Home Loan Process

Step 1:

Meeting with Real Mortgage Broker to understand your objective, your circumstances and establish a relationship and check on your borrowing capabilities. This usually takes 30-60 minutes of your time.

Step 2:

The next step is to evaluated your borrowing capacity. The broker will perform an assessment based on information provided by you from lending point of view. To perform this, we need to look at: Your income & expensesBanking behaviourYour exit strategy from the loanSaving patternsAny current property you have Based on the lender determines that how much money they can lend to you. Every lender looks from a different perspective, but usually they consider: Applicants in the applicationDependentsSalary before taxLiving expensesFinancial commitments you have, like school. Child care, credit cards, personal loans etc.Other regular income from investment properties etc.

Step 3:

We will also check if you are eligible for any government grants/concessions which can help you save tens of thousands of dollars. It is definitely worthwhile checking and claim it if you are eligible.

The government rebates include:

First Home Owner Grant

Stamp duty waiver/concessions

First Home Loan Deposit scheme

Step 4:

In this step, Real Mortgage Broker will provide you with the loan options which fits in as per your criteria and will give you a recommendation. These options are concluded based on your objective, your borrowing capacity , rates and feature most suited and the product which gives you flexibility and are effective.

If you don’t have a strong borrowing capacity, your Real Mortgage Broker will suggest a more stable product such as a fixed rate home loan.

If, however, you have the ability to service your loan strongly (in other words, you have strong borrowing power), your broker can suggest more flexible loan options like variable interest rates.

Another example could be if you’re already an owner-occupier (so, you own the property you’re living in), but now you’re looking to purchase an investment property.

Either way, your broker should always look at the minimum risk you should take to meet your objectives and goals.

Understanding your options is the most important step of the process. So this is your chance to make sure you get clarifications on all the questions you may have. It’s also worth noting that you don’t have to make a decision immediately. Take some time to go over all the options again before making your final decision.

Step 5:

This is the last and final step once you have chosen the home loan product which suits you. The step 5 involves submitting your application along with certain documents to the respective lender. Real Mortgage Broker will request you if there are any further documentation required. Once submitted, we will wait from the lender to get the conditional approval It usually take 2-3 days to progress in the queue, assessed by a credit officer and issuing a conditional approval At the conditional approval stage, you’ve met most of the bank’s lending policies subject to a few conditions. Generally, this means that you still have to find a property, so your home loan will only be approved once you’ve completed a property valuation. Conditional approval lasts about three months, so you’ll need to find a suitable one within this time.

Once you’ve located, chosen and secured the property you want to buy, you’ll enter into a contract of sale with the seller. Your Finance Hub and Networks Mortgage Broker will then order a valuation of your property to identify its accurate value if used against a new loan. If you’re borrowing over 80% of the property value, you may need Lenders Mortgage Insurance approval as well. After the valuation, the lender will generally give you unconditional approval on your loan. This is when the lender has everything they need and can confirm that they are willing to approve your loan.

Once the loan has been formally approved and you’ve signed the home loan contract, your Finance Hub and Networks Mortgage Broker will return it to the lender with any requirements that they need to settle the loan. Once the lender has certified that all of your documents are in order, they can then advance the loan funds. Generally, they will call your solicitor or conveyancer and let them know that the funds are available for purchase.

Your conveyancer will book a settlement time and date with the lender. As soon as the loan is advanced, the settlement has occurred, and you’re officially a homeowner!

Step 6 ( A continuous health check):

We’ll also keep an eye on rates and let you know when you can lower your mortgage payments or get cash from your home’s equity. That’s REAL. That’s our customer service.