Why Would You Need Our Mortgage Broker Arana Hills?

Located 12 kilometers northwest of Brisbane, Arana Hills is a suburb in the Moreton Bay Region and is informally a part of the Hills District. While only a 20-minute drive from the Brisbane CBD, this quiet and greeny suburb is filled with parks and reserves to make you feel like you were in the hinterland. With plenty of birdlife, clean air, and a low crime rate, this suburb is perfect for singles, families, and even retirees. Everything you could wish for in a neighborhood is here: schools, public transport, shopping centers, you name it! This truly is the place to be. So what are you waiting for? Contact our mortgage broker Arana Hills and come check it out!

What are Mortgages Used For?

A mortgage is a financial term describing how you can get a loan using collateral as security. Mortgaging has become an in-demand industry, which is why more and more people are getting into this field to help others acquire a loan.

Mortgages are commonly offered by financial institutions like banks and other financial sources. They are typically granted based on your personal property’s worth as payment for your debt.

While there’s a standard method for getting mortgages, interest rates, and other formalities can vary per institution. Mortgage loans are mostly used to buy or construct personal or commercial properties.

What Types of Mortgages Can Our Mortgage Broker Arana Hills Help With?

Buying a house usually isn’t possible without the help of banks or lenders. If you’re planning to purchase a property but don’t have the entire purchase price yet, then consider home loans as your new best friend.

However, there are currently so many options to choose from that you may find it hard to pick the best one. Let’s discuss your choices more in detail:

Variable Rate Loans

The go-to option for most homebuyers, these depend on the ever-changing cash rates of the Reserve Bank of Australia and the constant rise and drop in interest rates. Meaning, you can have low payments in some months, and then high payments in the next.

Yes, it is a gamble. But most of our clients still prefer this method since it lets them pay in several ways. Plus, if ever our mortgage broker Arana Hills finds a loan that better suits your needs, you can simply refinance your loan with a different provider because most lenders don’t charge a change fee.

Fixed-Rate Loans

As the name suggests, there’s a fixed amount that you have to pay per month. These lock-in your home loan interest rate for an agreed number of years, with rates that are usually higher than the current variable.

But the good news is, you don’t have to worry about the market’s current status. This makes it a great choice if you’re on a tight budget since you already know how much you owe each month. However, aside from the higher rates, if our mortgage broker Arana Hills finds a better loan option, switching lenders can be a pain because there is usually a break-cost fee.

Line-of-Credit Loans

If you’re thinking of renovating your house, this loan (plus your current mortgage) is your best bet. Also called “home equity loans,” these let you make the most out of your loan and use it for more important expenses. The total amount will be based on your property’s equity, and you can use it either in full or bit by bit.

But take note: this isn’t for you if you’re an impulsive buyer. This is because once you’ve drawn out from your line of credit, you need to make repayments right away to compensate for the amount you borrowed. Not doing this will only extend your loan term.

Guarantor Loans

Our mortgage broker Arana Hills will recommend this if you wish to borrow a large amount (up to 80% of the purchase amount!) without paying the mortgage lender insurance.

You just have to ask your parents or a close relative to be your guarantor. If they agree, a part of their house will now become your collateral. This option is ideal if you’re a first-time buyer and new to the property market.

Interest-Only Loans

Compared to traditional home loans, these allow you to skip paying the principal and just pay the interest: for now. If you’re a property investor looking for negative gearing or want to make a profit by selling your property (given it won’t depreciate,) then our mortgage broker Arana Hills will likely recommend this option.

This is also ideal if you have a low income or a young homebuyer. These usually last for about 7 years before going back to the “traditional” home loan.

Investment Property Loans

This type probably has the strictest requirements. Firstly, you must prove that you have enough funds set aside to repay the total cost of the loan. Then, some lenders may require that your remaining funds are higher compared to if you were applying for a regular home loan.

Rental income is a factor as well, since your income from rent may be enough to cover monthly repayments for the mortgage. This means that the property didn’t lower your debt-to-income ratio (or the portion of your monthly salary used to pay off the debt,) which is also a requirement when applying for a loan.

Last is your property’s potential of appreciating during the loan term. This is why lenders are always on the lookout for trends in housing prices and vacancy rates.

How Can Our Mortgage Broker Arana Hills Benefit You?

For many years, you only had the option to borrow from banks and there was lesser competition among financial institutions. But that completely changed and today, borrowers take their time comparing financial products. This led to the birth of our profession, where we help you secure a loan to aid your financial goals.

We have an Australian Credit License (ACL) or credit representatives of a licensee (aggregator) to serve as your protection in case a lawsuit happens. Here are some reasons how working with us can benefit you in the long run:

We Save Your Money and Effort

Most financial institutions are only open during business hours. This means you may need to take a day-off just to talk to them or file a leave for several days to compare their products.

But not with our mortgage broker Arana Hills. We’ll act as your “middle man” and talk to various lenders until we find a product that suits your needs. We’re pretty flexible too, and we can have meetings with them even after office hours to save you from a lot of stress.

We Know How the Mortgage System Works

First of all, do you know the difference between variable and fixed-rate loans? We’re experts in the world of finance and can give you this information. Plus, we’re here to help you get an appropriate offer.

Mortgaging is a complex topic and we’re willing to explain it to you in a way you understand. Our mortgage broker Arana Hills is also here to take care of the whole process to make sure you find a product that fits your requirements.

You should know how we’re different from mortgage advisors, too.

Mortgage advisors work for a specific financial institution and only care about selling products from that particular institution, even if they don’t suit your needs. We, on the other hand, work independently and compare each product until we find your perfect match.

We Protect Your Credit Score

When it comes to filing loans, banks and other financial institutions have their own criteria of what’s acceptable and what’s not. If you apply to various institutions and one gets rejected, your credit score will be tainted and therefore, suffer.

However, that won’t happen with our mortgage broker Arana Hills. We only use your financial information when comparing institutions and never your identity. This way, we have a higher chance of finding the right lender and your credit score stays protected at the same time.

We Take Care of Administrative Tasks

Think working with us isn’t necessary? Then be prepared to do a lot of paperwork! We’re here to prepare all the documents you need for a stress-free loan application process. For example, we can help you get a pre-credit authorization or the document that says if you’re eligible for a loan and an estimate of how much you can borrow.

We Stop You from Making Unwise Decisions

Compared to our mortgage broker Arana Hills, you probably know little to nothing about how the finance market and mortgaging. So why are you very confident about taking this task on your own? As experts in this field, we can talk you through the pros and cons of each product so you can avoid making mistakes that can cost you a lot.

For instance, most borrowers make the mistake of choosing a product with the lowest interest rate without reading the terms that come with it. Our role is to dissect this information so you won’t end up in a bad situation just because you were misinformed.

Why Should You Work With Our Mortgage Broker Arana Hills?

Our goal is to help you achieve your dream property. We know how scary buying your first house is. That’s why we’re here to help you from start to finish to hopefully take some weight off your shoulders. Whether you’re a buyer or an investor, we have access to various lenders and products to help you find what you need.

To get a glimpse of what Arana Hills, don’t hesitate to call our mortgage broker right now!