First Home Buyers

The First Home Owner Grant (FHOG) is a cash grant designed to help people who have never owned property buy their first home. Every state offers their own buying assistance of the FHOG.
In NSW, $10,000 FHOG is available if you purchase a newly built house, townhouse, apartment, unit not exceeding $600,000 in purchase price
OR
If you purchase vacant land and sign a building contract not exceeding $750,000 in combined cost.
Please visit First Home Owner (New Homes) Grant | Revenue NSW to check the criteria for FHOG.

This may really depend on your circumstances. Usual deposit is 20% but can range between No to 20% Deposit depending on individual scenario and professions. For example, the below categories of borrowers can avail a loan with zero Deposit:
Doctors
Accountants
Lawyers
Some lenders accept a 10% deposit, but you may still need to pay Lenders Mortgage Insurance (LMI). LMI protects the lender in case you default on your loan. The cost varies based on your loan amount but can range from $5,000 to $15,000+.

LMI is a one off non refundable insurance premium you pay if your home loan has a loan-to-value ratio (LVR) higher than 80%—meaning your deposit is less than 20% of the property’s value. It protects the lender, not you, in case you can’t repay the loan. A lower deposit (higher LVR) is riskier for lenders, as a default could leave them out of pocket if the property sells for less than owed. LMI covers that potential shortfall. The LMI ranges between 1–5% of your loan amount, depending on your LVR and the premium is usually added to your loan amount.

a) Obtain loan pre approval: Approach a broker to find your borrowing power and secure conditional pre approval for which is valid for three months and need to be renewed in case needed.
b) Make an offer when you find the right house property per your needs.
c) Exchange contracts: Once offer is accepted, you will sign a contract and pay the deposit (usually 5–20%). Check if a cooling-off period applies.
d) Financing: Finalise loan approval by providing all required documentation.
e) Conveyancing: Your solicitor/conveyancer manages legal processes, ensures clear title, and coordinates settlement after legal checks: title searches, council, water, environmental, etc.
f) Settlement: Your conveyancer or lender pays the balance to the seller; ownership transfers and you receive the keys.
g) Additional Tip – keep some money for furniture and finishings

it is possible to buy a house in joint names, either as joint tenants or tenants in common. Joint tenancy means the owners jointly own the property, and upon the death of one owner, the property automatically passes to the surviving owner(s). Tenants in common involves each owner holding a distinct share of the property, which can be equal or unequal, and upon death, their share is dealt with according to their will.

The best option depends on your individual circumstances, relationship with the other owner, and future plans for the property. 

Personal Savings - The most common way is to save regularly over time from your income.   Many lenders require that your deposit be genuine savings,  money you’ve saved yourself over 3+ months.  Aim for at least 5% of the purchase price, though 20% is ideal to avoid Lenders Mortgage Insurance (LMI).

First Home Super Saver Scheme (FHSSS) - Allows you to save up to $50,000 ($15,000 per year) through voluntary super contributions. You can then withdraw these savings (plus earnings) to use for your home deposit.

Benefit: You may save on tax while growing your deposit faster. Please refer ATO website for details.

Government Deposit Support Schemes:

1. First Home Guarantee (FHBG)

• Buy with just 5% deposit, no LMI.
• The government acts as guarantor for the other 15%.
• Income caps and property price thresholds apply.

1. Family Home Guarantee (Single Parents)

• Buy with 2% deposit, no LMI, even if you’ve owned property before.
• For single parents or single legal guardians with at least one dependent.

1. Regional First Home Buyer Guarantee

• Like the FHBG but for regional areas.

4. Parental Guarantee / Family Pledge

A family member offers part of their property as security instead of cash.

Known as a “guarantor loan.” It can help to avoid LMI and get a better rate, even with a small or no cash deposit. Risk: if you default, the guarantor’s property could be at risk.

Gifted Deposit

• A parent or close relative may gift you money for the deposit. Some lenders accept this if backed by a statutory declaration confirming it's a gift (not a loan). Some lenders still require a portion to be from genuine savings.

