Embarking on the journey of purchasing a property can be an exciting yet complex endeavour, often accompanied by a myriad of industry-specific terms that might seem like a language of its own.
To demystify the real estate experience and empower property buyers with knowledge, we’ve compiled a comprehensive glossary of terms. Whether you’re a first-time homebuyer or a seasoned investor, understanding the nuances of property-related lingo is crucial for making informed decisions throughout the buying process.
Agent: A licensed professional authorized to facilitate property sales or purchases. Otherwise known as, Sales Agent or Property Consultants.
Appraisal: An appointment or discussion with a Sales Agent to assess the value and sales process of a residential property. During an appraisal, agents may suggest strategies to enhance property value, such as updates or renovations.
Auction: A public sale conducted by an auctioneer, typically (but not always) at the property, where the highest bidder acquires the property once it reaches the reserve.
Auctioneer: A licensed professional conducting an auction. The auctioneer may be the listing agent or a separate licenced agent.
Auction conditions: This generic terms generally refers to there being no cooling off period for buyers when purchasing at auction. Other conditions, such as subject to finance, are also not present in auction sale contracts.
Bidder registration: A buyer or their proxy (representative bidding on their behalf) must be registered with the sales agent to legally submit bids at Auction.
Building Inspection: An examination by an independent party to investigate the property condition and check compliance and safety. Usually done within the 48-hour cooling-off period or before an auction.
Buyer’s Agent: A licensed professional engaged by and paid for by a buyer to represent them in negotiations with a vendor or their agent.
Buyers’ Market: A market trend where prices are lower, primarily due to abundant property availability, benefiting buyers.
Buyer Manager: A role within some agencies managing a database of active buyers, matching them with properties. This service, not paid for by the buyer, lacks a legal relationship and is not comparable to the services of a Buyer’s Agent.
Capital Gain: The increase in the value of a capital asset upon sale, occurring when the selling price surpasses the original purchase price.
Capital Gains Tax: Tax payable on capital gains from the sale of an investment property. Refer to current Australian Taxation Office (ATO) requirements.
Caveat: The instrument by which a person who claims an equitable estate or interest in land may prevent the registration of any dealing with the land or a registered interest in the land – eg a caveat may be lodged against the registered proprietor of land, or the mortgagee of a registered mortgage, or the lessee of a registered lease.
Conditional offer: Submitting an offer that requires the contract of sale be written with conditions that must be met, in order for the sale to proceed. Conditions requested by the buyer are often ‘subject to finance’ or ‘subject to building inspection’.
Commission: A fee paid to an agent for services, typically a percentage of the contract amount as specified in the sales agency agreement. Buyers Agents can also charge a commission fee structure instead of flat-fee.
Community Title: A community title is evidence of ownership of a lot in a community plan. There are two types of community titles depending on the nature of the scheme, which can be a Community Scheme or a Community Strata Scheme. Community Scheme lot boundaries are determined by surveyed land (the physical boundary of the land, for example the fence). In a Community Strata Scheme the lot boundaries must be defined by reference to parts of the building, similar to a strata title. For example, the edge of the building wall for a block of units. Both types of schemes must have an area of common property for which the Corporation is responsible.
Contract Of Sale: A legal agreement formalizing the terms and conditions of property sale.
Conveyancer: A registered conveyancer is a licensed person qualified to advise and prepare documentation pertaining to property transactions.
Cooling Off Period: A short statutory period after a contract is made, allowing the buyer to terminate the agreement within 2 clear business days for any reason, except in the case of auctions.
Counteroffer: A new offer made in response to a prior offer that was not accepted, proposing different price or terms.
Deposit: A monetary commitment by the buyer, usually a percentage of the total sales price, potentially paid in installments at the end of the cooling-off period or per the auction contract.
Development Approval: Approval from the relevant planning authority to alter or construct a property.
Due Diligence: Investigation before a real estate transaction, encompassing legal, financial, and physical assessments. This includes reviewing property titles, conducting financial analyses, and inspecting the property’s physical condition. The process aims to identify potential risks, ensure legal compliance, and provide the buyer with comprehensive information for informed decision-making.
Easement: The right to use another’s land or prevent the owner from using it in a specific manner.
Encumbrance: Frequently, an encumbrance will contain restrictive covenants aimed at controlling the future use or development of the land. In the generic sense, a claim, lien or liability attached to the land, including a mortgage, lease and warrant of sale.
Emergency services levy: (ESL) a charge imposed on property owners to fund essential emergency services such as fire and ambulance services, collected annually by local councils.
Equity: The interest or value an owner holds in an asset beyond the debt against it.
Expressions of Interest: a method of sale where potential buyers are invited to submit written offers or expressions of their interest in purchasing a property. Unlike traditional methods with an advertised price or auction, EOI allows buyers to propose the price and terms they are willing to pay. The seller then reviews the received expressions of interest and may negotiate with prospective buyers to finalise a sale.
Form 1: A required document disclosing property particulars and cooling-off rights, usually prepared by the conveyancer and provided to buyers.
Form 3: A document waiving cooling-off rights, signed in front of a solicitor.
Form R3: A buyer education document created by the government and supplied by Sales Agents to inform buyers of things they should investigate prior to purchasing a property.
Form R4: A buyer education document created by the government and supplied by Sales Agents to all registered bidders at Auction, educating the buyer on Auction process and requirements.
Form R5: A buyer education document created by the government and supplied by Sales Agents to all registered bidders at Auction, educating the buyer on Collusive Practices at Auction.
Holding Over: At auction, if the highest bid has not met the reserve price, an Auctioneer may ‘hold over’ a property over, which means the auction is effectively paused. If the seller and buyer can agree to a price before midnight on the auction day, then the property can still be sold under auction conditions.
Land Agent: The licencing term for a registered real estate professional.
Land Tax: An annual tax paid to the state government based on property value. Exemptions apply that reduce this cost for many households.
Land Services SA: An Australian company that manages the Property Title Registry and Valuation Roll, appointed by the SA State Government with respect to land services.
Listing: An agent’s instruction to sell or lease real estate.
Market Price: The actual price paid for an asset, agreed upon in a contract.
Market Value: An estimate of a property’s value on the date of valuation.
Mortgage: Documentation of a property loan.
Mortgagee: Financier or bank lending money against property as security.
Mortgagee Sale: A property sale due to default in mortgage payments.
Offer: Consideration offered to purchase a property.
Off-market: Property available for purchase without public advertising. Not to be confused with a pre-market property.
