Purchasing a property will be one of the most expensive purchases that you make in your lifetime.
We believe that whilst interest rates form an important part of your selection process; the features and benefits are equally; if not the most important part of any home loan.
There are literally thousands of home loans in the marketplace. Choosing the right home loan could save thousands of dollars in interest each year. South West Lending Solutions take the time to listen to your requirements and take into consideration your individual needs to recommend a loan product that is suitable from our 20 + panel of lenders.
Some Things To Consider
- What are your short, medium and long term goals?
- If you intend on starting a family; will you be able to keep up repayments when one of you are on maternity leave?
- Are you looking at growing your property portfolio (Investment property)?
South West Lending Solutions will take you through step by step from pre-approval to settlement and beyond.
First Home Buyers
Buying your first home can be exiting and daunting at the same time. It is about taking that first step into independence and starting a new life for yourself. South West Lending Solutions specialise in First Home Buyers.
There a multiple benefits to buying your first home. No more paying off someone else’s home loan (Rent), the freedom to renovate and decorate the way you want. South West Lending Solutions have over 25 years experience in lending and can guide you through each step of the way.
1. How Much Can I Borrow?
The first step you need to take is to work out how much you can borrow. You need to take into account your income, expenses and existing borrowing commitments. Each lender has its own way of calculating how much money you can borrow (which is why it is a great idea to use a Mortgage Broker, however a good guide to use is around 30% of your income should be used to pay back your loan repayments. Use this handy calculator to get an indication of your borrowing power.
2. Your Deposit
You need to have saved a deposit of at least 5% plus costs such as stamp duty and other government charges. This deposit usually needs to be saved between 3 to 6 months. You deposit can form part of a non-repayable gift as well. If you need assistance in saving your deposit; please contact us on 02 8007 5626 or 0414 727 308 or use this handy calculator.
3. Lenders Mortgage Insurance – What You Need To Know
Lenders Mortgage Insurance (LMI) is payable when the Loan to Valuation Ratio (LVR) is greater than 80% of the contract of sale price or the valuation. There is a misconception that LMI covers the customer when in fact it actually covers the lender against any losses if they have to see the property.
The maximum that you can borrow against a properties value is 95%. There are some lenders who will allow you to borrow the cost of the LMI premium up to a maximum of 97% of the property value. Some lenders will allow you to borrow the total cost of the LMI premium on top of the 95% borrowed to purchase the property.
4. How To Avoid Paying Lenders Mortgage Insurance
As mentioned above; you need to pay LMI when you borrow more than 80% of the property value. In order to avoid paying LMI; you will need to have a 20% deposit or greater. This generally does not need to be saved over any period of time and may come from the sale of an asset such as a motor vehicle or shares. This can also be from a gift or a “Family Pledge” where your parents can offer a limited guarantor loan. Call us on 02 8007 5626 or 0414 727 308 for more information.
Refinance/ Debt Consolidation
Are you looking at consolidating your debts or looking for a better deal on your home loan? Maybe your circumstances have changed? If so; refinancing your loan may be an option for you. You can potentially save thousands of dollars in interest.
You are looking to renovate
You have multiple debts that you wish to manage with one simple payment
You want to reduce your repayments to improve cashflow
You are looking at switching part or all of your loan to a fixed rate or vice versa
You are looking for more features on your loan
Advantages Of Refinancing
You can potentially save thousands of dollars in interest
Reduction in monthly repayments
Reduction in ongoing fees
When Is It Not A Good Idea To Refinance?
When your current loan has significant exit fees
If your property valuation comes in lower than expected. Lenders Mortgage Insurance may be required
When there is no clear benefit in doing so (I.E. Cost saving or better features)
South West Lending Solutions can give you a cost analysis to demonstrate your potential savings
Low Doc Loans
Low Doc Loans are designed for self employed people. A Low Doc loan means less paperwork compared to a regular home loan.
Low Doc loans (Also known as non-conforming loans) are useful for self employed applicants who do not have the required financials (Tax returns) to qualify for a regular home loan.
What Is Required?
- A Declaration from the applicant declaring their personal annual income (AND)
- A letter from your accountant to confirm the level of income (OR)
- 4 quarters BAS statements (OR)
- 6 months business bank statements
Some lenders may require different combinations of the above documentation to demonstrate that you can service a loan.
Generally the maximum Loan to Valuation Ratio for Low Doc loans is 80%.
South West Lending Solutions can assist you with all your Low Doc requirements.
Looking to purchase a new boat, car or caravan? Maybe a personal loan is for you? Personal Loans are available for any worthwhile purpose.
Personal Loans offer you the flexibility to fund any worthwhile purpose. Most importantly it does not tie up valuable equity in your property as the majority of personal loans are unsecured. Depending on the lender; you can have the funds in your bank account within 24-48 hours after signing your paperwork.
We insure our cars, house, contents & boats ETC however most people fail to ensure the one thing that provides all of these things….. THEMSELVES!
It is a fact that One in five men and one in seven women will suffer a critical illness before age 64. (Source: Rice Warner Report on Underinsurance in Australia 2011)
When it comes to insuring ourselves; there is a mentality that we are bulletproof or that insurance is expensive; when in fact the most expensive part of being uninsured is being uninsured!
Insurance Cover Types (Click Below To Expand Categories)
Repair Bad Credit
Do You Have Bad Credit? Let South West Lending Solutions Assist To Repair Bad Credit.
From time to time most people will end up with a default or other blemish on their credit file. South West Lending Solutions have lenders who can assist those with a poor credit history; however there are times where your credit history may be repaired.
South West Lending Solutions have partnered with a company that may be able to repair bad credit files.
How is this done? Basically if a default or other credit blemish is lodged against your credit file without the service provider following proper procedure and process; the default may be able to be removed from your file. This means that it would be as if the default never occurred in the first place.
Not sure if you have bad credit? We can assist you to obtain a copy of your credit file.
Vehicle & Equipment Finance
Purchasing a vehicle whether new or used there are numerous options whether it is for the family or the business.
Our interest rates are competitive; we can arrange Pre-Approval finance, early repayment options and suitable car loan protection insurance.
Whether purchasing an established business or setting up a new business, finance options are available whether it be secured residential lending, commercial security or no security at all! We can help you find a solution for your needs.
Click below for more information.