Shared Equity Schemes (varies by state)

• You co-purchase with the government or another party (e.g. VIC’s Homebuyer Fund). You contribute a smaller deposit (e.g. 5%) and the government covers part of the purchase price in exchange for equity in the home.You’ll need to buy back that equity later.

Other Less Common Methods

• Personal loans are not recommended by lenders for deposit funding as they increase your debt and reduce borrowing capacity.
• Borrowing from your business or investments may be allowed, but must be disclosed and structured properly.

To calculate your borrowing power in Australia, you’ll need to assess how much a lender might be willing to loan you based on your financial situation. Here's how it works:

Key Factors That Influence Borrowing Power

• Income: Your salary, rental income, and other earnings
• Expenses: Living costs, loan repayments, credit card limits
• Deposit size: A larger deposit can increase your borrowing capacity
• Credit history: Good credit boosts your chances
• Loan term & interest rate: Longer terms and lower rates can increase borrowing power

Basic Formula

Most lenders use a simplified version of: net Income – Monthly Expenses = Available Income for Home Loan repayments

They then apply a buffered interest rate (usually 2–3% higher than current rates) to ensure you can handle future rate rises. Tier 2/non bank lenders apply lesser buffer when calculating borrowing capacity

Online Calculators

You can use tools like:

• CommBank Borrowing Power Calculator
• ANZ Borrowing Power Calculator
• Westpac Borrowing Power Calculator
• Your Mortgage Australia Calculator

These calculators ask for your income, expenses, dependents, and desired loan term, then estimate how much you could borrow.

Would you like help running a quick estimate based on your income and expenses? I can walk you through it right here.

A family member offers part of their property as security instead of cash.

Known as a “guarantor loan.” It can help to avoid LMI and get a better rate, even with a small or no cash deposit. Risk: if you default, the guarantor’s property could be at risk.

You might have to pay Lenders Mortgage Insurance (LMI) when buying a house in Australia — but it depends on your deposit size and loan structure.

When Do You Pay LMI?

• If your deposit is less than 20% of the property’s purchase price
• Your Loan-to-Value Ratio (LVR) exceeds 80%
• You're not eligible for government schemes or professional exemptions

LMI is a one-off premium that protects the lender (not you) in case you default on the loan. It can be added to your loan or paid upfront.

💰 How Much Does It Cost?

• Typically 1%–5% of the loan amount
• For a $500,000 property with a 5% deposit, LMI could be $12,000 or more
• The smaller your deposit, the the higher the LMI

You can estimate your LMI using the Finder LMI Calculator

How to Avoid LMI

• Save a 20% deposit
• Use a guarantor loan backed by a family member
• Qualify for the First Home Guarantee (buy with 5% deposit, no LMI)
• Work in certain professions (e.g. doctors, lawyers, engineers, Accountants) — some lenders offer LMI waivers

Would you like help estimating your LMI or exploring ways to avoid it? I can walk you through it.

Yes, you can get a Lenders Mortgage Insurance (LMI) exemption — but it depends on your profession, income, and loan structure. Here’s how it works:

Profession-Based LMI Waivers

Many banks waive LMI for borrowers in low-risk, high-income professions, such as:

• Doctors, dentists, veterinarians
• Lawyers and barristers
• Accountants and actuaries
• Engineers and IT professionals
• Nurses, teachers, and emergency service workers

You’ll typically need:

• Proof of employment and registration with a professional body
• A deposit of 10–15% (some lenders allow up to 95% LVR)

First Home Guarantee (Government Scheme)

If you're a first-home buyer, you may qualify for the First Home Guarantee, which lets you:

• Buy with as little as 5% deposit
• Skip LMI entirely
• Meet income limits: $125,000 for singles, $200,000 for couples
• Purchase within regional price caps

High-Income Borrowers

• Some lenders offer LMI waivers to borrowers earning $150,000+ annually, even if they’re not in a listed profession. This usually applies up to 85% LVR.