Open Inspection: scheduled period during which a property that is available for sale is open to the public for viewing. It allows potential buyers or tenants to visit the property, explore its features, and assess its suitability.
Passed-In: At an auction, if the highest bid falls short of the reserve price, the property can be ‘passed-in,’ indicating that it hasn’t been successfully sold during the auction, and the auction has ended. The parties can still continue to negotiate.
Pre-approval: A lender’s agreement to loan a particular amount, pending final approval. There are many different levels of pre-approval, some being automatically completed by computer, others being fully assessed by a loan officer.
Pre-market: A property available for sale, that hasn’t yet been widely advertised, but is intended for public advertisement.
Principal: A licensed estate agent overseeing an agency’s legislative compliance.
Private sale: Vendor sells property without an agent.
Private Treaty Sale: A sale negotiated directly between parties or their agents.
Public Auction Terms: A legal document outlining the terms and conditions that apply to purchasing a property at Auction.
Rates: Periodic property taxes levied by local governments. May also refer to ‘water rates’, which are fees levied by SA Water for provision of sewer and water supply or use.
Reserve: The minimum price a vendor agrees to accept at an auction.
Seller’s Market: A market trend where prices are high due to limited property availability, benefiting sellers.
Settlement: The final stage of a sale when a buyer completes payment to the vendor, titles change, and the buyer takes legal possession.
Sole Agency Agreement: An agreement appointing a single agent to sell a property, entitling the agent to commission even if another agent or the vendor makes the sale.
Stamp Duty: State government tax on sales contracts.
STCC (Subject to council consent): A disclaimer indicating potential property changes requiring council approval, such as renovations, extensions, building or subdivision.
Strata: Legal ownership handling of a portion of a building or land. Since 1 June 2009, it has not been possible to deposit new strata plans under the Strata Titles Act 1988 (SA). New divisions now use the Community Titles Act 1996 (SA). Strata corporations existing at 1 June 2009 were not affected by the change and are still regulated under the Strata Titles Act.
Subdivision: The legal process of changing the land allotment, generally by dividing it into more parcels of land that have their own, new title.
Torrens Title: Ownership of land and building solely, registered with the Titles Office.
Trust Account: Legislatively required account holding monies for or on behalf of another person. Buyers will transfer a purchase deposit into the sales agency trust account.
Unconditional offer: An offer without any other conditions. For example, if the offer is subject to finance, or a building inspection, then it is not unconditional.
Under contract: When both parties agree to a contract but conditions are not met yet.
Valuation: An estimate of an asset’s value, often part of the loan approval process.
Valuer: A licensed professional conducting property valuations. Note, this is different to an Appraisal, which is a market estimate.
Variation: An alteration to a contract or its conditions.
Vendor: Legal owners of a property for sale in real estate transactions, otherwise known as the sellers.
Zone: designated land-use category within a specific area, as defined by planning regulations, to categorise land for different purposes, such as residential, commercial and industrial, influencing the type of structures that can be built and the activities allowed on the property.
Meet Jason Williams, your dedicated and independent Buyers Agent in Adelaide.
Jason is your go-to-guide for the sometimes frustrating, but always exhilarating journey of securing your dream home or next investment property. Whether you’re a first-time or seasoned buyer, Jason understands the complexity, risks and pitfalls of property and diligently protects his clients, with their best interests always at heart.
The home loan process can be overwhelming, especially when faced with many unfamiliar terms and industry jargon. To help you navigate through this complex landscape, we have compiled a comprehensive home loan glossary.
Whether you're a first-time homebuyer or a seasoned investor, understanding these terms is essential for making informed decisions and achieving your homeownership goals.
Amortising Loan
An amortising loan, also known as a standard principal and interest loan, is a type of loan where the initial amount borrowed and the interest accrued on it are gradually reduced through regular payments over a set period. This type of loan is commonly used in mortgages, with the goal of completely paying off the loan by the end of the term.
Arrears
Arrears refer to missed payments or overdue amounts that haven't been paid by the due date. Being in arrears can negatively impact your credit score and may result in penalties or increased interest rates. It's important to avoid going into arrears to maintain a good financial standing.
Assets
Assets are items or properties that you own and hold monetary value. They can include cash, real estate, stocks, and other types of investments. Assets play a significant role in financial planning and loan applications, as they can be used as collateral to secure loans.
Bona-fide
In the context of finance and legal agreements, bona-fide refers to anything that is genuine and conducted in good faith. A bona-fide agreement or transaction is legitimate, transparent, and free from any intent of deceit or fraud.
Borrowing Capacity
Borrowing capacity refers to the maximum amount an individual or couple is deemed eligible to borrow from a financial institution. This assessment takes into account factors such as income, expenses, credit history, and prevailing interest rates. Lenders scrutinise these elements to determine the borrower's ability to meet repayment obligations while maintaining financial stability. Understanding one's borrowing capacity is essential for making informed decisions about property purchases and loan commitments.
Breach of Contract
When one or more terms or conditions of the contract have been breached (not complied with).
Break Cost
Break costs are fees charged by a lender if a loan is paid off in full before the end of its term. These costs are meant to compensate the lender for the interest they would have otherwise received if the loan had continued as initially agreed. Break costs are often included in the terms of fixed-rate loans.
Bridging Finance
Bridging finance is a short-term loan used to cover the gap between buying a new home and selling an existing property. This type of finance is particularly useful when there's a timing mismatch between the sale of your old property and the purchase of a new one.
Budget
A budget is a comprehensive overview of your income and expenses. It provides a clear picture of your financial status and helps you manage your finances effectively. Creating and adhering to a budget is a key aspect of financial planning, especially when preparing for a significant financial commitment like a mortgage.
Capital Gains Tax
Capital gains tax is a tax imposed on the profit made when selling an investment property. This tax is calculated based on the difference between the property's purchase price and its selling price. It's an important consideration when investing in real estate, as it can significantly impact your returns.
Cash Advance
A cash advance is a short-term loan usually taken out against a line of credit, such as a credit card. These advances often attract higher-than-normal interest rates and are generally used for immediate, short-term financial needs.
Certificate of Title
A certificate of title is a legal document that provides proof of ownership for a property. It includes critical details such as the owner's name, property size, and any limitations or encumbrances on the title, such as mortgages or easements.
Commission
Commission is the fee paid by the seller to the real estate agent when a property is sold. It is typically a percentage of the selling price and is negotiable between the seller and the agent.
