little proof of income to get approval on your loan which can suit first home buyers who are self-employed or don’t have recent tax returns available. A low doc loan will also usually only allow you to borrow up to 80% of the property value, also keep in mind that where a 20% deposit would normally free you from the need to pay lenders mortgage insurance, LMI may be required on a low doc loan.
• Line of credit home loan. A line of credit home loan is secured as part of your mortgage and acts similarly to a credit card where you can withdraw funds up to a set limit at any time based on the value of your property. You can use these funds for anything you want and you can spend the money you withdraw on home renovations, to invest in shares, to cover the bills in a tight month or to get away on holiday. With a line of credit home loan you have easy access to credit at rates which are usually much lower than a standard credit card. You do need to make sure that you remain disciplined in using your line of credit home loan and that you can stay within your budget and financial limits.
• No deposit home loan. While no deposit home loans can be harder to find they are still out there but you are likely to find a no deposit home loan has a higher interest rate, and requires more application documentation. Borrowing 100% of the purchase price of your first home doesn’t negate the need for funds of your own because you will still have to cover stamp duty fees, legal fees and any loan application fees.
• Just a basic home loan. If you’re wondering what you would ever want or need with any of these types of home loans, then you may be best suited to a basic home loan. A basic home loan won’t come with any of the features you don’t want or need, which also means the annual fees and loan application fees are likely to be lower, and so too will you interest rate. You are not usually able to make additional repayments but you are trading your flexibility for more affordable loan

How do I choose between a fixed or variable interest rate?

• A fixed interest rate loan may be for you if you like a set budget. With a fixed home loan you can choose a period of time usually from one year to 10 years for which your home loan interest rate will be fixed. With a fixed interest rate you will also enjoy fixed repayments so you will always know exactly how much is due each month to make it easier to budget. Having a fixed rate and fixed repayments may suit you if you are on a tight budget and want to know upfront how much you will be paying each month into the future, or you may just be the kind of person who likes a bit of certainty in their life.
• A fixed interest rate home loan does not lend you as much flexibility. Often you are unable to make additional repayments to a fixed rate home loan if you come across extra cash which you would like to apply to your loan. Also if you have to break the loan and in turn the fixed term if you decide to sell your home and refinance your loan with another lender you may have to pay exit fees.
• A variable rate loan allows you flexibility. A variable interest rate will usually be lower than a fixed interest rate and so your repayments are likely to be slightly lower too. However if there is an interest rate change your repayments are likely to fluctuate with these movements. You will also be able to make additional repayments to pay off your loan faster, and a variable interest rate home loan can be easier to refinance.
• A variable interest rate home loan may require more careful budgeting. While interest rates may be lower at the moment you should not assume that they will be this low forever. Therefore if you choose a variable-rate home loan you will need to consider whether your budget can handle interest rate rises, and it can often be a good idea to pay more each month so that you get used to making a higher repayment if rates do go up.

Which home loan features do I need as a first home buyer?

While most loan terms are for 25 to 30 years you should consider the features of your first home loan with regards to your needs over the next five years. It is often unlikely that the same home loan will serve you for the entire 30 years, so consider your plans for the next five years and whether they include children, a break from work, possible pay rises and decide whether you would prefer more flexible or fixed options. Thinking about your needs in this way will help you decide whether you need any of these most common features for first home buyers.

Make an enquiry with a mortgage advisor to learn more about the home loan features tailored towards first home buyers

Do I need an offset account?

• An offset account can help you make meaningful savings. If you have a home loan which is charging you 6 or 7% interest, then there is little point in directing a portion of your wages to a savings account which is only going to be paying you around 5 or 6% interest. Instead, consider a first home loan with a linked offset account as this account is set up at the same time as your home loan and from the same provider and can help you save on interest charges.
• The savings in your offset account reduced the interest you pay on your loan. If you have a loan of $250,000 for example, and you have $20,000 in your linked offset account, then in that month you will only pay interest on $230,000 of your loan because your savings offset the rest of the amount. To get the full benefit of an offset account in this way, you will need to make sure you have a 100% offset account, but luckily most lenders are moving towards this feature anyway.

Do I need a portable loan?

