Buying a home is a dream for many Australians, but saving up for that deposit can feel like a mountain to climb. If you’re eager to get your foot in the door but haven’t quite reached your savings goal, a personal loan might be an option worth considering. While it’s not the right choice for everyone, a personal loan can give you a boost towards your home deposit, helping you secure your new property sooner. Here’s how it works and what to keep in mind.

Why Use a Personal Loan for a Home Deposit?

Many first-time buyers find that building up a deposit is the biggest hurdle to securing a home loan. A personal loan can act as a top-up for your deposit, potentially making you eligible for a mortgage faster. With the added deposit, you may be able to negotiate better terms on your home loan or meet the requirements for a particular lender. It’s essential, though, to ensure that the total borrowing remains manageable, so your monthly commitments remain affordable.

Things to Consider

1. Affordability: Make sure you can comfortably manage repayments on both your personal loan and home loan.
2. Interest Rates: Personal loans usually have higher interest rates than home loans. Weigh the cost and benefits carefully.

How a Mortgage Broker Can Help

Taking out a personal loan for a home deposit is a big decision. This is where a mortgage broker comes in. A broker can assess your financial situation, help you understand the impact of adding a personal loan, and connect you with the right lenders.

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If you're considering a personal loan to help secure your property deposit or want guidance on navigating your mortgage options, we're here to help.

Let’s talk about the biggest mistake many of us make with our mortgages: we forget to review them regularly. Life changes, rates change, and there’s always a new home loan product popping up. But if you’re not checking in on your mortgage, you could be missing out on significant savings.

Why Regular Mortgage Reviews Matter

When you first signed up for your mortgage, you probably got a good rate – but that rate may not be the best anymore. Lenders are always adjusting rates and releasing new products, which means a quick review could reveal a better deal. A mortgage broker can help you stay on top of these changes. They work with various lenders, find the best rates, and handle the legwork for you.

How a Mortgage Broker Can Help

Think of a mortgage broker as your home loan expert. They’ll look out for better rates and even check for hidden fees you might miss. Plus, they can make switching to a more competitive loan easy if there’s a better fit out there. Even if it’s only once a year, connecting with a broker to review your mortgage can save you thousands.

Quick Tips to Avoid Costly Mistakes

1. Schedule a Yearly Review: Set a reminder to check your mortgage at least once a year.
2. Talk to a Broker: They know the market and can find the right fit for you.
3. Consider Refinancing: A lower interest rate or better loan terms could be a game changer.

Taking just a little time to review your mortgage can make a world of difference to your finances.  

Ready to review your mortgage or have questions? Contact us today! Our team is here to help you make the most of your home loan and find the best options available for your financial future.

Your 20s are an exciting time—full of new experiences, responsibilities, and opportunities. It’s also a crucial period to start building good financial habits that will set you up for long-term success. While managing money may seem overwhelming at first, taking control of your finances now can help you avoid stress later on. Here are some of the best financial tips to follow in your 20s.

1. Start Budgeting Early

Creating a budget is one of the most important financial skills you can develop in your 20s. A budget helps you track your income and expenses, ensuring that you don’t overspend and fall into debt. Start by listing all your sources of income, followed by your essential expenses—like rent, utilities, groceries, and transport. Whatever is left over can be allocated to savings, investments, or leisure.

Tip: Use budgeting apps or tools to make tracking your expenses easy and even a bit fun!

2. Build an Emergency Fund

Life is unpredictable, and having an emergency fund can save you from financial stress in tough times. Aim to save enough to cover at least 3-6 months’ worth of living expenses. This fund will act as a cushion in case of job loss, unexpected medical bills, or other emergencies.

Tip: Set up automatic transfers to a savings account to build your emergency fund without even thinking about it.

3. Avoid Credit Card Debt

It’s tempting to rely on credit cards when you're short on cash, but credit card debt can spiral out of control due to high-interest rates. Always try to pay off your balance in full each month to avoid interest charges and protect your credit score.

Tip: If you do need to use a credit card, only spend what you know you can pay off by the end of the billing cycle.

Final Thoughts

Your 20s are the perfect time to lay the groundwork for a financially stable future. By budgeting, saving, and investing wisely, you’ll set yourself up for success in the years to come. Remember, the small steps you take today can make a huge difference tomorrow—so start building good financial habits now!

If you’ve been looking into property investment, chances are you’ve come across the term negative gearing. What does it really mean?

So, What is Negative Gearing?

Negative gearing happens when the costs of owning an investment property—like your mortgage repayments, interest, and maintenance—are higher than the income you earn from it (usually in the form of rent). In other words, you’re spending more on the property than it’s bringing in.

At first glance, that might seem like a bad thing but many investors see this as a smart strategy because of the potential tax benefits and future profits.

How Does It Work in Practice?

Imagine you’ve just bought an investment property, and you’ve taken out a home loan to finance it. You’re renting it out, so you’ve got some income coming in, but once you add up the mortgage repayments, interest, maintenance costs, and maybe even property management fees, you realise you’re spending more than you’re earning.

This is where negative gearing comes into play. Yes, you’re technically making a loss in the short term, but there are some perks that can help take the sting out of it—like tax deductions.

Tax Benefits of Negative Gearing

One of the biggest reasons people use negative gearing is the tax advantage. If your property is costing you more than it’s making, you can use that loss to reduce your taxable income.

Let’s say you’ve made a $5,000 loss on your investment property this year. You can offset that $5,000 loss against your other income, like your salary. This means you’ll pay less tax, which helps cushion the blow of making a short-term loss on the property.

Long-Term Gains: Is It Worth It?