Comparison Rate
A comparison rate is a tool used to compare loans on an equal basis. It takes into account not only the interest rate but also any fees and charges associated with the loan, providing a more accurate representation of the loan's overall cost. The comparison rate helps borrowers identify the true cost of a loan and make informed decisions.
Consumer Credit
Consumer credit refers to credit provided to individuals for personal, domestic, or household purposes. The Consumer Credit Code regulates all credit transactions to ensure fair dealing and protect the interests of consumers.
Consumer Price Index (CPI)
The Consumer Price Index measures the change in prices paid by households for goods and services consumed. It is a key indicator of inflation and is used to assess changes in the cost of living over time. The Reserve Bank of Australia typically attempts to increase the interest rates consumers pay on borrowings when CPI is rising above their preferred levels (which leads to inflation).
Construction Loan
A loan designed specifically to finance the construction of a new residence, and it can also be applicable for substantial renovations on an existing property
Contract or Contract of Sale
A contract of sale is a legally binding document that outlines the details of the sale of a property. It is usually prepared by an agent, solicitor, or conveyancer on behalf of the seller. The contract includes important information such as the purchase price, settlement date, and any conditions or contingencies.
Conveyancing
Conveyancing is the legal process of transferring ownership of a property from the seller to the buyer. It involves various tasks, such as preparing legal documents, conducting searches, and arranging settlement. Conveyancing is typically handled by a solicitor or registered conveyancer.
Cooling-Off Period
A cooling-off period is a period of time during which a buyer can withdraw from a property purchase without incurring significant penalties. This period is typically applicable to private treaty sales and does not apply to properties purchased at auction. The length of the cooling-off period may vary depending on the state or territory.
Collateral
A valuable asset pledged by a borrower to a lender as collateral for a loan, empowering the lender to take possession of the asset in the event of the borrower's failure to adhere to the agreed-upon loan terms.
Cross-collateralisation
When several properties serve as collateral for one or more home loans, the concept of cross-collateralization comes into play. If you acquire a second property, you may consider tapping into existing equity or lowering your Loan to Value Ratio (LVR), and cross-collateralization becomes a useful tool in this context.
However, it's essential to note that any changes to a loan or property, such as refinancing or selling, can have implications for assets that are cross-collateralized.
Credit History
A credit history is a record of an individual's borrowing and repayment activities. It includes information about current and past debts, payment history, and any defaults or bankruptcies. Lenders use credit histories to assess a borrower's creditworthiness and determine the risk associated with lending to them.
Credit Limit
The total amount that a lender will give a borrower. Otherwise known as borrowing capacity.
Credit Report
A document prepared by a credit reporting agency that typically includes a credit score and comprehensive information about an individual's credit profile. This report covers various aspects, including credit inquiries made by lenders for credit applications, details of current and past credit facilities, monthly repayment histories, information on overdue accounts, defaults, and serious credit infringements, records of court judgments, directorships, and details regarding bankruptcy, debt agreements, or personal insolvency.
Credit Score
A numerical depiction of an individual's creditworthiness, known as a credit 'rating,' is determined by analysing the information within the credit report. Various credit reporting agencies employ distinct rating scales in their assessments.
Debt
Money that is owed to creditors or lenders. This includes various financial obligations such as credit card balances, personal loans, mortgages, and any other borrowed funds. Debt represents the financial liability that individuals are responsible for repaying over time, often with added interest.
Default
Default occurs when a borrower fails to meet their debt repayment obligations by the agreed-upon due date. Defaulting on a loan can have serious consequences, including damage to credit scores and potential legal action by the lender to recover the outstanding debt.
Depreciation
A financial terminology employed to signify the reduction of asset values. In accordance with Australian tax regulations, an annual decrease in asset value can be permitted and would be recorded as an expense to counterbalance income for tax-related considerations. This can relate to investors depreciation on an investment property. It can also relate to a person or businesses assets reducing in value, which can effect their net worth or expenses.
Deposit
A deposit is a sum of money paid by the buyer to the seller as a sign of commitment and intention to purchase a property. It is typically a percentage of the purchase price and is paid when contracts are signed and exchanged. The deposit is held in sales agency trust account until settlement.
Deposit Bond
A deposit bond is an alternative to a cash deposit when purchasing a property. It is offered by some lenders and acts as a guarantee that the full deposit amount will be paid by the settlement date. Deposit bonds should be used with caution and their terms and conditions carefully considered.
Direct Debit
Direct debit is a payment method that allows funds to be automatically withdrawn from a customer's nominated bank account. It is commonly used for recurring payments, such as mortgage repayments or utility bills.
Disbursements
Disbursements refer to charges incurred by solicitors or conveyancers in the process of transferring property ownership. These charges can include postage, phone calls, stamp duty, registration fees, and government charges that are not included in their fee.
Discharge Fees
Discharge fees are administration fees charged by lenders to cover the costs associated with finalizing a loan account. These fees are typically incurred when a borrower fully repays their mortgage.
Discharge of Mortgage
A discharge of mortgage is a document signed by the lender and given to the borrower when a mortgage loan has been fully repaid. It serves as proof that the borrower has satisfied their obligations and the mortgage is no longer in effect.
Drawdown
Drawdown refers to how the borrower receives the funds from their loan. It can be in the form of one or several lump sums, depending on the loan agreement. Once the borrower has used all or part of the funds, the loan is considered drawn down.
Early Repayment Fee
An early repayment fee is a fee charged by lenders when a borrower pays off their loan before the end of the agreed-upon term. This fee is meant to compensate the lender for the interest they would have earned if the loan had continued as originally planned.
Equity
Equity refers to the difference between the market value of a property and the amount owed on any mortgages or loans secured by the property. It represents the ownership interest or value that the owner has in the property. Increasing equity can provide opportunities for borrowing against the property or selling at a profit.
Equity Loan
A type of loan that allows individuals to borrow money against the equity they have built up in their personal assets. Equity is the difference between the current market value of the property and the outstanding balance of any existing loans secured by that property. An equity loan enables the owner to access funds by using the property as collateral. The borrower receives a lump sum or a line of credit based on the equity in the property, and the loan is secured by the value of the asset. Equity loans are commonly used for purposes such as home improvements, debt consolidation, or other significant expenses. They usually have higher interest rates than standard home loans.
Establishment fee
The fee charged by the lender to start a new loan. Otherwise known as an application fee.
