Why use a mortgage broker when looking for finance?
A mortgage broker is someone who shops around for the home loan that's right for you. Whether you're in the market for your first home or building a portfolio of investment properties, we have access to hundreds of loans from a host of Australia's leading lenders.
When should I see you and what can I expect?
Runmore Loans is a mortgage broker who values client relationship building and trust. You can see us at any stage in your financial journey, whether it be saving for your first home, wishing to use the equity in your current one, or wondering if you're still getting the right deal with your existing lender. We don't charge you to review your circumstances and needs, so you can feel confident to ask us anything, no matter how small. Call us now to make an obligation-free appointment at a time and place that suits you.
Whatever your needs, we will research the market and recommend the right home loan to suit your needs.
How can this service be free of charge?
We are paid by the lender, not the borrower. The lender has fixed marketing costs in every loan and pays these monies to their own representatives, branches or brokers like us.
What is the First Home Owners Grant and New Home Scheme?
This is a grant available to Australian citizens or permanent residents who wish to buy or build their first home, and will be their principal place of residence with 12 months of settlement. The New Home Scheme provides eligible purchasers with exemptions from transfer duty on new homes.
Grant conditions vary from state to state so talk to us and we can tell how much you may be eligible for.
Why would I refinance?
Home loan products change all the time and depending on the prevailing economic environment may move up and down rapidly. Refinancing your home loan is a way to take advantage of movements in interest rates and not pay any more than you need to. Runmore Loans constantly reviews what loans are available and can help you reduce your loan costs. Refinancing is also a very effective way to identify equity you have built up in your home.
Is there a difference between an investment loan, commercial loan or owner/occupier home loan?
Investment and owner/occupier loans are known as residential loans. Most loans that apply to owner occupiers also apply to investors but conditions and rates may change based on risk and other factors. Commercial loans, used to buy commercial properties likes shops and offices, are separate loan products from residential loans and have different terms and conditions.
Can I use equity in my home as a deposit for an investment property?
Yes. We can help structure your existing loan to take advantage of the equity you have to provide a deposit for an investment property.
What's negative gearing?
This is where the total cost of owning an investment property exceeds the income it generates. The net loss can be offset against your income tax. We can help ensure your loan is structured in a way to assist your accountant take advantage of all the tax deductions you are eligible for.
How much money can I borrow?
This amount varies from lender to lender and depends on a number of factors. We're all different when it comes to our finance and borrowing needs so contact us today, and by the end of an initial conversation, we will be able to provide you with information on your maximum borrowing capacity, an estimate of costs for your purchase and suitable lender product comparisons.
How do I choose the loan that’s right for me?
Loan types and features will give you a good idea of the main options available. But because there are hundreds of different home loan products available, and individual circumstances all vary, we’ll research what loan is right for you and make recommendations for you to consider.
How much do I need for a deposit?
Usually between 5% - 10% of the value of a property, which you pay when signing a Contract of Sale. If the deposit requested is 10%, your conveyancer may be able to negotiate this down to 5%. If you don't have the deposit at time of signing the contract, your conveyancer/solicitor may be able to arrange a deposit bond until settlement.
What if I don't have a conveyancer/solicitor?
Runmore Loans can recommend a solicitor/conveyancer in your area to help you with your purchase.
How much will regular repayments be?
As there’s so many different loan products, some with lower introductory rates, contact us today to see what loans are right for you and what the repayments will be.
How often do I make home loan repayments — weekly, fortnightly or monthly?
Most lenders offer flexible repayment options to suit your pay cycle.
What fees/costs should I budget for?
To avoid any surprises, the list below sets out all the usual costs:
Stamp Duty — This is the big one. All other costs are relatively small by comparison. State and Territory Governments charge different rates of stamp duty from each other. Stamp duty costs also depend on the value of the property you buy. You may also have to pay stamp duty on the mortgage itself. To find out your total Stamp Duty charge, check out our Stamp Duty Calculator.
- Legal/conveyancing fees — Charged by the conveyancer you appoint to help you through the home loan process. These fees, which include title search fees, are usually around $1,000 - $1,500.
- Building inspection — Should be carried out before the purchase of a property by an expert, such as a Structural Engineer, to ensure it is structurally sound. The cost can be up to $1,000 depending on the size of the property. Your conveyancer will usually arrange this inspection, and you will usually pay for it as part of their total invoice at settlement.
- Pest inspection — Should also be carried out before purchase to ensure the property is free of problems such as white ants. Allow up to $500 depending on the size of the property. Your conveyancer will usually arrange this inspection, and you will usually pay for it, as part of their total invoice at settlement.
- Lender costs — Most lenders charge establishment fees to help cover the costs of their own valuation as well as internal admin fees. Allow about $300.
- Moving costs — Don’t forget to factor in the cost of a removal firm if you plan on using one.
- After buying — As well as regular loan repayments you should take out building insurance and contents insurance. If you are borrowing more than 80% of the purchase price of the property, you’ll also need to pay Lender Mortgage Insurance. You may also choose to take out Mortgage Protection Insurance.
If you have bought a strata title, regular strata fees are payable.