What if I Only Have a Small Deposit For a Home Loan?
While lending standards have become slightly stricter over the last few years, would-be homeowners should not fret - there are still borrowing options for those with little deposit.
Having a chat with your mortgage broker can introduce you to different home loans and help you determine your best option to secure a mortgage.
Lenders have a range of borrowing criteria and it is worth a self-assessment of eligibility. Generally, you will need to show that you have a stable income and have gathered at least some savings.
However, some lenders will allow you to use rental payments as proof of genuine savings. In addition, many lenders are now offering low deposit home loans that allow borrowers up to 95 per cent of the purchase price.
Comparing options with your mortgage broker will help you to decide if you should spend more time saving or if you are in a position to secure a low deposit home loan that will benefit you in the long run.
Often the challenge is finding a lender that can cater to your personal requirements - a task made much easier with the help of your mortgage broker.
To get more detailed information on your situation, talk to a Loan Market mortgage broker today.