• A portable loan makes it easy to upgrade your property in the future. If you’re buying your first home then chances are you are using this property as a stepping stone to a bigger and better dream home in the future. Therefore you want to make it as easy as possible to buy your next home, especially since the paperwork and time it has taken to apply for your first home loan is fresh in your mind.
• A portable loan means you can take your loan to another property without needing to go through a refinancing or application process. This saves you time as well as application and legal fees because your lender will organise everything for you. Some lenders will charge a portability fee but this may just be a couple of hundred dollars which is nothing compared to going through the costs of application fees, legal fees and stamp duty on your loan again. Just keep in mind you are not transporting a loan between lenders just between properties.

Do I want to be able to make additional payments?

• Every extra dollar put into your loan saves you time and interest. If you come into cash when you get a bonus at work or a raise, or you just have funds left over at the end of the month, you want to be able to direct those to your home loan because any additional funds you add will go directly to paying off your principal amount so you can repay your loan sooner and save on interest charges.
• Some lenders will charge you to make additional repayments. This can negate the benefits of making additional payments because you are charged for doing so. However if you think you are likely to have extra funds available which you can channel into your loan this is a feature you should consider. You may also want to make sure that you can access those additional repayments with a redraw facility.

Do I need a redraw facility?

• If you need your additional repayments back you can redraw them. This may see you making one-off withdraws from your loan from the extra repayments you have made when you encounter unexpected bills for example. Or you may redraw from your loan to cover the costs of an extension to your new home, or new furnishings to make your new home more comfortable.
• Make sure you’re not charged for your redraws. Some lenders will charge you transaction fees for each withdrawal you make using a redraw facility. Lenders may also have a minimum redraw amount, which can be as little as $200 and as much as $2000 so make sure the redraw facility you choose will suit your spending needs.

Do I need a repayment holiday facility?

• A repayment holiday allows you to pause or adjust the amounts of your repayments. If for example you lose your job, or you decide to start a family, you may have less income available to repay your home loan. Therefore taking a repayment holiday can help you manage your expenses during this period.
• Make sure you are eligible to take leave from your repayments. Most lenders will require that your loan has been active for at least 18 months, and that you have not been in arrears on more than two payments in the last year. You may also need to make sure that your loan to value ratio does not exceed 90% at the time you apply for a repayment holiday. Some lenders will allow you to take a complete holiday from your repayments while others will require that you still pay at least 50% of the minimum repayment amount. You may also need to provide proof that you have a job to return to at the end of your repayment holiday, if you are taking a break for parental leave for example.

What other costs do I have to pay on buying my first home?

In addition to the amount you need for your deposit to secure your property and apply for your loan, there are a number of other costs you should be aware of as a first home buyer. There are costs you may have to cover to inspect the suitability of the property you are going to buy, other costs associated with your home loan, as well as fees from the government on the sale.

What other property costs might I have to pay?

• Registration fees for a property purchase. A document called a Transfer of Land is lodged each time a property changes hands to record the change of ownership. The document must be registered with your State titles office and the cost of registration can vary between the states.
• A title search fee. A search of the title for the property will need to be conducted to check that the details on the certificate of title are correct and there are no restrictions or encumbrances on the property which can affect the sale.
• Land survey costs. A survey of the property will confirm the boundaries and show you whether there are any easements you need to be aware of. A survey will also check that the house has been built within the requirements of the Council.
• Conveyancer fees. Conveyancers can lodge your Transfer of Land registration, conduct a title search and organise a land survey as well as help you understand all of the contracts and obligations you need to adhere to during the sale of the property. Expect to pay around $1000 for a conveyancer, but you are paying for someone to act as your legal representative, check whether there are rates outstanding from the council, confirm that the contracts meet your needs as well as liaising with your lender.
• Body corporate fees. If your first home is a strata title property for example you will need to budget for ongoing costs such as body corporate fees, sinking funds and liability insurance which will cover any damage to the building and common grounds.
• Building insurance costs. In most cases you will need your first home to be insured at the time of settlement, for your loan to be made available but you may want to ensure the property earlier when you exchange contracts for the purchase.
• Building inspection costs. Before you go ahead with buying your first home you want to make sure there are no issues and so you should have building and pest inspections completed. Building inspections can check for damp, structural issues, damage and the condition of the foundation and supporting beams, columns and walls. You can also check whether there has been or is any pest activity before you buy.

What other lender costs might I have to pay?