Banks That offer LMI Waivers:

Would you like help checking if your profession qualifies or estimating how much you could save with an exemption? I can walk you through it.

Yes, your parents can give you a deposit to help buy a property in Australia — and it’s actually quite common! But there are a few important things to consider:

Gifted Deposit

• A gifted deposit is when your parents give you money with no expectation of repayment
• Most lenders will require a gift letter confirming it’s unconditional
• Some banks may still want to see that you’ve saved a portion yourself to prove financial discipline

Legal & Financial Implications

• If the gift isn’t documented properly, it could be treated as part of your assets in a relationship breakdown
• Courts may assume it’s a gift unless there’s a formal loan agreement2
• To protect everyone, it’s wise to:
  • Draft a written agreement (even if it’s a gift)
  • Consider a Binding Financial Agreement if you're in a relationship
  • Get legal advice to avoid future disputes

Alternative: Guarantor Loan

If your parents don’t have cash but own property, they can:

• Act as guarantors using their home’s equity
• Help you avoid Lenders Mortgage Insurance (LMI)
• Share responsibility if you default — so it’s a serious commitment

How Much Do Parents Typically Give?

• The average parental gift in 2025 is around $74,000
• Some parents co-buy or even purchase homes outright for their children

Would you like help drafting a gift letter or exploring whether a guarantor loan might suit your situation?

Generally, you need to be a permanent resident or citizen of Australia but to buy a house in Australia, you don’t need a specific visa, but your visa type affects what kind of property you can purchase and whether you need Foreign Investment Review Board (FIRB) approval. Here’s a breakdown:

Temporary Resident: you can buy property but you must apply for a approval from FIRB before purchasing and are generally allowed to buy new dwellings or vacant land. Buying established dwellings is banned from April 2025 to March 2027, unless it's for redevelopment or housing Pacific workers

Common Temporary Visas That Allow Property Purchase

• 482 Temporary Skill Shortage visa
• 491 Skilled Work Regional visa
• 485 Graduate visa
• Bridging visas (if awaiting permanent residency)

These visa holders can buy one property to live in, but must sell it when they leave Australia or their visa expires.

If You're a Permanent Resident or Citizen

• No FIRB approval needed
• You can buy any type of property, including established dwellings
• You can live in it or use it as an investment

If You're a Foreign Investor (Non-Resident)

• You must get FIRB approval
• You can only buy new dwellings or vacant land
• Buying established homes is not allowed, unless for redevelopment

Would you like help figuring out what applies to your situation—or exploring investment options that fit your visa status?

Stamp duty in Australia varies depending on the state or territory, the value of the property, and whether you're a first home buyer, investor, or foreign purchaser. Usually ranges from 3% to 5% of the property value.

• Many states offer full or partial exemptions for first home buyers. NSW, VIC, QLD, and TAS have generous concessions for homes under certain price thresholds.
• Foreign Buyers - May face additional surcharges (e.g. 7–8%) in some states like NSW, VIC, QLD, and WA

To get an exact figure tailored to your situation, try the Stamp Duty Calculator – Australia (2025). It includes concessions, exemptions, and foreign buyer duties.

If you want help estimating stamp duty for a specific property price or location? I can walk you through it!

If you're buying your first property in Australia, several banks and lenders offer tailored home loan products with competitive rates and helpful features. Here are some standout options:

Top Banks for First Home Buyer Loans

• Commonwealth Bank (CBA) – Offers exclusive discounts, access to government schemes, and tools like the “Buy a Home” app
• National Australia Bank (NAB) – Known for flexible loan structures and support for low-deposit buyers
• Westpac – Provides fee waivers and split loan options for better control
• ANZ – Offers competitive fixed and variable rates with offset accounts
• George Bank – Simple application process and good support for first-time buyers

Other Notable Lenders

• Bankwest – Offers cashback deals and low-rate packages
• Suncorp Bank – Known for low fees and high-value packages
• ING – Great for digital simplicity and fast approvals
• Australian Mutual Bank – Offers up to 95% LVR with fixed rates
• Greater Bank – Cashback offers and flexible repayment options
• Liberty Finance – Offers specialised home lending options

Features to Look For

• Low deposit options (as little as 5%)
• Offset and redraw facilities
• Government scheme eligibility (e.g. First Home Guarantee)
• No ongoing fees or application charges

Cashback incentives

Yes, you can get a home loan in Australia without an income tax return — but it’s a bit more complex and usually involves applying for a low doc loan.