Exchange of contracts
The legal moment when the seller and buyer exchange documents and initiate inquiries leading to the settlement is known as the contract exchange. This process constitutes the legal aspect of property acquisition. After completing inspections and securing written financial approval, two identical copies of the contract of sale, one for the buyer and one for the seller, are prepared. Each party signs their respective copy, and the documents are exchanged, rendering the contract legally binding for both parties, with minimal alterations expected thereafter.
Estimated Selling Price
The estimated selling price is the price that an estate agent predicts a property will attract on the market. It is an estimate based on market conditions, comparable sales, and the agent's expertise. The estimated selling price is usually recorded on the sales agency agreement.
Family Home Guarantee
The Federal Government's Family Home Guarantee is designed to assist single parents or legal guardians in purchasing a family home. This scheme allows eligible individuals to either construct a new home or acquire an existing one with a minimal deposit requirement of just 2%. Both first-time homebuyers and those who have owned homes before are eligible to apply. It's important to note that the Family Home Guarantee cannot be utilised for the purchase of an investment property. Learn more here.
First Home Owner Grant (FHOG)
The First Home Owner Grant is a government incentive program that provides financial assistance to first-time homebuyers. Eligible applicants can receive concessions (reductions) in stamp duty costs, or a one-off payment for building. Check the latest grants and subsidies for more information. Find out more about programs on our Buyer Resources page.
Fixed Interest Rate
A fixed interest rate is an interest rate that remains unchanged for a set period of time. With a fixed-rate loan, the borrower's repayments remain consistent throughout the fixed term, providing stability and predictability.
Foreclosure
The procedure through which a lender assumes ownership of the collateral property to settle the debt for loans that are in default, and all efforts to resolve the delinquent loan have proven unsuccessful.
Form 1 (Vendor's Statement)
Form 1, also known as the Vendor's Statement, is a legal document that the seller must provide to the buyer during the property sale process. It contains important information about the property, including any encumbrances, zoning restrictions, and other relevant details.
Funds to Complete (FTC)
This represents the overall amount required to finance a property acquisition, encompassing all related expenses. It comprises the property's purchase price along with additional fees and charges, such as stamp duty or Lenders Mortgage Insurance (LMI). The Total Funds to Complete (FTC) differs from the deposit, although the deposit can be applied towards meeting this total. Buyers are often surprised by the additional costs beyond the purchase price they paid.
Full-documentation (full-doc) loan
A type of loan where the borrower is required to provide a comprehensive set of documentation to verify their financial status and creditworthiness. This documentation typically includes proof of income, tax returns, employment history, and other financial records. Full-doc loans are considered traditional and are often contrasted with low-doc or no-doc loans, where the borrower is not required to provide extensive documentation, making the underwriting process less rigorous. Full-doc loans are commonly used in conventional mortgage lending, allowing lenders to thoroughly assess a borrower's ability to repay the loan based on a detailed review of their financial information.
Genuine savings
Capital that has been amassed or retained for a specific duration prior to seeking a loan, typically a minimum of three months. For example, parents transferring their first home buyer children a significant amount for their deposit would be considered a gift, and not ‘genuine savings’.
Gifted Funds
Money given to the purchase to help buy a property. Often this is from parents helping their child who is a first home buyer. It’s important to disclose the source of these funds to your lender.
Goods and Services Tax (GST)
Goods and Services Tax is a consumption tax imposed on the supply of goods and services in Australia. It is currently set at 10% and is collected by businesses on behalf of the Australian Taxation Office. GST applies to the sale of new properties but not to the sale of existing residential properties.
Gross Income
Gross income refers to the total income earned before any deductions, such as taxes or mandatory levies (such as repayment of a HECS debt). It includes all sources of income, such as wages, salaries, rental income, and investment returns.
Guarantee
A written agreement to fulfill the financial responsibilities of another party in the event that they do not adhere to their contractual obligations.
Guarantor
A guarantor, acting as a third party in a loan arrangement, assists the borrower in securing financing by providing supplementary security. Typically restricted to immediate family members, a guarantor may assume responsibility for the loan obligation if the borrower fails to meet their repayment obligations. Read more in our article: Guide to Guarantor Home Loans
Holding Deposit
A holding deposit is a sum of money paid by a potential buyer to the vendor's agent, solicitor, or conveyancer as a sign of intent and commitment to purchase a property. This deposit is usually refundable if the offer is rejected or the sale does not proceed.
Home and Contents Insurance
Home and contents insurance is an insurance policy that provides coverage for both the physical structure of a property (home insurance) and the belongings inside (contents insurance). It protects against events such as fire, theft, and natural disasters. Home and contents insurance can be combined or purchased separately.
Index
An index is a measurement used by lenders to determine changes in interest rates for variable-rate mortgages. It reflects changes in the overall market conditions and is often tied to an external benchmark, such as the Reserve Bank's cash rate or a specific financial index.
Income Statement
Also referred to as a 'Profit & Loss Statement,' this document presents a comprehensive overview of a business's income and expenditures, typically covering a 12-month period.
Inflation
Inflation refers to the general increase in prices over time, resulting in a decrease in the purchasing power of money. Inflation is influenced by various factors, including supply and demand dynamics, government policies, and economic conditions. It is an important consideration for borrowers, as it affects the cost of living and the value of loans over time.
Insolvency
The state of financial incapacity where a business or individual is unable to settle their debts, even following the sale of assets.
Introductory (Honeymoon) Rate
Also known as a honeymoon rate, it denotes a temporarily reduced interest rate offered for a specified duration, often the initial 12 months of a loan. Be caution agreeing to these promotional rates, as the lender will often have a less competitive rate for the period beyond the introductory rate, so overall you can end up paying more, although it seems like a better deal.
Instalment
An instalment is a regular periodic payment made towards a loan or debt. It includes both the principal amount (the original loan balance) and the interest charged on the outstanding balance. Instalments are typically paid on a monthly basis but can vary depending on the terms of the loan.
Interest
Interest is the cost of borrowing money, usually expressed as a percentage of the loan amount. It is the fee charged by lenders for the use of their funds and is a key component of loan repayments. Interest rates can be fixed or variable, depending on the terms of the loan.
Interest Only Repayments
Your mortgage repayments are limited to just the interest for an agreed period of time, and you are not paying down the principal (original amount of lending) during that period.
Investment Loan
A loan extended to individuals seeking to purchase a property intended for rental purposes, with the aim of generating income.
Joint Tenants
A form of property ownership where two or more individuals collectively own the entire property with an undivided interest. Unlike tenants in common, joint tenants do not own specific, separate portions of the property. Instead, they jointly hold the property as a whole.