• A loan application fee. Before the application has even begun it is likely you will have to pay a loan application fee which can be around $600. It can also be worth finding out whether this fee is refundable if you don’t go ahead with settlement of the loan.
• Bank legal fees. These may be charged to you for the time spent by your lender’s solicitor on title search and preparing loan documentation. Not all lenders will charge this fee but be prepared for up to $300 worth of bank legal fees.
• Settlement fees or a bank cheque fee. When the purchase is actually processed you will be able to pay settlement fees using a bank cheque from your loan amount. A bank cheque can cost around $15 each.
• If you don’t proceed with the loan. You may be charged a fee for not proceeding with your loan application especially if the valuation has already taken place. You may also be charge additional fees if loan contracts have already been drawn up.
• Ongoing monthly or annual fees. Depending on the loan you choose you may have maintenance costs to pay over the life of your loan.
• Additional repayment fees during the term of your loan. If you happen to have extra funds and want to make an additional repayment be sure to check whether your loan charges you an additional fee to make extra repayments into your loan.
• Redraw fees. If you choose to withdraw those additional repayments at a later date you may also be charged redraw fees. Some lenders will include a certain number of fee free transactions before charging you.
• Early repayment fees. These may also be called early exit fees or deferred establishment fees and can be charged if you repay your loan in full within five years and discharge the security.
• Variation or breakout costs. If you have chosen a fixed rate loan and decide you want to break out of the loan before the end of the fixed period you can be charged a fee usually a percentage of the amount still owing on the loan.

What other government fees might I have to pay?

• Stamp duty on your loan. The stamp duty you pay to the government when you apply for your first home loan is based on the loan amount and differs from state to state.
• Stamp duty on your property. The stamp duty on your property can be even higher than that on your loan because it is based on the purchase value of the property. This will also differ depending on the state in which you are buying, but don’t worry because if you are building a new home you will only pay stamp duty on your block of land, not again on the cost of building your new house.

Learn more about the fees and charges you can expect to incur buying your first home

What do I need to do to apply for my loan?

Applying for your first home loan is much more involved than simply calculating the amount of deposit you need and sticking to a budget to get there. Instead you will need to make sure you are prepared for every stage of the process to avoid your loan application being rejected which can not only cost you time and money but can also cause you distress if you have already found a house of your dreams.

Is there a checklist I should follow when I’m applying for my first loan so I can avoid rejection?

• Choose a mortgage broker who can help you determine how much you can afford to borrow and which loan is best for you.
• Alternatively fill out an application form online or by phone directly with your chosen provider and they will run a credit check on you and grant you conditional approval usually within two business days.
• Some lenders will class their conditional approval as official preapproval on your loan, this is something you should confirm.
• When it comes time to apply for a loan you will need to provide proof of income, this is usually details of your monthly salary both gross and net, and three recent payslips. You will also need to provide your employer’s contact details, and make sure that you inform your employer that they may be contacted by your bank. Also include details of your previous job if you have been in your current position for less than three years.
• If you are self-employed you will need to also provide income figures from your last two years tax returns, unless you choose a low doc loan.
• You will need to provide your personal details including a tax file number and your driver’s licence. Also take the time to make sure that your details are correct and consistent across all of your identification documents, because if your name has been spelt one way on your driver’s licence and another way on your birth certificate, you may need to get a statutory declaration to explain the inconsistency.
• You may need to provide your bank account details to show evidence of savings.
• Put together a list of your assets and liabilities, plus proof of these values if required. Your assets can include your furniture and electronics, jewellery, your cars, insurance policies, savings and investments.
• Consider how your credit cards and credit limits will look. You may think that you are doing a good thing by repaying down your credit card balances. However if you have a low credit card balance but a higher credit limit the bank will see that as more spending room and more opportunity to get into bad debt. Therefore consider reducing the number of credit cards you have and reducing the limits on those cards.
• Always be honest and upfront with all information. If you think you have a black mark on your credit history which you neglect to mention in your application it can cause more problems by providing false information on your home loan application, than if you had been honest about any potential issues upfront. Most mortgage brokers will be able to find a way around a bad credit history or any perceived problem.

How do I successfully complete the sale of my first home?

It can be all very well to read about the application processes and the fees involved in buying your first home, what about when it comes time to actually make the bid and process the sale? Don’t worry because we can walk you through that too, as successfully buying your first home can be as easy as:

