Frequently Asked Questions

As per a research by the Grattan Institute, rates in home ownership have been dropping in Australia especially among the low-income households and young individuals because there is now an increase in the difficulty in saving for a deposit for the home loan. Recently, the Morrison Government announced that they have a plan that would have these issues addressed through its First Home Loan Deposit Scheme.

This scheme will allow some of the borrowers to purchase a house even if the deposit is just at 5%. It began last January 1, 2020 and it would become effective in guaranteeing a part of the eligible deposit for first home buyers. A maximum of 15% of the scheme participants’ purchase price will effectively become guaranteed. These people must also be able to save a minimum of 5% as deposit. People also hope that this will minimize the amount that borrowers need to pay on LMI or Lender’s Mortgage Insurance that may be at times charged to the borrowers that have deposits that amount to less than 20%.

Researchers have debated on the scheme’s ability and effectiveness in increasing rates in home ownership as it is capped at just 10,000 loans every year.

Whenever having a guarantor home loan doesn’t appear to sound right for you, but you will still be needing some help to buy a property, your family could assist you by doing any of the following:

  • Allowing you to return home so you can minimize your expenses on bills and rent and eventually allow you to save for a deposit.
  • Providing some money you can use as your deposit that you could eventually pay back to them. This will let you pay a deposit of 20% and avoid the payment of the LMI.
  • Whenever you are considering getting a home loan, you may compare some of the variable rate home loans of different lenders that are available for people who are buying homes for the first time.
  • Having a home loan co-signed with you would mean that both of you will become responsible for the repayments of the loan and your parents wouldn’t need to have their house put up as security. Your parents may have the potential to earn a profit from it as it may be viewed as an investment property.

Prior to getting committed to a specific product in home loan, we recommend that you have it checked with your lender upfront. Read the documentation applicable to your loan and check if the loan terms meet your capacity for repayment and needs.

Having a guarantor on your home loan is beneficial as it can assist you in avoiding the payment of the LMI or Lender’s Mortgage Insurance. This is usually a one-off fee that the borrower pays to the lender as protection against financial loss in case you can’t meet your repayments in mortgage. Lenders often require borrowers to provide LMI payment on loans wherein the deposit of the borrower is less than 20% of the value of the property.

Whenever you have a person who becomes your guarantor, the lender’s risk is minimized as they have the home of the guarantor as a security. Having a guarantor can also provide assistance in securing funding from a bank in case you don’t have enough savings for a deposit of this size. It can also help the bank become reassured that the repayments in mortgage will get covered in case you are unable to provide payment.

The following are the other possible benefits of having a guarantor for your home loan:

  • It could make your application for a home loan stronger.
  • You will become allowed to get into the market of property easier and faster
  • You may not have enough money saved as a deposit.

Even if it may appear clear that going to a guarantor is beneficial. It may require extensive financial commitment that you need to weigh up the possible risks.

If you have a guarantor, there are lenders that may allow you to borrow a 100% or more of the property value that you want to purchase. However, this may primarily depend on your financial standing as a possible borrower, the lender, as well as the circumstances involved with your proposed guarantor/s. It can be possible for the lender to consider if you are capable of eventually repaying the loan and there are certain banks that would require a specific amount of savings deposited even if you are with a guarantor.

In case you find out that you may get approved to get a loan for the property’s full value, it would be worth it to take a deep dive into your living expenses and income to make sure that you are capable of repaying the loan with extra room in case there are any expenses that you may not expect.

It would be worthwhile to have a chat with your guarantor regarding the amount of the loan as well as the amount that they would be willing to guarantee ahead of time before you get into any kind of formal agreement.

Generally, lenders require guarantors to be immediate members of the family like a partner or parent. However, there are those that allow other people like your grandparent or sibling to become a go guarantor. There are a variety of requirements that banks have so a person can become eligible as your guarantor. These are the following:

  • Income that is stable
  • Equity in any property
  • A good score in credit

The guarantor home loan lets your parents or anyone close to you have their property’s equity used as a security for all or a part of your mortgage. They may even become a ‘go guarantor’ through the contribution of cash that can help in paying off the loan.
Homebuyers typically need to be the main people who are responsible for providing the repayments on the mortgage on a regular basis. This must include the fees and interest. However, whenever you fail to meet any of those repayments, your guarantor will become liable to provide payment for them.

The person that secures your home loan is what they call the guarantor. Just like a regular home loan, the home loan for a guarantor will allow you to borrow a certain amount from the bank and have it repaid. The equity of the guarantor will essentially act as the collateral in case something wrong happens. In case your guarantor was not able to provide repayments, the bank could take possession of your home.

It can be possible for the guarantor to guarantee just a part of the loan. After you repaid that part of the loan, they would become free from any risks to their property in case you miss any of your repayments in the future.