One key feature of joint tenancy is the right of survivorship. In the event that one joint tenant passes away, their share automatically transfers to the surviving joint tenant(s). This transfer occurs independently of the deceased's will or estate, ensuring that the property ownership remains with the surviving co-owners.
Land Agent (Agent)
A land agent, also known as a real estate agent, is a registered professional authorized to act on behalf of others in the buying, selling, renting, or management of properties. They provide expertise and assistance throughout the property transaction process.
Lease Agreement
A lease agreement is a legally binding contract between a landlord and a tenant. It outlines the terms and conditions of the rental arrangement, including rent amount, duration, and responsibilities of both parties. A lease agreement provides protection and clarity for both the landlord and the tenant.
Lender's Mortgage Insurance (LMI)
Lender's Mortgage Insurance is insurance coverage taken out by lenders to protect themselves against the risk of borrower default. It is typically required for home loans with a loan-to-value ratio (LVR) of 80% or higher. LMI premiums are paid by the property buyer, and are usually added to the loan amount.
Liabilities
Debts or financial obligations, commonly existing credit card debts and personal loans. The calculation of your liabilities vs your assets has an impact on your borrowing capacity. Debt often impacts borrowing capacity beyond a direct correlation, meaning that the lender could reduce your borrowing capacity by 4x your debt amount.
Line of credit
Similar to the equity loan described above.
Liquid Assets
Liquid assets are assets that can be easily converted into cash without significant loss of value. They include items such as cash, savings accounts, and short-term investments. Liquid assets provide financial flexibility and can be used to cover expenses or emergencies.
Loan
A loan is a sum of money borrowed from a lender with the agreement that it will be repaid over time, usually with interest. Loans can be used for various purposes, such as purchasing a property, financing education, or consolidating debts. The terms and conditions of a loan are outlined in a loan agreement.
Loan Term
The contractual duration of a loan.
Loan to Value Ratio (LVR)
The Loan to Value Ratio is a measure of the proportion of the loan compared to the value of the property. It is calculated by dividing the loan amount by the property's appraised value and expressed as a percentage. Lenders use the LVR to assess the risk associated with a loan and determine the amount they are willing to lend.
Typically if LVR is beyond 80%, Lenders Mortgage Insurance will be required.
Lump Sum
A lump sum refers to an additional payment made after the loan has been set up, concurrent with your ongoing monthly repayments. Borrowers often pay off the loan in a lump sum, to reduce interest costs over the life of the loan. The sooner you can repay a mortgage, the less interest you pay.
Median
The median is the middle value in a set of numbers arranged in ascending order. It is a statistical measure used to represent the central tendency of a data set. The median is less affected by extreme values and provides a more accurate representation of the typical value.
Memorandum of Transfer
A memorandum of transfer is a legal document that facilitates the transfer of ownership from the seller to the buyer. It is signed by both parties and lodged with the relevant land titles office. The memorandum of transfer ensures that the change of ownership is recorded and legally recognized.
Mortgage
A mortgage is a legal agreement between a borrower (mortgagor) and a lender (mortgagee) that allows the borrower to use the property as security for a loan. The mortgage gives the lender the right to take possession of the property if the borrower fails to meet the repayment obligations.
Mortgage Broker
A mortgage broker is a financial intermediary who acts as a middleman between individuals seeking a mortgage loan (borrowers) and the financial institutions or lenders that provide mortgage financing. They assist borrowers in completing the necessary paperwork and guide them through the application process. Mortgage brokers are typically paid a commission by the lender once you have completed the loan. Commissions vary between lenders, so brokers can be incentivised to recommend specific lenders over others – always ask about how this works, and ensure you have access to a broad range of lenders.
Mortgagee
The mortgagee is the lender or financial institution that provides the funds for a mortgage loan. In the event of default, the mortgagee has the legal right to take possession of the property and sell it to recover the outstanding debt.
Mortgagor
The mortgagor is the borrower in a mortgage agreement. This is typically the individual or entity purchasing a property using a loan from a mortgagee. The mortgagor is responsible for repaying the loan according to the terms and conditions outlined in the mortgage agreement.
Negative Gearing
The process of decreasing tax obligations by offsetting documented losses against income-generating investments, such as those derived from an investment property.
Net Income
Net income refers to the income remaining after all deductions, such as taxes and mandatory levies, have been subtracted from gross income. It represents the amount of money available for personal expenses or savings.
Non-conforming loan
Specialist lenders offer these loans to individuals who do not meet the standard eligibility criteria set by mainstream lenders.
Non-bank lenders
Financial institutions that are not a traditional bank but are engaged in providing mortgage and lending services. These lenders operate outside the conventional banking sector and are not subject to the same regulatory framework as banks. Non-bank lenders can include mortgage brokers, credit unions, building societies, and other financial institutions that specialize in mortgage lending. They play a significant role in the Australian home loan market by offering diverse loan products and catering to individuals who may not meet the stringent criteria set by traditional banks.
Off the plan
Purchasing 'off the plan' refers to buying a property before it has been built or completed. This type of purchase is based on the developer's plans and specifications. Buying off the plan can offer potential benefits, such as lower prices or customization options, but also carries certain risks and uncertainties.
Offset account
Every transaction account connected to the home loan, where the balance held in this account serves to offset the balance in the home loan. This offset arrangement aids in diminishing the interest paid and shortening the overall duration of the loan.
Ombudsman
An ombudsman is an independent body established to investigate and resolve disputes between individuals and organizations. They provide a neutral and impartial platform for dispute resolution, ensuring fair treatment and adherence to regulations.
Overdraft
It allows borrowers to withdraw more funds than their account balance, essentially providing a short-term line of credit. In the context of a home loan, an overdraft facility can be utilized to cover additional expenses or unexpected costs beyond the available funds in the linked account. Interest is usually charged on the overdrawn amount, and the overdraft limit is set by the lender. This financial tool provides flexibility to homeowners, allowing them to address temporary cash flow challenges without resorting to more expensive forms of credit.
Owners Corporation
A representative body that exists for and on behalf of the owners, to administer, control, maintain and manage all areas of the common property for the strata.
Principal
The principal is the initial amount of money borrowed in a loan agreement. It does not include any interest or additional charges. As loan repayments are made, the principal balance is gradually reduced until the loan is fully repaid.
Pre-approval
A letter of in-principle approval (or pre-approval) signifies the potential loan amount we could offer you. This provides an initial estimate of your borrowing capacity before you commence house-hunting.