• Making an offer. When you find and have fully inspected a home which suits all of your requirements for your first home you are free to put in an offer to the seller and you are not obligated to that price until you have signed a contract. Consider whether your offer is reasonable with regards to the surrounding areas and asking prices so that you are taken seriously, but at the same time feel free to offer less than the asking price because you may be able to get a better deal if there are not a lot of other people making offers.
• You can choose to buy at auction or a traditional sale. Property which is for sale through a real estate agent often has a fixed price, whereas if you go to an auction you can make a bid or two or three, which you feel you can afford and which you think is a good price for the property on offer. When you are making a bid at an auction, keep in mind that if you are the highest bidder you are legally required to make a purchase. If you make an offer on a private sale, you are not bound to the property until you sign a contract.
• Know your cooling off periods. If you buy at a traditional private sale you will have a cooling off period after you sign the contract, which can vary from state to state for example in New South Wales you will have five days in Victoria you will have three days but in Western Australia you will have no days. Also if you buy at auction there is no chance to change your mind as the sale is final once you have bid and been named the highest bidder.
• Get organised during the settlement period. The settlement period is the time which you and the seller agree to, to give you both time to organise and finalise finance, property inspections, and moving trucks. When the settlement day arrives your solicitor or conveyancer will organise payment of the final amount and check that no damage has been done since you signed the contract.
• Organising insurance on your new home. This may be a requirement of your home loan, and even if it is not, it’s a good idea to organise insurance on the property you have bought as soon as possible after you have signed a contract. Seeking insurance on your first home can be very different to just organising renters insurance, and you will need to check for features such as mortgage discharge coverage where your insurance will pay for any mortgage discharge costs if your home is a total write-off.

How do I manage my mortgage successfully?

At the moment you are probably so focused on finding the right property and the best loan to get your dream of being a first home owner off the ground. However it also pays to consider what’s going to happen after settlement, after your deposit has been paid, after your loan has been activated and after all the boxes have been unpacked.

To make sure you are able to manage your mortgage repayments as successfully as you will now be able to manage your loan application and first home buying experience consider the following tips:

• Don’t forget about your budget. Your budget is more important than ever when you start to repay your first home loan, and the first year can give you a good indication of how you are going to manage the rest of the loan period. Therefore make sure you keep your budget detailed and up to date so that you know how much you are spending on your other expenses, where all of your income is going and whether there are any places you can cut back on luxuries, to divert more funds into your home loan.
• Make your repayments weekly or fortnightly if you can afford it. If you are able to pay your mortgage fortnightly for example you will actually be making the equivalent of 13 monthly repayments each year, but if you had kept to a monthly schedule you would of course only have paid 12 monthly repayments. This little bit extra can save you thousands each year in interest and can help you repay your loan faster saving you time as well as money.
• Make extra repayments where you can. Any extra repayments you make towards your first home loan on top of your minimum amount will go directly towards repaying the principal balance. If you look at the breakdown of your monthly repayments you will see that only a very small amount goes towards repaying the loan amount, and the rest goes towards interest charges. So the way to really get ahead as a first home buyer is to pay more than the minimum.
• Make extra repayments in the beginning, the very beginning. When you first start repaying your home loan you will be paying mostly interest and this is when you need to be concentrating on making extra repayments to reduce your principal amount. Also in the very beginning at loan settlement you are not required to make a monthly repayment on the settlement date. However if you do, making this one extra payment can save you almost 5 months on a $300,000 home loan, and that equates to over $6000 you will have saved in interest.
• Make sustainable changes to your lifestyle. When you move into your first home you are entering into a very different stage in your life, so consider whether it is time to make other changes which will also save you money. For example can you start taking a lunch to work instead of buying it everyday — you may have even just bought a brand-new home with a gourmet kitchen, so why not make the most of it by cooking more meals at home? Just remember that as you find places in your budget to cut back so you can funnel more funds into your home loan that if you cut back too far you can find yourself yearning for these luxuries you have replaced with loan repayments. Therefore strike a comfortable balance between frugality and frivolity so you can enjoy your new life as a first homeowner while cleverly saving money on interest charges too.

As you try and absorb, remember, and apply all of the new information you’ve just learnt about how to be a successful first home buyer always keep in mind that nothing is impossible if you set your mind to it, and owning the first home of your dreams should never be out of the question. If you arm yourself with the right tools, tips and advice you will be able to recognise the perfect first home when you see it because it will be a balance between independence and affordability, a new life and an investment in your future; you will then be able to negotiate the deal like a pro because you’ll know you have the backing of the best first homebuyer home loan behind you too, because you will have chosen the loan which suits your needs now and can grow with you as you learn to adapt and apply all of the best strategies to manage your first home loan. Good luck, and happy house hunting!