Getting approval for the loan of a home as a first-time buyer and saving for a house deposit may be quite difficult for anyone. However, looking for a person who could be your guarantor could help you in easily getting up the property ladder. You just need to become aware of the possible risks and benefits involved in this. One of the ways that can help you get into this is through seeking for financial assistance from your relatives. Around half of the parents that got surveyed in the year 2018 said that they provided their grandchildren or children with cash so they can purchase a home.

Interest only home loan only involves the payment of interest instead of both the principal and the interest.

An interest-only home loan is one where only the interest is paid, rather than both the interest and the principal. Generally, an interest-only home loan will have a short time frame (between 1 – 5 years) before it reverts to a principal and interest loan.

This type of loan can be useful for investors who can claim the interest as a tax deduction, or buyers who only plan on holding onto the property for a few years before selling it. Interest-only home loans may not be a good idea for standard home-buyers simply looking to pay less on their weekly repayments, because the smaller the amount of loan principal that is paid off, the more overall interest you may end up paying on your loan over the years.

The loan called line of credit is borrowed against the home’s equity. It can provide anyone with the flexibility and ability to have the loan accessed anytime. This can be up to the limit that you agreed upon and allows you to have money paid into the loan anytime. Generally, this is not a loan that is set up to buy a property. Instead, it is set up against an existing property’s equity.

Home loans that have a “honeymoon” or introductory rate allows you to pay interest at a lower rate for the first few years. This can happen before the interest rate gets reverted back to the interest rate’s ordinary “base.” It can be possible for the interest rate to be higher compared to the honeymoon rate which is why borrowers would have to take this into consideration before they sign up.

The honeymoon rate loan is advantageous because it provides people some time to get back on their feet as a First-Time Home Buyer before they can settle down into providing a huge amount of money as payment. That is because you may need to spend a lot in the initial years of home ownership to replace the old plumbing in your home or buy some furniture.

The variable rate home loan has an interest rate that may vary over the home loan’s period. This may depend on the decision of the financial institution or official movements in cash rate.

The variable rate loan is advantageous because of its flexibility. Even if you need to meet the minimum repayment every month, you often end up paying more if you desire. Since there’s no fixed term to break, there’s no break free and you can move and have your property sold without additional charges and fees that apply to fixed rate home loans.

However, this can be disadvantageous because the minimum amount for repayment may fluctuate anytime. This can be an issue for anyone on a tight budget.

The combination mortgage that is a part of the home loan is called a split loan. Part of it is on a rate that is variable and the other part is on a rate that is fixed.

Whenever you need to choose the kind of loan that will suit you, it is important for first home-buyers to consider the length of time they are planning to stay in their home. In case they only want to stay there for a short time, it would be more flexible to get the variable loan as “break fees” are not entailed here. However, if you intend to live in that house for the long term, getting the fixed rate can provide certainty when it comes to repayments that the borrower would want. It would be a great option to get a split loan as this can provide both security and flexibility.

The fixed rate home loan means that it has a fixed interest rate for a specific time which is often between one to five years.

Fixed rate loan is advantageous as it provides people the certainty of receiving repayments over a term that is fixed. Since there are guarantees that the interest rate will not fluctuate over a fixed period, it can help in budgeting the costs.

Fixed rate loans can be disadvantageous because of its inflexibility. You may not be able to provide added payments that are generally big which could eventually allow you to “break free” whenever you decide to sell prior to the fixed term’s end.

It can also be possible to take a loan depending on your purpose. These are home loans for construction, first-time home buyers, investment, refinancing, and owner-occupier.

You may take a loan depending on the features. These are variable rate home loan, fixed rate home loan, split home loan, honeymoon rate loan, interest-only home loan, and line of credit home loan.

The mortgage or home loan is a loan that a financial institution advanced to you in exchange for the security on the property that you are using the loan to purchase it. Home loans are often for a two to three decade term and it has regular amounts in repayment monthly or fortnightly that are designed to allow the loan to get paid off over the terms of the contract.

The security for this loan comes from your property so in case you become unable to pay it, the lender may eventually require you to have the property sold as settlement of the debt.

Because of the prices of different properties in Australia, home loans are the realistic way for people to afford buying a house.

In case you are buying a home for the first time, you can apply for a home loan online with us. We will provide you with a Specialist in Home Loan that can assist you in choosing the correct loan that can specifically fit your circumstances and lifestyle.

After choosing a home loan, you can have the needed documents verified and uploaded with the use of our online platform that is secure. Included here are details regarding your income and employment, recent statements from the bank, as well as other documents that can provide support which the lender may require.

Starting there, the team will become responsible for the difficult tasks. We will have the application submitted and have the loan guided up to its settlement.

You can ask for advice from any of our professional OzBroker+ Loan Specialists today!

OzBroker+ allows the application for a home loan online to become easy. The first thing that you will have to do is answer some queries and a Home Loan Specialist will provide assistance so you can choose the best home loan that fits your circumstances and lifestyle.