This estimate is derived from the information you've provided (without validation or assessment) and is issued following a credit check. Learn more in our article: 10 Reasons to Get a Home Loan Pre-Approval
Note, there are different types of pre-approval and the borrowers are being approved, not the specific property. Lenders may not approve finance for high-risk properties, even though the borrowers are pre-approved.
Principal and Interest Loan
A loan where both the principal amount and interest are repaid with each instalment throughout the loan's duration.
Progress Payment
Funds disbursed from your construction loan to the builder during the construction or renovation process. The loan amount is released incrementally at different stages as the building work advances. The lender will want to confirm completion of works prior to releasing funds.
Redraw
A feature that allows borrowers to access additional payments they have made towards the principal of their mortgage. When a borrower makes extra repayments on their home loan, these funds are deposited into the redraw facility. This feature enables the borrower to withdraw or "redraw" these additional payments when needed, providing flexibility in managing finances. Redrawing is typically subject to certain terms and conditions set by the lender, such as minimum and maximum redraw amounts, and may be available for free or with associated fees. The redraw facility can be a valuable tool for homeowners, offering a way to access extra funds they've contributed to their mortgage without the need for a separate loan or refinancing.
Refinance
Refinancing involves replacing an existing loan with a new loan, often with better terms or conditions. The process of refinancing allows borrowers to take advantage of lower interest rates, access equity in their property, or change loan features to better suit their needs. Buyers typically change mortgage providers during a refinance.
Rentvesting
Popularised term to describe a property investment strategy where an individual or a household chooses to rent a property for their residence while simultaneously investing in real estate for financial gains. In this approach, individuals may opt to live in a rental property in an area they desire for lifestyle reasons while investing in properties in other locations that are potentially more affordable or offer better investment returns.
Repayment
Periodic instalment made by a borrower to the lender to gradually pay back the borrowed amount, known as the principal, along with any accrued interest. Home loan repayments are typically made on a regular schedule, commonly monthly, but can vary based on the agreed-upon terms outlined in the loan agreement. Each repayment contributes towards reducing the outstanding balance of the loan, allowing the borrower to eventually fully repay the loan over the agreed-upon loan term.
Repayment Holiday
A temporary period during which the borrower is not required to make regular loan repayments. This arrangement is typically agreed upon and granted by the lender under specific circumstances, allowing the borrower to take a break from their regular payment obligations. While on a repayment holiday, the borrower may not be making principal and interest payments, but interest may continue to accrue on the outstanding loan balance. Repayment holidays are often offered in situations such as financial hardship, where borrowers may be facing temporary difficulties and need relief from their regular repayment commitments.
Repossession
Repossession refers to the legal process of reclaiming possession of property due to borrower default. If a borrower fails to meet their loan repayment obligations, the lender has the right to take possession of the property and sell it to recover the outstanding debt.
Reverse mortgage
Commonly referred to as a 'seniors loan,' this loan category targets retirees, offering them the option to receive a lump sum and/or regular income stream by leveraging the equity in their home. While interest accumulates on the loan, borrowers are not obligated to make continuous repayments. Repayment occurs upon the sale of the borrower's home, their demise, or when they transition into aged care.
Security
The assets provided as a guarantee for a loan typically include items such as real estate, term deposits, and shares. However, certain lenders may consider alternative forms of security.
Secured Loan
A secured loan is a type of loan that is backed by collateral, typically the property being financed. If the borrower defaults on the loan, the lender can seize the collateral to recover their losses. Secured loans generally have lower interest rates due to the reduced risk for the lender.
Self-Managed Superannuation Fund (SMSF)
A private retirement fund in Australia that members manage themselves. Members act as trustees, giving them control over investment decisions and fund management. The primary goal of an SMSF is to provide retirement benefits to its members. SMSFs offer flexibility in investment options, including property, shares, and term deposits, within the regulatory framework set by the Australian Taxation Office (ATO).
An investment property can be purchased within a SMSF, and a mortgage taken out to pay for the purchase.
Settlement
Settlement is the final stage of a property transaction where ownership is officially transferred from the seller to the buyer. It involves the exchange of funds and legal documents, ensuring that all parties fulfill their obligations and complete the transaction.
Split loan
A loan that is separated into sections that include both fixed and variable loan amounts. It is common for Australian borrowers to split their home loan in order to have a variable portion that an offset account can be offsetting the interest for, whilst a separate fixed portion allows predictable repayments.
Stamp Duty
A fee imposed by state governments on various transactions, such as property purchases. It is usually the highest cost beyond the purchase price. South Australia currently provides concession on stamp duty for eligible first home buyers that meet certain requirements.
Tenants in Common
A form of property ownership where two or more individuals own separate and distinct shares or portions of a property. Each owner, known as a "tenant in common," holds a specific and defined interest in the property, and these ownership shares do not have to be equal.
If one of the tenants in common passes away, their share of the property does not automatically transfer to the surviving co-owners, as it would in a joint tenancy. Instead, the deceased's share is passed on to their estate and distributed according to their will or other law.
Term
The duration of a loan or a specific timeframe within the loan agreement.
Title Search
A formal request to the Land Titles Office to determine the ownership of a designated property and to identify any encumbrances, covenants, or easements recorded on the title.
Torrens Title
The predominant form of property title in Australia, Torrens title relies on a centrally managed register system (the Lands Title Office). The Certificate of Title provides information on the current owner and any other interests, such as mortgages, granting the owner complete control over the property.
Transfer of Land
An official document that empowers the Land Titles Office (LTO) to register a change in property ownership.
Trust
An established entity designed to manage and distribute money and assets to specified beneficiaries. A trustee is appointed to administer the trust on behalf of the beneficiaries.
Unconditional approval
The lender's formal and final commitment to extend a home loan to a borrower. It signifies that the borrower has successfully met all the specified conditions and requirements set by the lender during the loan application process. At this stage, the mortgage is considered fully approved, and the borrower can move forward with confidence in securing the financing for their home purchase.
Unsecured Loan
An unsecured loan is a loan that is not backed by collateral. Unlike secured loans, unsecured loans rely solely on the borrower's creditworthiness and ability to repay the loan. Unsecured loans often have higher interest rates due to the increased risk for the lender.
Valuation
A valuation is an estimation of the value of a property conducted by a professional valuer. It provides an objective assessment of the property's worth based on various factors such as location, size, condition, and market trends. Valuations are used by lenders to determine the amount they are willing to lend for a property.