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• First Home Saver Account Scheme (FHSA)
  The thought of being able to discipline yourself sufficiently to save for a deposit is a hard task to confront for anybody. The First Home Saver Account Scheme (FHSA) fully recognizes this and if used to its full potential can help encourage you to keep saving so that you will ultimately realize your dream of home ownership.
• First Home Buyer Grant Rules
  If you wish to find out more about the rules governing the First Home Buyer Grant please feel welcome to contact us at anytime.
• Frequently Asked Questions: First Home Owner Grant
  To gain more information regarding eligibility or the necessary criteria, read on to find out about the FHOG regulations applicable to your state or territory.
• First Home Buyers Grant Queensland (QLD)
  First home buyer grants, eligibility, requirements and incentives differ from state to state, so make sure you have the relevant information if you live, and are buying your first home in Queensland.
• Eligibility Criteria First Home Owner Grant (NT)
  There's a lot to take in and the process can be somewhat lengthy if the applicant has not researched all the requirements. This can slow down the approval process as more research is required.
• The top 10 places to buy a second home
  The top 10 places to buy a second home is therefore a matter of choice and lifestyle. If investment was not to be a factor, and why should it necessarily be so, you may find that ideal hide-a-way will be a shack in the mountains completely among nature practically inaccessible by modern day standards.
• The First Home Owners Boost – Who is it really good for?
  Some 30,000 people were assisted into purchasing their first home during an economic recession that could have devastated an industry for many years into the future had such action not have been taken; learn more here about home buying post First home owner boost.
• First Home Owners Boost (WA)
  The First Home Owners Boost (WA) is generally regarded to have been a quite successful housing assistance plan throughout its duration. It assisted in keeping the building industry active during the recessionary period through a continuing of new homes being built throughout Western Australia. It also kept competition active in the housing market place which retained a stable house price throughout.
• First Home Owners Boost Eligibility (VIC)
  As First Home Owner Boosts were scaled back it became very difficult to know exactly how much you were entitled to. Therefore, read on to find out more about what you are entitled to now as a first home buyer in Victoria.
• First Home Owner Boost Overview (Vic)
  The First Home Owner Boost was a great incentive for first home buyers in Victoria, but with its rollback, you need to know what you’re still entitled to as a first home buyer around Australia.
• First Home Owner Boost FAQ
  The First Home Owner Boost FAQ listed here give a good account of how the boost grant was designed and how it helped increase the ability of first home buyers to enter the housing market at a time of economic downturn.
• FHOG Supporting Evidence (VIC)
  If you want to make sure your FHOG application is successful, find out about the supporting evidence you need to apply in Victoria.
• FHOB Rush: Guide to finding the best home loan
  There is a wide range of variations of home loans to choose from so take your time, get good advice, use all the incentives on offer and think of the future. Don't tie yourself into a burden but leave enough wriggle room for you to live and enjoy life as you pay off your first home loan.
• FAQ – FHOG General Information (WA)
  Buying your first home is a time filled with questions, and you can find common questions about general FHOG information for WA first home buyers here.
• The NSW First Home Plus Grant Scheme
  The home plus is giving you a significant savings boost, and a helping hand to achieve the dream of owning a first home. To find out more about the schemes, whether you are eligible, and how to apply; please take some time to check the further details here.
• First Home Owners Grant – Principle Place of Residence (ACT)
  For more information about the First Home Owners principle place of residence, and what is meant to occupy the principle place of residence, read more here, or contact Home Loan Finder.
• Revenue Circular - Offences and Penalties (ACT)
  Read on for more information about what constitutes as an offence or the penalties that may be incurred by not complying with the regulations.
• Revenue Circular - Commissioner's Discretions (ACT)
  Read on to find out more information about the criteria for FHOG exemptions, and what qualifies for the commissioner’s consideration that may apply to your circumstances.
• New Home Buyers Fact Sheet and Frequently Asked Questions (NSW)
  The NSW Governments first home buyer’s schemes are giving eligible first home buyers a savings boost to help achieve the dream of owning a first home. To find out more about the schemes, whether you are eligible, and how to apply read on, or contact Home Loan Finder now.
• First Home Benefits Residence Requirements NSW
  If you do not meet the residence requirements for the first home owner benefits you need to make this known. So to find out how to do this and for more about your requirements, and which grants apply to you.
• NSW First Home Owner Grant scheme
  The government schemes mightn’t be around forever so you had better take advantage of the substantial savings before they disappear.
• First Home Owner Boost Addendum Lodgment Guide and Application