What Is a Low Doc Loan?

A low documentation loan is designed for people who don’t have traditional income proof, like tax returns or payslips. It’s commonly used by:

• Self-employed individuals
• Freelancers or gig workers
• Small business owners
• People with irregular or non-standard income

Instead of tax returns, lenders may accept:

• Bank statements showing regular income
• Business Activity Statements (BAS)
• Accountant’s letter verifying your income
• Self-declared income forms

Key Considerations

• Higher interest rates: These loans often come with slightly higher rates due to increased risk
• Larger deposit required: You may need a 15–30% deposit
• Loan-to-Value Ratio (LVR) is usually capped at 80%
• Good credit history is essential

🏦 Which Lenders Offer Low Doc Loans?

While major banks like CBA and NAB may offer limited options, specialist lenders such as Liberty Financial, RedZed, and Mortgage House are more flexible2.

We specilaise in Low doc loans and have various options to suit every client. Would you like help comparing low doc loan options or preparing the right documents for your situation? I can walk you through it.

Yes, you can get a home loan as a PAYG contractor in Australia — but it depends on your contract terms, income stability, and the lender’s policies.

What Is a PAYG Contractor?

You're considered a PAYG contractor if:

• You're employed on a fixed-term or rolling contract
• You receive regular payslips and have tax and superannuation handled by your employer
• You may have leave entitlements, depending on your contract

Home Loan Eligibility

Most lenders will assess you similarly to a permanent employee if:

• You’ve been in your current role for at least 6–12 months
• You have a strong history in the same industry
• Your contract shows ongoing or future employment

Some lenders may even approve your loan after just one day on the job, if your contract is long-term and your financials are solid.

Documents You’ll Likely Need

• Employment contract showing duration and terms
• Recent payslips (usually 2–3)
• Bank statements showing salary deposits
• Possibly a letter from your employer confirming continuity

Which Lenders Are Contractor-Friendly?

• Major banks like CBA, NAB, and ANZ may approve PAYG contractors with strong documentation
• Specialist lenders like Liberty Financial or RedZed offer more flexibility if your contract is short-term or new

Tips to Boost Approval Chances

• Maintain a good credit score
• Save a larger deposit (10–20%)
• Show consistent income and low debt
• Work with a mortgage broker who understands contractor income

Would you like help comparing contractor-friendly lenders or preparing your documents for a smooth application?

An offset account is a powerful tool linked to your home loan that helps you save on interest and potentially pay off your mortgage faster. Here's how it works:

 How It Works

• It's a transaction account that functions like a regular bank account — you can deposit your salary, pay bills, and access funds anytime.
• The balance in your offset account is subtracted from your home loan balance when calculating interest.
  • For example, if your loan is $500,000 and you have $50,000 in your offset account, you’ll only pay interest on $450,000.

Benefits

• Reduces interest payments without locking away your money
• Speeds up loan repayment since more of your payment goes toward the principal
• No tax on savings — unlike interest earned in a savings account
• Flexible access to your funds for emergencies or everyday use

Types of Offset Account

100% Offset – Full Balance Offsets your loan – most common and most effective

Partial Offset – Only a portion of the balance offsets your loan – less common

Things to Consider

• Offset accounts are usually available with variable rate loans
• Some lenders offer multiple offset accounts for better budgeting
• May come with higher interest rates or fees, so it’s worth comparing options

Would you like help calculating how much you could save with an offset account or comparing lenders that offer them?

A redraw account (or redraw facility) is a feature attached to many Australian home loans that lets you access extra repayments you've made beyond your minimum required payments. It’s a smart way to reduce interest while keeping some flexibility.

