Looking to buy your next home or renovate your dream one? Make the move to your next home with a finance expert by you side.
The next home loan process.
From bridging loans to general moving tips; here’s a breakdown of how we will help you buy your next home.
It all starts with taking few minutes to answer a few simple questions right here. Once you’re done, we’ll meet to discuss your goals, financial position and what approach you can take while moving homes, in person or online.
Once we know what you need, we’ll research over 60 banks and lenders to find you a competitive rate. We’ll even provide a written recommendation on the loans that fit your needs, just for you.
Paperwork is our job. Once you’ve chosen the lender, we’ll work with them to package, sign and lodge documents to get you ready for pre-approval.
Moving is painful enough, so once you’re approved, we’ll make the transition from your current loan to new loan as pain free as possible. A valuation will then take place on your new home, insurance details provided and a settlement day will be scheduled.
In this final stage, we’ll coordinate the lead-up to settlement where the funds from your new home are used to pay off your current loan. We’ll liaise with your existing and new bank and if you’re borrowing any extra cash, it will be ready to go. A solicitor or conveyancer is still involved here to change the lender name on your paperwork.
Thought of moving already stressing you out? Fear not. When the big day (or days!) come we can organise for a trusted team of experts to be at your side to take care of it for you. We also have partners who can help get your connections set up too, so you can sit back and take in the new view.
Loan types and features
There are a number of loan types and features that you might want to consider for your new home loan, scroll through some of the options below to get a better understanding of what the differences are. We’re here to answer your questions when you’re ready.
Variable Rate Loan
As the name suggests, the interest rate can change over the life of the loan. This gives you flexibility, but can also leave you open to rate rises. These loans can also offer the option of additional repayments and redraw, as well as offset accounts.
Fixed Rate Loan
Basically, this is the opposite of a variable rate loan. Your interest rate and repayments will stay the same during the fixed term, no matter what. So no surprises. You can’t make extra repayments during the fixed term though, so it’s worth thinking about a split loan if you’re planning to pay extra.
Split Loan
The best of both worlds – you’re able to fix part of your loan, while leaving the rest variable.
Packaged Loan
If you already own a property, this is a short-term loan that can help you finalise the purchase of your new property before you’ve sold your existing one.
Line of Credit Loan
This gives you flexibility and easy access to cash for renovating or investing. It lets you draw against the loan balance, up to a credit limit set by the lender.
Interest Only Loan
As the name suggests, you only pay the interest on the principal balance for a set term, with the principal balance unchanged.
Construction Loan
If you want to build a home this is your loan. Most construction loans are interest only for the first year while the build is underway and interest is charged on the amount you draw down on from the loan for building repayments.
FAQs for next home loans.
Generally you have two options for switching your current loan. You can either refinance with the same lender (or a new lender) or pay out the existing loan and take out a new one with your new property. We can help you determine what you can afford and which option may be right for you.
A bridging loan helps you purchase a new home whilst you wait for a buyer to purchase your current one. The loan works by covering the cost of your new property with the idea that this debt will be paid off when your old property sells.
Typically, variable rate home loans offer flexibility whilst fixed rate loans offer predictability. Get in touch with me today and I can help explain how each could benefit you.