  The ACT Government is helping ease the financial strains that come about when buying your first home. This additional government owner’s boost is set up to relieve some of the financial burden, and help new home buyers realise their dreams quicker and easier. So find out more know about how to apply, and whether you are eligible; please read more for further details.
• First Home Owners Grant – Australian Capital Territory
  With the added assistance from the First Home Owners Grant it is now much easier to take that step towards purchasing your very own first home. The First Home scheme can assist you in achieving your wish to own your first home; so find out more, about how to apply, whether you are eligible, and make that wish come true.
• First Home Owner Boost Information Sheet (NSW)
  There is a lot of information for first home buyers and it can be hard to know what applies to you. So find out more, learn about how to apply, and discover if you are eligible. Please read on for further details.
• First Home Owner Grant - Lodgement Guide and Application Form (ACT)
  The ACT Governments first home buyers grant scheme is assisting eligible applicants to achieve the dream of owning their first home. To find out more, about how to apply, and whether you are eligible, please read more for further details.
• First Home Owners Grant - When Will The Grant Be Paid? (Vic)
  It is one thing knowing you are entitled to the First Home Owners Grant, it is another thing entirely to make it a reality, so read on to find out more.
• Top 5 ways to Stop Paying Rent
  While paying the rent each week gives you a place to live, it doesn’t give you the security or freedom which comes from owning your own home, so find out five simple tips to get out of the rent trap sooner.
• Huge Rise In Friends Buying Joint Homes
  Joint property purchasing is a great way to more quickly pool a deposit and share the obligations of monthly repayments, it is even tipped as helping secure the Australian economy and housing market, but there are a few things you should be mindful of.
• How to make the most of higher First Home Owner Grants
  There is no doubt that the increased first home buyer benefits made it possible for thousands of young Australians to get into their first homes, but what do you do now that the grants are scaled back? You find out more with the help of Home Loan Finder.
• How to Apply for the First Home Owner Grant (WA)
  Receiving the First Home Owner Grant can make a significant difference to your savings for a home, so you want to make sure you know how to apply successfully.
• House versus units for first home buyers
  One of the hardest parts of buying a new home is knowing the difference between what you want and what you need, like whether you want a unit close to your favourite cocktail bar, or whether you need a house with a backyard.
• First Home Owners Grant (WA)
  With so many changes recently to the first home owner grants, boosts and bonuses, it can be hard to know what you are entitled to. Read on to find out more about First Home Owners Grants in WA.
• First Home Owners Grant Frequently Asked Questions (VIC)
  If you have first home buyer and government grant questions buzzing in your head, read more now to find the answers, and silence those questions.
• First Home Owners Bonus FAQ (Vic)
  Buying your first home is a time filled with questions, so here are some answers to some common questions you may have about the First Home Owners Boosts available in Victoria.
• First Home Owner Grant
  The government likes to drown you in paperwork and bog you down in details, but don’t let that stop you from getting the First Home Owner Grants you are entitled to, because with the help of Home Loan Finder you can be successful.
• First home buyers what to look for
  Buying your first home is an exciting time but don’t forget this is a big investment, and a long term investment so project your budget and your needs into the long term too.
• First Home Buyers Exemptions And Concessions (VIC)
  First home buyers in Victoria are entitled to a number of grants and stamp duty concessions, so find out more about how to apply correctly, so you don’t miss out.
• First home buyer dilemma: property prices going up or down?
  As a first home buyer you don’t only have to understand boosts and loan criteria, you also need a thorough understanding of the economy and the property market, so read on to get a grasp on current issues.
• First Home Buyer Deposit
  The deposit will weigh on the mind of a first home buyer and is enough to keep you up at night. Well go and get some rest, and in the morning, contact Home Loan Finder for more help and advice.
• Guide To First Home Saver Accounts - Compare & Apply Online
  First home saver accounts are aimed at customers who are looking to save for their first home. It is government backed, and supported by a low rate of tax. What else is involved, and what do we need to know about these accounts?
• First Home Buyer Incentives
  The grants, bonuses and concessions that you can claim will influence your choices: armed with the latest details of the government help you are entitled to, you will be able to make the best buying decisions on matters such as when to act, the value and location of the property, and whether to buy an existing home or a new property.
• Navigating A Hot Market
  Buying a home or investment property is a big decision so if you would like advice or information about how to best navigate the market to achieve your individual goals find out how one Sydney first home buyer research his way to the top, and how you can too.
• How To Build Your Investment Portfolio, From First Home Buyer To Investor
