Time to become besties with your broker
The broker’s got your back!
If it’s time for you to apply for formal finance, it’s likely you’ve already engaged a broker. After many hours perusing your bank statements and talking shop (like, where you shop and what your regular outgoings are) you might even have crossed the line into full-blown BBF territory. For those yet to meet their finance BFF, and are unsure as to what they’ll bring to the table, let’s break it down. A broker:
- Handles the finance application process from start to finish
- Has access to a wide range of major banks and lenders (and specialist lenders) which can be helpful if you don’t fit into standard policies
- Can speed up the approval process (compared to going to the bank directly)
- Helps you apply for government grants and programs (including the First Home Owners Grant)
- Advises you regarding stamp duty
- And takes a load of stress off your plate
Plus, they have those super strong negotiating powers to get tough loans approved. Look up! It’s a bird, it’s a plane, NO it’s a super sharp interest rate that your broker handled with ease. But seriously, they’ve got you covered. And they can let you know if you qualify for any of these bad boys:
- Low deposit home loans
- Guarantor loans
- Construction loans
- 0% deposit home loans
Enter Loan Co!
Meet our in-house brokerage at Smart Homes for Living – The Loan Company. That’s right! We have a team of finance super smarties of our own. They’re on standby to assist you with getting the loan you need.
Not only are they qualified and accredited to the industry’s highest standards, but they also have access to a wide range of mortgage products. AND they provide a 100% unbiased and free service for all SHFL clients! Yep, that’s a super power we can get behind.
A broker by any other name is just as sweet
Unlike the Capulates and the Montegues, it doesn’t matter which house you side with! Whether you choose in-house or out-of house. As long as you’re happy … we’re happy!
The formal part of formal finance approval
Here’s the deets. Before your home can progress from admin to construction, you need to obtain Formal Finance Approval. Unconditional approval (also known as full loan approval or formal finance approval) happens after your offer on a property has been accepted. Woo!
It’s simple. Formal approval is when the lender receives all the documents they need and can confirm that they’re going to lend you the money. You’ll need to provide them with a copy of the signed contract of sale and, from there, they’ll organise the rest of your application and let you know if any documents are missing. They’ll also help you select a suitable home loan product that’s right for you. So smart!
Your application will be assessed and the bank will carry out a valuation on the property. They’re considering loaning out the big $ here, so give them time! This can take some weeks, depending on your situation (plus the settlement period).
Annnd, as you can imagine, there is QUITE a few checks to go through, so be prepared to show them your trio of deets:
- Income (pay slips, child support, interest, commissions and bonuses, overtime etc.)
- Assets (cash, home, car etc.)
- Personal Info (valid forms of ID such as a passport and driver’s licence)
This is all very official and professional, providing credit checks and validating your financial circumstances. But dw, it just means they’ll be one step closer to making you an offer you can’t refuse. A formal loan offer that is!
You’re adulting pretty hard right now. Gotta be proud that you’re one step closer to owning your own home!
Next up? Your Building Permit.