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Avoid a Property Disaster – Secure Pre-Approval for Your Peace of Mind

Introduction

Are you planning to invest in property or looking to buy your dream home in the near future? If so, getting your finance pre-approved should be at the top of your priority list. Pre-approval offers you the confidence and security of knowing exactly how much you can borrow from the bank. In the current market, where opportunities can arise swiftly, having pre-approval is more crucial than ever. In this article, we’ll explore the importance of pre-approval and how it can save you from potential property-related disasters.

The Power of Pre-Approval

Imagine this scenario: a fantastic investment opportunity or your dream home comes onto the market, but you are not sure how much the bank will lend you. That uncertainty can quickly turn into missed chances and disappointment. However, by arranging pre-approval with a bank, you can avoid such situations and enjoy several advantages:

  1. Confidence in Budgeting: Pre-approval provides you with a clear idea of how much the bank is willing to lend you. This allows you to set a realistic budget and prevents you from overcommitting or missing out on a great opportunity due to hesitation.
  2. Longer Window of Opportunity: Typically lasting for 90 days, pre-approval gives you ample time to search for the right property without worrying about changes in interest rates or borrowing conditions.
  3. Competitive Edge: In a competitive market, sellers are more likely to consider offers from buyers who have pre-approval. It shows that you are a serious buyer with your finances in order, which can give you an edge over others who are not pre-approved.

Examples of Pre-Approval Success

Let’s take a look at some real-life scenarios where pre-approval has been a game-changer:

  1. The Limit Buyer: A single professional with an exemplary credit history is eyeing a property at the upper limit of his borrowing capacity. With pre-approval, he gains the confidence to bid at auctions, knowing precisely how much he can spend.
  2. The Charitable Couple: A young couple working in the For Purpose sector faces unique challenges with their salary packages. Different banks assess tax-free components differently for employees in their industry. Pre-approval ensures they find a bank that will lend them the right amount.
  3. The Forever Home Seekers: A mature-aged couple looking for their forever home need to find a bank that appreciates their financial position and is comfortable lending to older applicants. Pre-approval helps them identify the right bank before making an offer.

Not All Banks Are Equal

It’s essential to note that not all banks have the same lending criteria. Some may not lend to individuals on job probation, for properties like lifestyle farms or small units, or to casual employees. Failing to secure pre-approval and choosing the wrong bank could leave you in a tough spot. But fear not, we’re here to help!

Conclusion

Getting your finance pre-approved is a proactive step toward securing your financial future and avoiding property-related disasters. With pre-approval, you gain the confidence and clarity needed to navigate the real estate market successfully. So, whether you’re an investor looking for profitable opportunities or a homebuyer seeking your forever abode, don’t hesitate to arrange pre-approval. For a chat about your finance and pre-approval options, feel free to contact Graeme at 02 9922 5055. Take control of your property journey and secure your peace of mind today!

Exciting News for First Home Buyers in New South Wales: Stamp Duty Subsidy Increased to $1,000,000

 

New South Wales (NSW) has introduced a game-changing initiative for first home buyers. The government has recently announced a significant increase in the stamp duty subsidy, offering eligible individuals a substantial benefit of up to $1,000,000. This move aims to alleviate the financial burden and make homeownership dreams more attainable for first-time buyers in the state.

Breaking Down the Changes: Previously, the NSW government had implemented a stamp duty exemption for first home buyers on new and existing properties valued up to $650,000, with concessions available for properties valued between $650,000 and $800,000. However, in response to the ever-increasing property prices and the desire to support first home buyers further, the government has decided to expand the subsidy threshold significantly.

The updated stamp duty changes now provide an exemption for first home buyers on properties valued up to $1,000,000, allowing them to save thousands of dollars during the property purchasing process.

This substantial increase in the stamp duty subsidy is expected to have a positive impact on first home buyers in NSW. With the higher threshold, many aspiring homeowners will be able to enter the property market sooner, potentially allowing them to secure a property that better suits their needs.

Exciting News for First Home Buyers in New South Wales: Stamp Duty Subsidy Increased to $1,000,000

Exciting News for First Home Buyers in New South Wales: Stamp Duty Subsidy Increased to $1,000,000

By reducing the upfront costs associated with purchasing a home, the government aims to encourage more individuals to take that important step towards homeownership. This move not only supports first home buyers but also stimulates the housing market and fosters economic growth in the state.

Government’s Commitment: The NSW government has shown its commitment to helping first home buyers by continually reviewing and updating policies that align with the evolving needs of the community. By increasing the stamp duty subsidy, they are addressing the challenges faced by many in entering the property market and realizing their dreams of owning a home.

It is worth noting that the stamp duty subsidy is just one aspect of the government’s broader initiatives to support first home buyers. Various other incentives and programs, such as the First Home Owner Grant and the First Home Loan Deposit Scheme, are also available to provide further assistance.

Conclusion: The recent increase in the NSW stamp duty subsidy to $1,000,000 is excellent news for first home buyers in the state. This substantial enhancement aims to alleviate the financial strain on prospective homeowners and make it easier for them to enter the property market. By reducing upfront costs, the government hopes to pave the way for more individuals to achieve their dreams of homeownership, stimulate the housing market, and contribute to the overall economic growth of New South Wales.

Call your first home specialist at Origin on 1300 30 6767 or enquire through the form on this page

 

 

State and Territory Benefits for First Home Buyers

First Home Owner GrantsThe first home benefits have changed dramatically this year with more changes due from 1 July 2017. All of the grants and stamp duty concessions are state administered so vary in each state and Territory.

Most concessions for first home buyers have only been available for new properties. Now there are several states with concessions that include established properties.

The federal government has also introduced First Home Savings account linked to superannuation funds. First home buyers can salary sacrifice into their superannuation fund to later use as home deposit (to a maximum of the current contributions limits). Salary sacrificing into the fund is designed to reduce tax payable, leaving more to contribute to the deposit savings. Interest received on the deposit will also be taxed at concessional superannuation rates.

NSW

A $10,000 grant for new builds valued up to $750,000; stamp duty exemptions for new homes up to $550,000 in value and concessions for homes valued from $550,000 to $650,000.

VIC

A grant of $10,000 to $20,000 for new homes up to $750,000. Full stamp duty exemption from July 1, 2017 for new and established properties worth up to $600,000; plus concessions on $600,000 to $750,000 properties.

QLD

Grant of $20,000 for new builds valued to $750,000, up until June 30, 2017; plus stamp duty exemptions up to $500,000 and concessions up to $549,000.

WA

Grant of $10,000 for new builds or substantially renovated homes worth $750,000- $1 million. Full stamp duty exemption for homes up to $430,000 and concessions between $431,000 and $530,000.

SA

A $15,000 grant for new builds valued up to $575,000

TAS

A $20,000 grant for new builds of any value, reducing to $10,000 on July 1, 2017.

NT

A $26,000 grant for new builds of any value; plus up to $2000 to buy furniture and appliances. First time buyers also get up to $23,000 off stamp duty for established homes worth up to $650,000.

ACT

A $10,000 grant for new builds or substantially renovated homes valued up to $750,000; plus stamp duty exemptions for homes up to $455,000 and concessions for those worth up to $585,000, depending on income levels.

At Origin Finance, We Put You First

Origin Finance is one of Australia’s most respected mortgage brokers. We provide our clients with access to a large panel of lenders with an extensive range of home loan products. Many of these lenders are well-known banks, many others are household names who only lend through brokers; others still are specialist lenders who can meet diverse financial circumstances. Origin helps you make the right home or investment loan choice. Call us today 1300 30 67 67.

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