The Bank of Mum & Dad
With the challenges of high housing prices and strong competition, first-time buyers are looking towards financial assistance from their parents to get their foot on the property ladder. According to Digital Finance Analytics, an estimated 55% of first-time buyers are now receiving help from mum and dad or other family members in order to kick …Read More
What happens on Auction Day?
Most of us have seen an auction where a frenetic auctioneer waves their hands up and down and yells out numbers until you hear “SOLD”. But what actually occurs on the day of an auction and is there any structure to it?
Auctions can be a stressful event however confidence can be gained through the knowledge …Read More
Is Pre Approval that important?
The term ‘pre-approval’ is a commonly used phrase that circulates the lending world but what does it actually mean?
Pre-Approval is a term used when an application has been made to a lender and a loan amount has been approved in principle. This approval provides you with the confidence and knowledge of your maximum available funds …Read More
The bank wants to see ‘genuine savings’. What does that mean?
Applications for a home loan greater than 90% of the value of the property require you to prove to the lender that the funds you are contributing are classed as ‘genuine savings’. This policy is in place so the bank has confidence you are able to save funds and be financially disciplined over a prolonged …Read More
Why should I speak to 40 Forty Finance?
Trying to navigate your way through the lending world can be a complex and confusing process. If you are looking to buy a property or refinance an existing loan there are numerous stages that need to happen for the end result to be a success.
It is becoming increasingly more common that people are turning to …Read More
Opportunities in a falling property market
After several years of exponential growth, Australian housing prices are on the downturn causing a falling property market. CoreLogic’s national index demonstrated dwellings within Melbourne and Sydney dropping by 3.3% and 3.5% respectively. This downturn is attributed to tighter lending standards, reduction in property investors and larger capital requirements enforced on Australian banks.
Property owners will …Read More
Redraw V’s Offset: What is better for you?
An offset account or redraw facility are common home loan features many lenders offer. These features give you the functionality to store additional repayments/savings against your loan while reducing the interest charged on your home loan. The funds remain accessible to you should you want to draw on them in at any point in the …Read More
Victoria’s new Tenancy Rules explained
The Victorian Government has recently passed new laws under the Residential Tenancies Act that will increase the rights of renters. These new changes will come into effect on July 1, 2020.
As a renter or investment property owner, it is important you understand what the planned changes are and how they may impact your decision-making.
Key Points:
Landlords …Read More
How to avoid overcapitalising
What is overcapitalising?
Overcapitalising refers to the process of improving property beyond its actual value. For example, spending $100k renovating the kitchen and bathroom of a $600k property, doesn’t automatically mean the property is worth $700k. A sale price of your property is always going to be determined by what someone will pay for it. The …Read More
5 Key Questions To Ask Yourself Before You Buy
Buying your first home is an exciting time but there are some key questions you need to ask yourself before you take the leap.
1. Is it the right time?
This question needs to be asked and then asked again! The notion of owning your own home is a fantastic ambition but is it the right time …Read More
