Buying your first home

Your first home is a major milestone and making the right investment choice not only involves finding the right property but also choosing the right loan from the best lender, which together, can help form the foundation on which to build assets for life.

Vision's Finance Partners compare loans from Australia's largest selection of lenders and aim to grow with you during your property investment journey, making it faster and easier to secure your dream home.

Your Journey

When you first meet your Vision Finance Partner, you'll be asked a number of questions about your goals and financial aspirations; as well as questions about your financial position. It's best to bring as much information as possible to the first meeting which, if possible, should include copies of pay slips as proof of income, bank statements as proof of savings, your tax file number, your drivers licence and latest tax returns.

Your Finance Partner will help you choose an option best suited to your requirements and will look at things like monthly repayments, interest rates, value added features such as redraw facilities and how much you can borrow from each lender. Once the best possible fit has been found, your Finance Partner will prepare the necessary forms for approval by the lender and will guide you step by step through the remaining process.

Lending Pre-Approval

If you haven't found the perfect home, your Finance Partner can arrange pre-approval giving you the peace of mind of knowing exactly how much you can borrow. In such a competitive housing market, this will give you a head start on other purchasers and can even broaden your options to attend auctions.

First Home Incentives & Costs

As a first home buyer, you may qualify for government grants and incentives such as the First Home Owner's Grant (or FHOG) which is a one-off tax free payment of between $7,000 and $21,000*. Vision Finance Partners can coordinate your grant submission and work with you to ensure you receive all that you're entitled to by any grant and incentive scheme.

Your Finance Partner will also make you aware of expected costs up front such as Lenders Mortgage Insurance which is a typical cost for First Home Owner's who commonly need to lend a higher percentage of the property value.

The Real Costs of Owning a Home

Apart from stamp duty (also known as transfer duty) and Lenders Mortgage Insurance, there are a number of additional expenses you should consider when buying a home. Costs include loan establishment fees, solicitor/conveyancing fees, building/council inspection, pest inspection, home and contents insurance, rates adjustments, moving expenses and utility connections.

Family Guarantees

Some lenders may alllow your family members to use the equity in their home (up to a specificied amount) as security for your home loan which can save you time and money and may avoid the need to pay Lenders Mortgage Insurance.

Deposit

Most lenders will require a minimum deposit of 5% which you should demonstrate as being genuinely saved over at least a 6 month period. Some lenders will permit a genuinely saved deposit of 3% and allow the remaining funds to be covered by a gift, a lump sum payment or the First Home Owners Grant.

If you can't wait until you've saved a full deposit, then some lenders allow you to borrow up to 100% of the property value and your Finance Partner can discuss whether this is a viable option based on your financial position. Despite not needing a deposit, you will need to have enough saved to cover stamp duty, fees and insurance and you will still need to demonstrate good savings habits.

Where to from here?

While there are many online calculators available, they do not take into account all of your individual circumstances. We have a very short online enquiry form which will ask you some very basic questions and then organise for one for your local Finance Partner to contact you. By completing this quick form your local Finance Partner will already have completed some preliminary investigation before they call you, enabling you to be better informed quickly.

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Contact your local Vision Finance Partner on 1300 797 144 or This e-mail address is being protected from spambots, you need JavaScript enabled to view it to arrange an obligation free appointment.

* The First Home Owner's Grant may vary from state to state and applies a qualifying criteria. Please refer to your State or Territory's Office of State Revenue or a Vision Finance Partner to see if you qualify.

© Copyright Vision Mortgage Solutions Pty Ltd 2005