  While property investing is usually a long-term project, there is no reason you can't go from being a first home buyer to an investor in a matter of months and with the help of Home Loan Finder we can make sure you get a deal on your interest rate which is lower than the banks and lower than mortgage brokers, to ensure you make the highest return on your investment.
• New First Home Saver Account
  While the government are always ready to add taxes such as stamp duty to the purchase of your new home and your new loan application, in the 2010 federal budget changes have been announced to give first home savers a tax break and make the First Home Saver Account more user-friendly.
• First Home Owners Grant
  Defence personnel now have a wider scope of eligibility for the First Home owners Grant, so find out more about recent FHOG changes in NSW.
• First Time Home Buyer? How to Keep Your Head
  As a first home buyer it can be tempting to borrow as much as possible for the home of your dreams. To avoid getting in over your head with a loan you can’t afford, find out how to make a sensible first home buying decision.
• Check State Rules for First Home Grants
  As a first home buyer you don’t want to miss out on the grants and bonuses you are eligible for, at the same time, you don’t want to count on receiving a grant only to find you’re not eligible at all.
• What Options Do First Home Buyers Have
  It may be a bit of a struggle to be a first home buyer, but it is not impossible to own your own home. All you need to do is plan your savings and make sure you know the government benefits you are entitled to and you can do all that and more at Home Loan Finder.
• The First Home Owner Grant
  You don’t want to miss out on the First Home Owner Grants you are entitled to, so let Home Loan Finder help make sure your applications are processed correctly.
• First Home Buyer
  Buying your first home can be like navigating a minefield of information and advice, so find out what is relevant to you, and what you are eligible for in the best type of first home buyer loan.
• First Home Buyer Home Loans
  Once you have seen the types of loans available for the first home buyer and what government assistance is available you can now set about ascertaining how much you can afford to borrow as most financial institutions will base your loan on your ability to repay the payments.
• First Home Buyer Bonus
  Being a first home buyer is hard enough, so make sure you know what you’re entitled to in the way of government grants, and how to get it.
• First Home Buyer Savings Account
  It can be hard to save for the deposit for your first home. The first home buyer saving account can assist you in achieving your dream of owning your first home, so find out more know about how to apply, and whether you are eligible.
• First Home Buyer Account
  Being a first home buyer can be expensive. By knowing all the grants and subsidies that are available you are able, you can make sure you get the best house available.
• First Home Buyer Mortgage
  When buying your first home in Australia, be sure to identify what type of mortgage suits you and who offers the best deal. By following the simple steps outlined in the article you will ensure that you get the mortgage and the home of your dreams.
• First Home Buyer Extension
  If you didn’t buy your first home or sign a building contract in 2009 you may think you’ve missed out on the First Home Owner Grants available. However, there are still tax-free grant payments and first home buyer concessions available in 2010, so find out more about how to get what you’re entitled to.
• First Home Buyers Loan Australia
  As a first home buyer in Australia it is essential to know what is available to you. This article summarises the loans available and shares some tips on finding the best home loan that suits your needs.
• First Home Buyers Australia
  If you are serious in becoming a home owner start planning now and read more about what you are entitled to as a first home buyer in Australia right here.
• First Home Buyer Assistance
  To make buying your first home as easy as possible be sure to know all the assistance you can receive. This article will explain all the assistance available to ensure you get the home you want at the price you want.
• First Time Home Buyers Guide
  If you are looking for step by step tips to buying your first home have a look at this first time home buyers guide. It will provide you with all the information needed to start your journey.
• Stamp Duty Calculator
  Stamp duty is a typical first home buyer tax and as such it is a certainty in most cases. Therefore you need to find out how much stamp duty is payable on your loan and the purchase of a property, and whether you are eligible for any concessions or tax breaks on those costs.
• First Home Buyer Stamp Duty
  Stamp duty can be one of those hidden costs which you forget about when you are buying your first home, however once you are faced with the stamp duty charges on your loan and your property they can be very hard to ignore. Therefore find out more about how first home buyers Stamp duty is calculated and how it can be avoided.
• No Deposit First Home Loan
  A no deposit first home loan can help you turn your first home purchase into another smart investment if you want to leave your savings invested elsewhere rather than converting them into a home loan deposit. Find out more about whether a 100% loan is right for you, and how to apply.
• 1st Home Buyers Grant
  1st time homeowners are still being given a boost by the government thanks to a $7000 first home owners grant. If you are a first home buyer in Australia find out more about whether you are eligible for the first-time buyer's grant and how to apply easily.
• First Home Buyer Calculator
  A first home buyer calculator can be a useful tool when you start the search for your perfect home and home loan. To make sure you get the most out of your calculations find out how you should and shouldn't be using a first home buyer calculator now.