Variable Interest Rate
A variable interest rate is an interest rate that can change over time. It is often tied to an external benchmark, such as the Reserve Bank's cash rate or a specific financial index. Variable interest rates can fluctuate based on market conditions and economic factors.
When it comes to buying a home, saving a deposit can be difficult and it can take a long time. Adding a Guarantor to your home loan, means you can buy with a small deposit, or in some cases, no deposit at all.
Lenders have two key requirements for you to meet:
What is a Guarantor, and what types of Guarantor loans are there?
A person, or people, that provide a guarantee to assist applicant(s) in security for a home loan.
Lenders currently offer Guarantor home loans with a Security Guarantee.
What is a home loan deposit? How much do I need?
Lenders seek a 20% deposit, so that your Loan to Value Ratio (LVR) is 80% or less. The 20% deposit reduces the risk and ‘exposure’ to the lender, if applicants fail to make repayments, and the lender needs to sell the property to close the loan. When the bank is forced to sell the property, there are costs associated with the sale (real estate agent etc), and the market price for the property may have fallen since it was purchased. The 20% deposit, covers any potential shortfall and protects the bank from a loss.
If you have a LVR above 80%, the lender will require you to pay the one-off premium for a Lenders Mortgage Insurance policy which protects the lender from you defaulting. There are online calculators that allow you to estimate the price of LMI, which ranges depending on lender and the LVR.
Can I get a home loan with a small or no deposit?
Yes, there are several ways to purchase a property with little, or no deposit.
Keep in mind, closing costs on a property often add 7-11% on the sales price, and must be factored into total borrowing and deposit calculations.
What is a Security Guarantee?
A security is an asset of value, that the Guarantor promises to make available to the lender, should the loan applicant fail to meet their obligations to repay the loan.
The security is usually property or cash, and replaces or minimises the need for the loan applicant to provide a deposit.
How does the Security Guarantee work?
Most commonly, parents are a Guarantor to their children who are first-home buyers.
A Guarantor is not on the loan application, but assists by offering a ‘security’ in helping the loan applicant(s) get finance.
Let’s say you wanted to buy an $800,000 house, but only had a 5% deposit of $40,000, this means you would have a 95% LVR. A lender would require you to pay Lenders Mortgage Insurance (LMI) which would be a one-off cost of about $41,000. LMI can be added onto your loan amount, but it’s a huge cost considering that in this example, it’s about equal to your entire deposit savings!
To get the LVR down to 80% (where LMI is no longer required by the lender), you would need an additional $120,000 deposit, which brings the total 20% deposit to $160,000. If your parents aren’t willing to gift you $120,000, then they can become a Guarantor on the loan.
If they’ve paid off, or close to paying off their own house, your parents would easily have $120,000 of equity in their home. Equity is the difference between the market value of their home, and any outstanding loan.
Your parents don’t transfer any cash, or help you pay the loan, but are providing a ‘security’ (their own home), for the amount of deposit that you lack, to get you down to an 80% LVR.
Note, that the Security Guarantee is not decreasing the loan amount, because the $120,000 is not a deposit against your loan - it’s an asset that is elsewhere.
You will be making home loan repayments on $760,000, as your $40,000 is a deposit.
What types of Security can be used?
Note, the guarantor can offer different forms of security, such as:
The Guarantor doesn’t need to liquidate (sell) these assets to create a security. You can think of the guarantee as being “on paper only”.
With property, there needs to be sufficient equity (the difference between the market value and any remaining loan) to cover the security. If there is finance on the parents property still, a ‘second mortgage’ will be added.
The Guarantor may also be financially assessed to ensure you’re not placing them in a highly risky position.
How long does the Security need to be maintained?
The guarantee is in place for the duration of the home loan, which is typically 30 years.
This means that any form of security the guarantor has provided must stay in their possession until the lender agrees to remove the guarantor condition. For example, the parents place of resident or their investment property couldn’t be sold until the guarantee is removed.
Typically, the lender will require that a cash security be transferred into a term deposit in the lenders control. That term deposit would need to remain active until the guarantee is removed.
What is an Income Guarantee? Can a Guarantor help borrowing capacity?
Lenders typically no longer offer Guarantor Income Guarantees.
Borrowing capacity is about the applicant’s ability to make repayments based upon their personal income and expenses. The lender does not want applicants to have loans they’re unable to repay. There are laws in Australia that control how lenders assess borrows, so that they’re not offered ‘too much’ debt.
For your understanding, the purpose was to inflate the borrowing capacity of the applicant, by the guarantor agreeing to help the applicant make regular payments on the home loan.
For example, first-home buyers could ask their parents to actively help them pay for the home loan. Essentially, the bank would assess the parents spare cashflow and increase the amount the first home buyers could borrow, based on this guarantee.
In practice, parents wouldn’t actually help make the payments, so borrowers would be paying too much and failing to make repayments.
Should I use a Guarantor?
For many applicants, especially first-home buyers, a Guarantor is a brilliant way of entering into the property market sooner.
If you are confident in your capacity to repay the loan, the Guarantor isn’t taking on too much risk, and it can benefit the applicant immensely.
When can the Guarantor be released?
In practice, most applicants are able to discharge (remove) the guarantor in 5-7 years. This is highly dependant on a number of personal and macro-economic factors. Here’s a few common ways to remove the Guarantor:
When the LVR is 80% of less, there is no need for the Guarantor. You will pay no LMI, and will probably also enjoy a lower interest rate.
The Guarantor should get their own independent legal advice.
What is a limited guarantee?
Often, the lender does not expect the Guarantor to guarantee the entire loan, only a certain portion. For example:
The loan applicant is liable for their $800,000 share, and the guarantor only their $200,000 share. The Guarantor isn’t ‘on the hook’ for the entire loan in this scenario, which might make them more likely to become a Guarantor. In other words, the most the bank can ‘come after’ the Guarantor for, is $200,000.
There may be a small buffer added to the Guarantor’s requirement, so check this.
Can anyone be my Guarantor?
Typically, lenders will want it to be a parent. Sometimes they will allow a sibling or aunty or uncle.
How much can I borrow with a Guarantor Mortgage?
Borrowing capacity is based upon the applicant’s ability to pay back the loan. This is determined by their applicant(s) income, expenses, and interest rates.
Having a Guarantor on the mortgage does not affect (increase or decrease) borrowing capacity. A Guarantor is only helpful in reducing the cash deposit requirements from the applicant.
Speak with a mortgage broker or lender to understand how much you can borrow.
What are the risks to being a Guarantor?
Becoming a Guarantor for your loved ones can be a wonderful gift, however you should fully understand the risks.
