What Are The Steps For Buying A House?

Thinking about buying a house?  Do you get anxious about all that's involved in owning a home?  While it's a lot of hard work, Mortgage Broker Revesby has put together these simple steps together to help get you over the line.

1. Decide to buy

✅Go through the pro's and con's of buying versus renting.  

✅Once you're certain buying is the option for you, then assess your current situation, make a budget, and seek legal help and guidance.

✅Get all your ducks in a row before you meet your mortgage broker.  They will want to know your assets and liabilities, living expenses, HECS, ATO debts, loan repayments etc.

2. Which loan is best for you?

✅Talk to Mortgage Broker Revesby to know your options.

✅Learn which lenders are on your mortgage brokers panel.

✅Ask if they charge a fee.

✅Know your goals: how much do you want to borrow?  Learn what sort of loan product might be best for you. What is your borrowing capacity?  How much deposit and purchasing costs do you need?

3. Your mortgage broker will create your home loan application

✅Double check to make sure all the details are accurate.

✅Discuss the chosen lender and why it is recommended.  We're there any missing?

✅Ask about your obligations to service the loan.

✅When you're happy to proceed, the broker will submit the application on your behalf.

4. Time to get your Pre-approval

✅Also known as the conditional approval.  Know how much you can spend on a property!

✅The lender gives you an indication that your finance application will be approved to this amount.

✅There are some conditions to this: usually around the property valuation.  It is important to add a clause to your offer, "subject to finance being approved".  This will protect you in the event the bank doesn't share your enthusiasm for the property.  If this clause is omitted and the bank decides not to lend you the funds, you may have forfeited your deposit.

5. The lender will now value your chosen property

✅The lender wants to know the property is worth what you have offered to pay.  This is because the property itself is usually the collateral for the loan.

✅Valuations can be done via  quick computer valuation of the area, or a bank clerk can drive past the property, or a full internal inspection can be made.  It is at the banks discretion.

6. Unconditional Approval

✅If the valuation comes back inline with what you have paid for the property, you will be issued a formal approval.

✅You can now buy with certainty.

7. This is where your conveyancer steps in!

✅Your conveyancer will explain all the legal conditions, fees, and your obligations within the offer document.

✅The mortgage documents and letter of offer will explain the part of the lender, the borrower (that's you), and the State Revenue Office.  Your convyancer will help you through this process. 

8. Money changes hands on the settlement date

✅All the costs are settled and you take ownership of the property.  This means you can now move in!

✅This will be handled by your conveyancer.

✅You're now a home owner.  It's time to celebrate!

You wont be charged a fee whenever Mortgage Broker Revesby helps guide you through the home loan process.  We are compensated via the lender.  Just get in touch for a no obligation discussion.

Matthew Stack

matthew@mortgagebrokerrevesby.com.au

www.mortgagebrokerrevesby.com.au

0423 237 242

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