• First Home Buyer Benefit
  No one likes to miss out on what they're entitled to so if you are a first home buyer find out more about the benefits of buying your first home, and how to benefit from the grants and saving bonuses you are eligible for.
• First Home Buyer Eligibility
  Confirming your eligibility for a first home buyer home loan, can make the search for your perfect home faster and easier, because you know you have the backing of your loan provider when you make an offer, and you have your budget confirmed as you search the real estate listings for homes you will be eligible to buy.
• First Home Buyer Grant Application
  Knowing whether you are eligible for the first homeowner grant, and how, where and when to apply for the grant can save you time if you are first homebuyer and can help you kick one more thing off your list of things to do in the search for your first dream home.
• First Time Home Buyer Australia
  If you are a first-time homebuyer in Australia you can feel very confused and alone. However it is important to remember that as hard as some banks will try to fit you into their mould of what a home loan customer should be, your first home and your first home loan needs a unique. Just around to hang in there because there is an Australian home loan out there which is as unique as you are.
• First Home Buyers Scheme
  The first homebuyer scheme can benefit all Australian first home buyers and can make getting your first home loan faster and easier, and can save you time and money now and in the long run. So find out more now about whether you are eligible for the first home owner grant and decide how you would best benefit from the your $7000 in the scheme of things.
• First Home Buyer Information
  First homebuyer information can range from gold to gossip and everything in between. Therefore make sure you know how to sort through the junk and the jewels to find the information which relates to your first-time buying situation and makes the whole process as easy as possible.
• First Home Buyer Checklist
  There are a myriad of homebuyer checklists available for you to download and fill out, however the best first homebuyer checklists can be found by sitting down and compiling a checklist of the points which are important to you along your first homebuyer journey to ensure a checklist and a process which really works for you.
• First Home Owners Loan
  First homeowner's loans are a competitive market and before you start jostling your way to the front of the auction crowd, and before you put in an offer on your dream home, make sure you have the perfect first time home owner loan behind you.
• First Time Home Loans
  As you get caught up in buying your first home it can be easy to forget about your first home loan requirements. Therefore find out what you need to be looking for and the benefits which are open to you and only you as a first-time home loan customer.
• First Home Buyer's Government Grant
  The first home buyer government grant is still set at $7000 for eligible first time buyers. Therefore find out more about how you can benefit from getting into your first home sooner, and the options you have in applying your government grant to your first home loan.
• First Home Buyer Grant 2009
  The first home buyer grants on offer peaked in 2009 when the first home owner grant doubled to $14,000 if you bought an established home and to $21,000 if you built a new home from scratch. Many states also offered their own bonuses in addition to the government grant, but if you know where to look there are still plenty of government incentives you can take advantage of as a first home buyer post-2009.
• First Home Buyers Guide Choosing The Best Home Loan For You
  Choosing the best home loan as a first home buyer can be a daunting task but just keep in mind that having such choice is a good thing and means that there is more chance of you finding a home loan which best suits your needs, now to find out exactly what those needs are.
• First Home Buyer Rebate
  The first home buyer rebates are often the talk of the town, but to find out which first homebuyer rebate you are entitled to, stop listening to the talk and start finding out about the facts as they relate to your circumstances, the property you intend to buy or build as your first home and where you are in Australia.
• First Home Buyer Tips
  If you’re looking for a few simple tips to help you clarify your search for the perfect first buyers home loan, read on to find out what you should be doing, what you should be looking for and where you should be looking.
• First Home Buyers Guide
  There are plenty of first home buyer’s guides out there, all clamouring for you to follow their advice. However, if you’re looking for a guide which simply sets you on the path to your first home loan, leaving the decisions up to you, then read on.
• First Home Buyers Loan
  A first home buyers’ loan needs to be affordable, and easy to use, but you also want to make sure it has all the features you want and need to keep the rest of your finances on track, and help you continue to live your life, even though you now have a mortgage.
• First Home Buyer Grant
  Buying your first home is an expensive exercise, so any extra funds can help. Therefore, find out more about how you can apply for the First Home Buyers’ Grant, and how easy it is to apply.
• First Home Buyer
  As a first home buyer you are probably wondering if it is even possible for you to own your own home anymore. Well rest assured that it is possible, and there are a myriad of financial tools, advice and assistance to help get you there more easily.