After choosing a home loan, you can have your required documents verified and uploaded through the use of our online platform that is secure. The needed documents are details regarding your income and employment, recent statements from the bank including other forms that the lender may eventually need.

From there, OzBroker+ will do the work that may be difficult for you. We will be responsible for the submission of your application and have the loan guided up to the settlement. Apply for a home loan with us now so you can get approved much faster.

You can ask for advice from any of our professional OzBroker+ Loan Specialists today!

This may depend on your existing financial situation and lender. It may take four to six weeks to create a home loan underwriting.

You can ask for advice from any of our professional OzBroker+ Loan Specialists today!

Yes, this is possible. It may vary as this may depend on the lender as the initial requirements may be a bit different for borrowers that need finance for a property that is existing.

For this, you will need a Construction Loan. It is a kind of loan that you may use for the building of a brand-new property or to create changes in the structure of any property that is existing.

You can ask for advice from any of our professional OzBroker+ Loan Specialists today!

Yes, our company does have options in lending for people that utilize government assistance. Our company will be working with you so you can make sure to get the product that is most suitable and beneficial for you. In case you are a person in a circumstance that is different from others, we may require additional information regarding your background.

Get great advice with an OzBroker+ Loan Specialist today!

It is unfortunate that most of the lenders are not willing to accept Newstart Allowance as a form of income.

You can send us an email at or call us at 0426667669 so you can discuss your available options.

Oftentimes, income from Centrelink alone may not be enough for any home loan. Yet, the kind of loan products that may be suitable for you could be dependent on your situation. We would need additional information regarding your background before we can recommend a product in home loan.

In case you want to have a chat right now, you can send us an email at or call us at 0426667669.

People are often required by lenders to have a regular stream of income for a minimum of six months and have a deposit before they can submit an application for a home loan. OzBroker+ aims to make the process of home loan become simple for everyone.

Usually, lenders require people to have a regular stream of income for a minimum of six months before the application for a home loan or have a deposit. OzBroker+ has utmost commitment to make the process of home loan as something that is simple for everyone.

Whenever you want to choose the best loan, OzBroker+’s Specialist in Home Loan will provide you with an outline of every information and supporting documents that are needed before submitting an application.

OzBroker+ is partners with several lenders that are offering home loans to people who want to borrow but have a history of bad defaults and credits. If this is the case, the lender often charges a rate that is higher because there is an additional risk involved in lending cash. Yet, the circumstances of every person may be different just like their ability in the repayment of a home loan and this is what lenders usually take into consideration.

Never hesitate to have a chat with one of OzBroker+’ Home Loan Specialists as they can discuss your options in bad credit home loan.

OzBroker+ has access to numerous lenders who are specialised in providing assistance to people who are in an unusual circumstance, have a low score in credit, and have credit issues. Our company has experts that can help you look for a home loan that would best suit whatever situation you are in.

Have your options discussed by choosing a time when you can have a chat with one of our Home Loan Specialists.

Most of the time, this may depend on specific requirements which includes the following:

  • The person/s who would want to apply for the loan (could it be only you or are you with a partner?)
  • The type of visa that you are holding.
  • Your score in credit.
  • Your LVR or Loan to Value Ratio or deposit’s size.
  • Your existing assets and savings.

We have Specialists in Home Loan that can provide you expert advice regarding this topic. Click here to choose a time when you can have a chat with any of our experts.

We may provide assistance on this but this may depend on several factors. The following are under consideration:

  • the property’s value
  • the amount of pension or deposit that you have

It would be best to check out our website as we can answer your queries and help you learn what loans you may be able to get pre-qualified for. You may also have a chat with an OzBroker+ Loan Specialist, give us a call at 0426667669, or send us an e-mail at

The fee in mortgage registration may be different between the states. The fee on its own would be the charge when it comes to the registration of the home loan making the property become a security on this loan.

It is required by the government to register the home loan in order for any property claims in the future to get reviewed by the prospectors. We have a stamp duty calculator that can provide assistance in discovering the price that you may have to pay in the state where you reside.

Schedule a call with any of our Home Loan Specialists here.

It is unfortunate that this cannot be possible.

While undergoing application, just one person can be granted with the FHOG or First Home Owner Grant. Yet, prior to the discussion of your eligibility for this grant, you and your partner need to make sure that you were not able to receive a grant in any Australian territory or state in the past as this may not allow you to have access.

Click here to schedule a call from our Home Loan Specialist.

Because stamp duty is actually an initial cost. lenders would prefer if the borrower is capable of supporting this in other ways like personal savings.

Despite that, there may be circumstances wherein the lander may have this cost included in the amount of the loan which could include the other costs like the ongoing product fees and Lenders Mortgage Insurance.

The use of the Guarantor Loan may also cover stamp duty fees.

Check out how much is the needed payment for the stamp duty here.

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