Home Loans & Mortgages

The Commonwealth Bank of Australia [CBA] has just dropped the home loan rate on its recently introduced ”no fee” home loan offer to 7.11% in response to other major players offering deep discounts in order to attract home buyers and mortgage refinance customers in a slow mortgage market.

Don’t buy a new home as your first home.
If you were buying a home 10 years ago, this would not make sense. But things are different today. Land prices are killing new home sales and only people that have made equity in the first home can build new today.

So my first advice to you is to buy a bargain established home. There are plenty to choose from and they are below replacement cost. You get more for less, and in less time.

Home buyers turn to no deposit and  low-deposit mortgages Lowering home affordability means that first-time home buyers are cutting back on the size of their deposits and opting for bigger mortgages, industry people say. Average deposits for first-time buyers have shrunk to between three and six per cent in recent years compared with the traditional [...]

Just to give you a quick run down, the eight most common mistakes that I often discover in a home loan application are:

1. There are too many credit enquiry notations on your credit file.
2. Your loan submission is poorly written.
3. Your proposed home is appraised lower than the agreed purchase price.
4. Your chosen lender says you have insufficient funds, as savings, deposit, or your income level does not qualify you for the loan you seek.
5. You have changed jobs, employers or job status recently.
6. You have no savings history, or an irregular savings pattern.
7. You or your partner have an undisclosed bad credit or poor credit history.
8. You chose the wrong lender and your security is declined.

Australian Mortgage Lenders and Mortgage Broker Group Aussie Home Loans Group’s aggressive expansion has helped bump up its annual profit despite stagnant east coast housing markets. The mortgage lender and broker formed by John Symond yesterday posted a 44 per cent rise in net annual profit for 2005-06 to $19.7 million. Aussie said it processed [...]