The Guarantor is liable to make payments on the home loan is the applicant fails to do so.
If the applicant continues not pay mortgage payments, the lender would eventually foreclose (sell) the property that the loan is against. Through the sale, if the lender is unable to receive enough funds to repay the entire loan amount, the lender will require the Guarantor to pay the shortfall.
Typically, the Guarantor is given the option to simply pay, but they’re unable to provide these funds in a worst-case scenario, the lender has the legal power to sell the Guarantor’s asset (property etc) to recoup the shortfall. This would be a long, complex process with lawyers involved.
Additionally, the Guarantors ability to borrow money will often be reduced because their equity or asset is now tied to a lender.
Does a home loan with Guarantor cost more?
Guarantor home loans are common and most lenders offer them without additional fees, or higher interest rates.
Use a mortgage broker to compare different Guarantor home loans among many lenders, and compare the fees and interest rates you have access to.
What situations can’t I use a Guarantor?
Typically, lenders limit the use of a Guarantor to first-homes. They do not like to use this process for:
Using a Guarantor may seem complex, however it’s a very common practice and is highly recommended to people with a low deposit.
On a $1,000,000 property, a buyer with a $50,000 deposit (5% deposit = 95% LVR), the Lenders Mortgage Insurance would cost approximately $39,000.
A Guarantor would save this buyer $39,000, so you can see why that might be of interest!
There are many ways in which the federal and state government incentives for first home buyers have substantial and surprising benefits. There are ways for first home buyers to:
Here are the most relevant assistance programs, and basic details about inclusions, criteria, eligibility and relevance.
These programs have complex conditions and eligibility requirements that you’ll need to check on the relevant websites. Do not rely on this article as a comprehensive and up-to-date source of information on these changing programs.
The First Home Guarantee (FHBG) is part of the Home Guarantee Scheme (HGS), an Australian Government initiative to support eligible home buyers to buy a home sooner. It is administered by Housing Australia on behalf of the Australian Government.
Under the FHBG, part of an eligible home buyer’s home loan from a Participating Lender is guaranteed by Housing Australia. This enables an eligible home buyer to buy a home with as little as 5% deposit without paying Lenders Mortgage Insurance. Effectively, the federal government is ‘taking on the risk’ instead of the lender having to purchase lenders mortgage insurance.
For the FHBG, any Guarantee of a home loan is for up to a maximum amount of 15% of the value of the property (as assessed by the Participating Lender). This Guarantee is not a cash payment or a deposit for a home loan.
From 1 July 2023 – 30 June 2024, 35,000 FHBG places are available.
To apply for the FHBG, home buyers must be:
Under the HGS, home buyers can buy a residential property, including:
There is a price cap of $600,000 for Adelaide and regional centres, and $450,000 for the ‘rest of the state’.
The $15,000 FHOG in South Australia is only available to first home owners who buy a new home. You can choose from a house, apartment, townhouse or villa.
You will only be able to claim the FHOG SA if you pay below the following amounts for your home:
The FHOG SA is not available if you buy an established home.
There are no limits on how you spend the FHOG SA, and it can used to form part of your first home deposit.
Eligibility is not based upon income, but conditions include:
In addition, you or your spouse/domestic partner must not have:
Each applicant must reside in the home as their principal place of residence for a continuous period of at least six months commencing within 12 months of date of settlement for contracts to purchase, or the date construction is completed for owner builders or contracts to build.
If you are a first home buyer you may be eligible for a stamp duty relief on the transfer of land, if you are buying:
in South Australia and that home will be your principal place of residence.
The stamp duty relief is available on a transfer of land when the contract to purchase a new home or vacant land is entered into on or after 15 June 2023.
New home
Vacant land
You may be eligible for the relief if you are:
At least one applicant must reside in the home as their principal place of residence for a continuous period of at least six months commencing within 12 months of date of settlement for contracts to purchase, or the date construction is completed for owner builders or contracts to build.
The FHSS scheme allows you to save money for your first home in your super fund.
The scheme allows you to make voluntary contributions (both before-tax concessional and after-tax non-concessional) into your super fund to save for your first home. If you meet the eligibility requirements, you can have these voluntary contributions released, up to a limit, (along with associated earnings) to help you purchase your first home.
You can apply to have a maximum of $15,000 of your voluntary contributions from any one financial year included in your eligible contributions to be released under the FHSS scheme, up to a total of $50,000 contributions across all years.
Contributions released under the FHSS scheme can be used to buy a new or existing home in Australia.
Shared equity’ can cover the gap between what you can afford and the cost of a property, so you can boost your borrowing power and buy your own home sooner.
For example, with shared equity you may only need to make repayments on 75 per cent of the loan, with the remainder being held by a lender.
Shared equity has a significant impact on affordability because homebuyers only needed to afford repayments on the portion of a home’s purchase price not covered by shared equity, typically 75 per cent (but it can be a higher or lower percentage).
At the South Australian Government’s housing financing company, HomeStart Finance, the Shared Equity Option allows people to partner with HomeStart to get into the housing market, with HomeStart contributing up to 25% of the purchase price.
Repayments are based on borrowings for the remaining 75% of the purchase price and not the shared equity component.
HomeStart acts as a silent partner which will share in the profit or loss when the house is sold.
Established in 1989, HomeStart is a State Government organisation that is 100% focused on providing home loans for South Australians.
They are an independent, profitable organisation with social goals.
Over the past 33 years, HomeStart has helped more than 81,000 South Australians into home ownership. HomeStart has been writing shared equity loans since 2007 and is one of Australia’s most experienced shared equity providers, providing a boost for thousands of South Australians so they can buy the right home, when they need it.
They also offer low deposit loans with no lenders mortgage insurance fee, and no need to participate on their Shared Equity program.
You can work directly with HomeStart, and some mortgage brokers can also set you up with HomeStart home loans.
This article is published by Navigate Buyers Agency for informational purposes only and is not considered legal, financial, investment or property purchase advice on any subject matter. By reading and re-publishing the blog, you acknowledge that there is no buyers agent-client relationship between you and Navigate Buyers Agency. The blog should not be used as a substitute for legal, financial, investment or property purchase advice from a registered practitioner who specialises in the area and you are urged to consult us or seek your own independent advice on any specific issue or matter.
Suggestions given, or inferences made are general only and have not taken into account your objectives, financial situation or needs. You should assess the suitability of any purchase of land or a business, in light of your own needs and circumstances, by seeking independent financial and legal advice.
