It’s quite normal that First Home Buyers feel excited and a little intimated when starting on the journey of buying their first home. We know that a lot of our first time buyers come to us feeling a little confused by all the information – from family and friends and on the internet. Between LMI, First Home Buyers Grants and variable vs. fixed interest rates, it is fair to say there is a lot that goes into buying your first home.
For first home buyers on the Sunshine Coast, understanding mortgages and grants is a really important part of being able to make informed decisions with regard to your first property. This is where a mortgage broker comes in. At Orchard Mortgages, we have years of experience and information that can help in guiding first home buyers through the maze of home loans and government grants.
In this blog update, we will be exploring everything you need to know as a first home buyer on the Sunshine Coast, also answering some common first home buyer questions like:
- Do I need a 20% home deposit in Australia?
- Can I use my superannuation to buy my first home?
- What is Lenders Mortgage Insurance (LMI)?
- What should I consider when choosing a home loan?
- Why should I use a mortgage broker as a first home buyer?
Why Choose A Mortgage Broker
For first-time property buyers, the world of mortgages can be a little confusing. There are a lot of things to consider, and it is important to make sure you have plenty of information you need to make informed decisions.
A mortgage broker brings years of experience, personalised advice, and access to a wide range of loan options that you might not find on your own. At Orchard Mortgages, our experienced mortgage brokers understand the ins and outs of first home buyer mortgages with a loan that suits your specific needs and circumstances.
Buying your first home is probably the biggest purchase you will make, which is why it is important to make an informed choice. From years of working with young couples, by having a mortgage broker by your side, you can feel more comfortable throughout the process.
What Is The First Home Buyers Grant in Australia?
The First Home Buyers Grant is an Australian government initiative designed to assist first home buyers entering the property market.
In Queensland, eligible buyers can receive substantial financial support, making that first step onto the property ladder more reachable. It was recently doubled, meaning you can be eligible for up t0 $30,000 under the First Home Buyers Grant in Queensland.
However, the grant comes with specific criteria around eligibility, type of property, and value. For detailed information on eligibility and how to apply, check out one of our recent articles on the First Home Buyers Grant.
First Home Buyer FAQs
Buying your first home can raise a lot of questions, we get it. So let’s try answering some of the most common questions from first home buyers.
Do I need a 20% home loan deposit?
No, you don’t necessarily need a 20% deposit as a first home buyer. There are other options available, for example you could use the first home buyer grant.
Can I use my superannuation to buy my first home?
Under the First Home Super Saver Scheme, you can use voluntary super contributions towards a deposit for your first home.
What is Lenders Mortgage Insurance (LMI)?
LMI is a one-off insurance payment that is required if your deposit is less than 20% of the property’s value. It protects the lender in case you can’t pay your home loan.
What should I consider when choosing a home loan?
Consider the type of loan (fixed, variable, or split), interest rates, loan features (like offset accounts or redraw facilities), exit fees, and flexibility.
Why should I use a mortgage broker as a first home buyer?
A mortgage broker can use their years of experience in the industry, provide clear information and guidance, negotiate with lenders on your behalf, and streamline the application process. Our team are really good at explaining information that can be normally hard to understand.
We are also really good at support & helping you work through the long “things to do list”.
And you can ask questions. Anything and everything – you get to ask us!
What other benefits can a mortgage broker offer?
Our mortgage brokers have extensive knowledge of various loan products and can help you find competitive rates and favourable terms. For an example, if you went into one of the big banks, like ANZ, their staff can only talk about and offer you their own loans & products. If you went and spoke to a mortgage broker, they are able to talk to you about many different lenders and loans options – which really means you have a wider choice and can potentially find products that suit your needs more closely. (Jackson feel free to weave some magic into this, you get my drift).
Can a mortgage broker assist with loans for constructing a home?
Absolutely. We can guide you through information and options relating to construction loans, which differ from standard home loans.
Contact Our Mortgage Brokers Today
At Orchard Mortgages, we’re your partners in making your first home a reality on the Sunshine Coast. With our in-depth knowledge and personalised mortgage broker service, we’ll navigate you through every aspect of buying your first home.
Reach out to us for a no-obligation consultation and take the first step towards owning your dream home. Get in touch with Michael Wills or Nicky Orchard today through our website, or by calling us on (07) 5475 4500.
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Licensing statements: Credit Representatives 364849 and 490257 are authorised under Australian Credit Licence 389328 General disclaimer: This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. Subject to lenders terms and conditions, fees and charges and eligibility criteria apply