Avoid confusion about home loan pre-approvals

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Confused about home loan pre-approvals? Here’s everything you need to know before you start house hunting.

What information do you need?

First, your broker will want to build a comprehensive picture of your finances. To do this, you’ll need to provide evidence of everything including:

• pay slips and tax returns for your income

• title deeds for tangible assets (i.e. physical items such as buildings, machinery and inventory), and portfolio statements for intangible assets (non-physical items such as copyrights and patents)

• loan statements for existing loans.

• credit card statements showing your credit limit

• other financial obligations.

What happens at your first appointment?

At this initial appointment, your broker will confirm your identity and use your information to calculate an approximate borrowing figure. During this appointment, you’ll need to fill in a pre-approval application form.

How do you get approval?

Once you’ve chosen the mortgage, your broker will perform a credit check. The result of the credit check helps the lender determine whether you’re a suitable borrower and how much they should lend you. When do you get approval? Once the lender approves your application, you’ll receive a conditional approval certificate from the lender that is usually valid for 90 days. It’s important to remember that this is not approval for the actual loan. Use this figure to work out how much you can spend on a property, taking into account the size of your deposit and other expenses such as conveyancing fees, Stamp Duty and so on. Securing pre-approval will allow you to house-hunt with confidence.

What happens next?

When you’ve found the perfect property and you’re ready to make an offer, remember to tick ‘subject to finance approval’ on your offer before contacting your lender or mortgage broker to finalise the application process.

To contact a Darwin home loan from a Darwin mortgage broker call today on 0447 499 794. You can access our Mortgage Calculator here.

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Thinking of Refinancing?

Why would you let this happen?

Maybe you didn’t know this but a large majority of home owners in Darwin who have a mortgage are needlessly paying more interest to their bank than they need to be …

How do I know?

Well, every day, I help time poor people refinance their loan to a better rate.
The best part about this is I get to hear about how they have used the money they have saved
They all get really excited when they find out they can re channel the savings into things like

A new kitchen fit out
Remodeling their bathroom
Adding an extra room to the house
Some have replaced their car and a few …
They are posting pictures form their overseas holidays.

And some did this, without spending a cent more out of their weekly budget. They just used that surplus that they saved through refinancing and reapportioned it to a better-quality lifestyle.

Isn’t that amazing?

If the thought that you are paying too much interest on your mortgage bothers you, then I have created a 5-point check list that tells you how you could turn this around in your favour.

The 5 Steps To Changing Your Lifestyle Through Refinancing Guide

And the good news is …

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To receive your copy of the guide click the Learn More button, put in your details and I will email the guide to you straight away.
I’ve seen how following the checklist has put a big smile on my clients faces and I would love to see it do the same for you!

Contact - 0447 499 794

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Arafura Finance Brokers is an Authorised Representative (No. 420372) of BLSSA Pty Ltd, ABN 69 117 651 760. Australian Credit License Number 391237.

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Contact Nick Kirlew Mortgage Broker on 0447 499 794.

Darwin, Refinance, Home Loans, First Home Buyer, Mortgage Brokers.