How It Works

• When you pay more than the minimum on your home loan, the extra amount reduces your loan balance.
• These extra funds become available for redraw, meaning you can withdraw them later if needed.
• It’s not a separate bank account — it’s part of your loan.

Benefits

• Lower interest: Extra repayments reduce your loan balance, so you pay less interest.
• Faster loan payoff: More of your payment goes toward the principal.
• Access to funds: You can redraw money for emergencies, renovations, or other expenses.

Features to Consider of Redraw Account:

Access Speed – may take 1-2 business days

Fees – Some lenders charge redraw fees

Minimum/Maximum Redraw Amount often applies depending on the borrowing conditions

Availability – usually available on variable loans only

Tax Implications – Can affect deductibility for investment loans

Redraw vs Offset Account

• Redraw: Extra repayments you can access later
• Offset: A separate transaction account that offsets your loan balance daily

If you're deciding between the two, redraw is great for disciplined saving and long-term planning, while offset offers more day-to-day flexibility.

Want help comparing redraw-friendly lenders or calculating how much interest you could save? I can walk you through it!

Paying off your home loan early in Australia can save you tens of thousands in interest and help you become mortgage-free years sooner. Here are the most effective strategies:

Make Extra Repayments

• Even small additional payments (e.g. $50–$100/month) can shave years off your loan
• Focus on the early years, when most repayments go toward interest

Switch to Fortnightly or Weekly Payments

• Paying half your monthly amount every two weeks results in one extra payment per year
• This can reduce your loan term significantly without feeling the pinch

Use Lump Sum Payments

• Apply bonuses, tax refunds, or inheritances directly to your loan
• A $50,000 lump sum could cut 3–5 years off a $500,000 mortgage

4. Set Up an Offset Account

• Links your savings to your loan, reducing the interest charged
• Keeps your money accessible while helping you pay off the loan faster

5. Use a Redraw Facility

• Make extra repayments and access them later if needed
• Helps reduce interest while offering flexibility

6. Refinance to a Lower Interest Rate

• A lower rate means more of your payment goes toward the principal
• Keep your repayments the same to accelerate payoff

Would you like help estimating how much you could save with one of these methods? I can walk you through it.

Getting a home loan in Australia involves more than just the interest rate — there are upfront, ongoing, and exit costs that can add thousands to your total repayment. Here's a breakdown:

Upfront Costs

These are charged when you apply for the loan:

• Application/Establishment Fee: $150–$750
• Valuation Fee: $100–$300 to assess property value
• Document Processing Fee: $100–$600
• Rate Lock Fee (for fixed loans): $450–$750
• Settlement Fee: $150–$300
• Search & Legal Fees: ~$50 per search; legal fees vary
• Lenders Mortgage Insurance (LMI): Required if deposit <20%; can cost thousands

Ongoing Costs

These are charged throughout the loan term:

• Monthly Service Fee: $8–$15
• Annual Package Fee: $300–$600 (for bundled products)
• Offset Account Fee: $8–$10/month or ~$75–$100 one-off
• Redraw Fees: $0–$20 per redraw (mostly on fixed loans)
• Late Payment Fees: $15–$25/month if repayments are missed

Exit & Switching Costs

These apply when you refinance or pay off your loan early:

• Discharge Fee: $350–$500
• Fixed Rate Break Costs: Varies based on interest rate changes
• Switching Fee: $100–$300 if changing lenders

Government & Legal Costs

• Stamp Duty: 3–5% of property value (varies by state)
• Mortgage Registration Fee: ~$130–$220 depending on your state
• Conveyancing Fees: $1,200–$2,400 for legal paperwork

Optional/Additional Costs

• Pest & Building Inspections: $400–$600
• Home Insurance: $800–$2,000/year
• Council Permits & Body Corporate Fees: Varies widely

Would you like help estimating total costs for a specific property or comparing lenders that waive some of these fees? I can walk you through it.