Low Deposit Loans
Introducing Low Deposit Home Loans/Easy Start Home Loans from OzBroker
Easy Start home loans or low deposit home loans from OzBroker are special because they help you own your dream home faster, even if you only have a small deposit—like 2% of the home’s price! This means you have the freedom to own a home sooner than you think!
How Do Easy Start Loans Work?
Easy Start Loans are great because you don’t need a big deposit. But because of this, you might have to pay a little extra fee called Lenders Mortgage Insurance (LMI) to protect the lender, just in case you can’t pay back the loan.
But here’s the good news! Even with a small deposit loan, you still get the same interest rates as someone with a big deposit. So, you’re not paying more interest because your deposit is small.
How Much Deposit Do I Need?
Most times, you just need at least 5% of the home price, which is really good. We work with lenders who can lend you more than 90% of the home price! So whether you have a 3%, 5%, 10%, or 15% deposit, we have options for you.
Government Help
The government has some programs that can help you buy your home faster. There’s the Home Guarantee Scheme where the government makes it easier for you to get a loan without paying extra fees, even if your deposit is as low as 2%. The government also has the Help to Buy Scheme, where they help you with up to 40% of the home price!
How Do You Qualify for Low Deposit Home Loans?
Most lenders look at:
- Your income: To make sure you can pay back the loan.
- Loan purpose: Mainly for buying, refinancing, or building a home.
- Property type and location.
- Credit history: No late payments or bad marks.
- Genuine savings: Some lenders like to see that you have savings. Stable job: Lenders prefer a stable job history.
The bigger your deposit, the more options you have. But even with a small deposit, our expert brokers can help you find the best deal.
Frequently Asked Questions
Genuine savings are savings you have held or accumulated for at least three months, like regular deposits into a savings account or shares held for 3 months.
With a 3% deposit, you can still get a loan for up to 97% of the home price, and pay the LMI fee over time with your loan repayments.
Yes, with a guarantor (usually your parents) who secures the loan with their property, you can borrow 100% of the purchase price plus other costs without any deposit or LMI!
While a bigger deposit can give you more options and savings on fees, waiting too long to save might mean missing out as property prices increase.
Yes! You get most of the same features like fixed interest rates, basic loans, and professional packages.
Low deposit loans let you enter the property market sooner, escape rent, and choose loan terms that suit you. However, you might pay additional costs like LMI, and there might be fewer loan options and stricter criteria. let you enter the property market sooner, escape rent, and choose loan terms that suit you. However, you might pay additional costs like LMI, and there might be fewer loan options and stricter criteria.
No, not always. A stable job, good income, and good asset position can help in getting a good interest rate, even with a small deposit.
Yes, by having a guarantor or by being an eligible professional with a 10% deposit, you may avoid or reduce LMI costs.
Choosing the Right Lender with OzBroker
Choosing the right lender is crucial. It can mean the difference between a great deal and just an okay one. Our experienced brokers at OzBroker have relationships with various lenders and can help you choose from the most suitable low deposit home loans and negotiate the best value for your mortgage. Contact us to explore the best home loan options for you!