Mortgages

[Cornishpoms]

Do you have to be in oz and in work for a certain amount of time untill you can take out a morgage?

[Bibbs]

No, but speak to an advisor for all the info.

[Andrew Williams]

Do you have to be in oz and in work for a certain amount of time untill you can take out a morgage?

 

 

Hi

 

There is no hard and fast set rule as to how long you need to be in Oz and how long you need to be in work before being able to get a mortgage.

 

All lenders have different rules around different things and what might fit with one lender might not with another, ultimately it boils down to your own individual circumstances and factors such as:

 

• Visa type;
  
• Deposit amount;
  
• Employment status i.e permanent, casual, self-employed etc;
  
• Whether or not you are on probation and your work history;
  
• Ability to service the loan;
  
• Asset position.
  

 

Lots of other factors will come into play the above are an example of some of the main one's.

 

So in summary it can be possible almost straight away for some people while for others they may have to wait a period of time.

 

Regards

 

Andy

Edited May 7, 2013 by Andrew Williams

[Nutnudger]

We have been here since mid-December and we went to the bank with in the first week to look at how we can ensure we are ready to take out a mortgage when we found the right house there information is below

You need to have been paid three times for them to look at us

You need to have the deposit in your account

So that was back in December now we recently made an offer on a house that was accepted we then paid the $15K deposit (this is the amount we offered as a deposit) to the vendor

Now we knew that the bank would want a deposit amount of at least 5% as I am on a 457 but marred to an Australian, so that wasn’t a problem we had paid $15k to the vendor and also had $10k still in the bank,

It was at this point that the bank told us that we need to have the stamp duty & charges in the account before we could apply now we had the cash but it has made spending any money at all a bit of an issue as it was very close and it pushed us from needing in the account $25k up to $29.5k

Now the important thing to note is that there are plenty of banks and they all have different rules and criteria that they use

As a Australian friend told me you only need two of the things below

A big deposit (20%)

A good credit history

A well paid job

And to be fair I have found that the three things above are what the banks have been looking at when me and my wife spoke to them

The only other thing I should point out is that we did have one issue with a bank telling us that we should be saving at a rate of $2,700 per month but we were saving at a rate of $8k a month and they didn’t think that it was be justified under what they called there genuine savings criteria in the end the bank did accept that they could see that the savings was linked to me being paid, but if we were paying in money from the UK it would have had to have been sitting in our account for three months for them to recognise it.

There also some issues around probation periods

Hope this helps

[Rossmoyne]

Listen to Andrew .... Don't know him, never met him, but he talks a great deal of sense and seems to have mortgage stuff all sorted....

[Goat]

We have been here since mid-December and we went to the bank with in the first week to look at how we can ensure we are ready to take out a mortgage when we found the right house there information is below

You need to have been paid three times for them to look at us

You need to have the deposit in your account

So that was back in December now we recently made an offer on a house that was accepted we then paid the $15K deposit (this is the amount we offered as a deposit) to the vendor

Now we knew that the bank would want a deposit amount of at least 5% as I am on a 457 but marred to an Australian, so that wasn’t a problem we had paid $15k to the vendor and also had $10k still in the bank,

It was at this point that the bank told us that we need to have the stamp duty & charges in the account before we could apply now we had the cash but it has made spending any money at all a bit of an issue as it was very close and it pushed us from needing in the account $25k up to $29.5k

Now the important thing to note is that there are plenty of banks and they all have different rules and criteria that they use

As a Australian friend told me you only need two of the things below

A big deposit (20%)

A good credit history

A well paid job

And to be fair I have found that the three things above are what the banks have been looking at when me and my wife spoke to them

The only other thing I should point out is that we did have one issue with a bank telling us that we should be saving at a rate of $2,700 per month but we were saving at a rate of $8k a month and they didn’t think that it was be justified under what they called there genuine savings criteria in the end the bank did accept that they could see that the savings was linked to me being paid, but if we were paying in money from the UK it would have had to have been sitting in our account for three months for them to recognise it.

There also some issues around probation periods

Hope this helps

 

If you don't have 20% deposit mortgage insurance applies , this is costly , 10k plus .

[Andrew Williams]

If you don't have 20% deposit mortgage insurance applies , this is costly , 10k plus .

 

 

Lenders mortgage Insurance (LMI) costs generally start at over 80% as you point but are not a fixed cost and will differ widely.

 

The actual premium is based on how far over 80% you go and the actual loan size.

 

For example LMI premiums on an 80.63% loan with house value of $320,000 will be around $1,000 but on a 95% will cost between around $9k - $11k depending on lender.

 

For a 95% lend on a $600,000 property then the range is between around $17k - $26k!!!!!

 

Certainly a good reason to shop around

 

Regards

 

Andy

[Cornishpoms]

Wow lots of great info! Thanks for that. I'm going to send this thread to hubby as he loves talking finances!

Can't decide wether to wait a while and buy in a few years or just get on with it?! Rents so expensive, just money down the drain!

 

Thanks Harriet