What is the HomeBuilder Grant?
Buying a house as a young person often means buying your first home and with that comes lots of things you’ll need to consider.
Buying a house as a young person often means buying your first home and with that comes lots of things you’ll need to consider. While the same tips will apply to you as to other first home buyers , there’s a number of things in particular that will especially help you on your home buying journey.
The bigger your deposit the better when it comes to purchasing a house. This is because your deposit will have an impact on your loan to value ratio (LVR) and whether or not you will need to pay lender’s mortgage insurance. Your LVR may also affect the interest rates you are offered which contributes to working out your repayments.
As a young person your deposit may be smaller. If this is the case you could consider getting a guarantor involved. Products such as our Family Guarantee loan is a way for immediate family members, like parents, to help you purchase a home without them actually providing the cash for a deposit. While no cash is provided by your guarantor, equity in their own property can be used to reduce your LVR to 80%. This means avoiding the need to pay lender’s mortgage insurance. For more information speak to one of our lending specialists by calling 13 14 22 or by visiting your nearest branch.
Your credit history can have an impact on your ability to take out a home loan. Most lenders will perform a credit file check as part of the loan application. As a young first home buyer, your credit history may be less extensive than other home buyers.
Having little or no credit history alone is not generally a reason to be declined for a home loan. However, the details on your file can mean the difference between having a loan approved, or not. It will list any instances where you have applied for credit, the outcome of those applications and any default information registered by a third party.
You can check your credit history via credit bureaus such as Equifax Pty Ltd (www.equifax.com.au)
Proving your ability to manage your money wisely will help towards showing a lender you are ready to take on a mortgage. When it comes to your savings history, remember:
The property you buy will have an impact on how much you’ll need to borrow, how much your repayments will be, and how much it costs to maintain the property into the future. As a first home buyer, you will most likely have to make compromises when it comes to finding a suitable property to purchase. Check out our home buyer brainstorm checklist to help you get your ideas onto paper.
Consider the costs associated with maintaining the property. While you may find a bargain, think about whether you or tenants will be able to live in the property and what else needs to be considered to keep the property maintained. Take a read of our article What to look out for at an open house from a tradie.
When looking at purchasing your first home it is a good idea to consider seeking advice. There are a number of options available when seeking advice. These can include talking to a financial planner, using online tools such as a home loan calculator and by speaking to one of our lending specialists by calling 13 14 22 or visiting your nearest branch.
What is the HomeBuilder Grant?
Buying your first home
3 must do steps to prepare for buying a house
3 stylist tips to maximise the sale price of your home
3 ways to add value to your home before selling
4 things you need to buy a house
6 things every first home buyer needs to do
Are you ready to buy a house?
Breaking down banking jargon
Building equity in your property
Buying property at auction in Queensland
Buying property at auction in Queensland differs from other states. Find out what you should consider doing before attending an auction in Queensland.
Buying property off the plan
Buying property with friends: How do you save the relationship
Buying your first house as a young person
Change of address checklist
How Much Does It Cost To Build A House?
The First Home Owners Grant
How to Use the First Home Super Saver Scheme
Home buyer brain storm
Costs associated with buying a property
How much money can I borrow?
Bidding Strategies to help you win at auction time
How to help parents downsize
How to negotiate like a pro
Moving in with a partner: discussing money
Upgrading Your Home: Moving vs Renovating
Learn moreRenting vs. buying property
Selling property? Preparation is key
Selling property? Two easy traps to keep clear of
The Sunset Clause in QLD: What You Need to Know
The home loan application process
What is a construction loan?
What is a cooling-off period?
What is an offset account?
What is LVR?
What to do in the final 10 minutes before your open house
What to expect at a house auction
What to look out for at an open house from a tradie
Housing clichés which ring true