The big idea behind negative gearing is that, even though you’re making a loss now, the property’s value will increase over time. So when you eventually sell it, the profit (or capital gains) should more than make up for the losses.

Of course, property prices don’t always go up, and factors like interest rates and market trends can have an impact. But if the property’s value increases significantly, those short-term losses might seem like a small price to pay for the long-term gain.

Is Negative Gearing Right for You?

Negative gearing isn’t a one-size-fits-all solution. It works best for people who have the cash flow to handle the losses in the short term and are willing to wait for long-term benefits.

It’s also important to remember that while the tax benefits are appealing, they shouldn’t be the only reason you decide to negatively gear a property. You’ll want to make sure the property has good growth potential and that you’re comfortable with the risks involved.

Before you dive in, it’s a great idea to talk to a mortgage broker. They can help you figure out if negative gearing fits with your investment goals and your financial situation.

Negative gearing can be a useful strategy for property investors looking for long-term gains, even if it means taking a short-term loss. The tax benefits can be a big help, and if the property’s value increases over time, you could see significant rewards down the track.

But like any investment strategy, it’s important to go in with your eyes open. Make sure you understand the risks and talk to an expert to see if it’s the right approach for you.

If you’d like more information or personalised advice on property investment, get in touch with us today! We’re here to help you navigate the world of home loans, mortgages, and investment strategies

Buying or selling a home can be an exciting, yet sometimes overwhelming, experience. One of the key professionals who can help make the process smoother is a conveyancer.

But what exactly does a conveyancer do?

What is a Conveyancer?

A conveyancer is a licensed professional whose main job is to handle all the legal paperwork involved in transferring property ownership. They make sure that everything goes by the book when it comes to the sale or purchase of a home.

Think of them as your go-to expert for everything related to the legal side of buying or selling a property. They look after your interests and ensure that all the legal details are properly taken care of.

What Does a Conveyancer Do?

A conveyancer will assist you from start to finish in a property transaction. Here are some of the main tasks they handle:

1. Reviewing and Preparing Contracts Whether you’re buying or selling, there will be contracts involved. Your conveyancer will make sure the contract is fair and clear, and will point out any issues that could affect your property deal.
2. Doing Property Searches Conveyancers run various checks on the property you’re buying to make sure there aren’t any hidden issues. This includes checking for things like unpaid rates, planning restrictions, and any legal rights that could affect the land. These checks can protect you from potential problems down the track.
3. Coordinating with Other Professionals Your conveyancer acts as a middleman between you, the other party’s conveyancer, the real estate agent, your mortgage broker, and even your lender. They make sure all the necessary documents and payments are exchanged at the right time.
4. Handling the Financials On the day of settlement, the conveyancer ensures all the money is transferred to the right places. This includes paying the seller, settling any stamp duty, and finalising the transfer of the property title into your name.
5. Lodging the Legal Documents After settlement, your conveyancer will file the necessary paperwork with the land titles office, making sure the property is officially transferred into your name (and ensuring your home loan or mortgage is registered properly if you're taking one out).

Why You Need a Conveyancer When Taking Out a Home Loan

Your conveyancer ensures that everything lines up with what the lender requires. They’ll double-check that all the legal details of the property are in order, helping to avoid any last-minute hiccups that could delay your home loan approval or settlement.

Conveyancer vs Solicitor: What’s the Difference?

While both conveyancers and solicitors can handle property transactions, conveyancers are specialists who focus solely on this area of law. Solicitors, on the other hand, may offer more broad legal services, which can include conveyancing but usually at a higher cost. For most straightforward property transactions, a conveyancer is the more cost-effective option.

Do I Really Need a Conveyancer?

Yes, you do! Whether you’re buying or selling, a conveyancer makes sure the process is stress-free and legally sound. They help to avoid common pitfalls that can arise in property transactions, and they’ll be there to make sure you’re protected every step of the way.

In Summary

When it comes to buying or selling property, having a conveyancer on your team makes the whole process much easier. They handle the tricky legal bits so you can enjoy the journey!

Paying off your mortgage faster is a goal for many homeowners, and combining a credit card with an offset account can be a smart way to achieve this. Here’s how these two tools can work together to save you money and reduce your mortgage term.

What Is an Offset Account?

An offset account is a bank account linked to your home loan. The balance in this account offsets your mortgage balance, so you pay interest only on the difference. For example, if your mortgage is $400,000 and you have $50,000 in your offset account, you’ll only pay interest on $350,000. This reduces the amount of interest you pay over time, helping you pay off your loan faster.

How Does a Credit Card Fit In?

Using a credit card for your everyday expenses allows you to keep more money in your offset account for longer. Here’s the basic strategy:

1. Deposit Your Income into the Offset Account: As soon as you get paid, deposit your income into the offset account. The more money in the account, the less interest you pay on your mortgage.
2. Use Your Credit Card for Daily Purchases: Pay for groceries, bills, and other expenses with your credit card, keeping your cash in the offset account.
3. Pay Off the Credit Card in Full: Ensure you pay off your credit card balance in full each month to avoid interest charges. This way, you maximise your interest savings on your mortgage.

Benefits and Considerations

• Interest Savings: More money in your offset account means less interest on your mortgage, potentially saving you thousands.
• Faster Mortgage Repayment: With less interest, more of your payments go toward the principal, shortening your loan term.
• Discipline Required: To make this work, you must pay off your credit card in full each month and avoid unnecessary fees.

Is This Strategy Right for You?

If you’re disciplined with your spending and can manage your finances well, this strategy can be highly effective. However, if you’re unsure, a mortgage broker can help you decide if it’s the right approach for you.

By using a credit card and offset account wisely, you can pay off your mortgage faster.

If you have any questions or need personalised advice, get in touch. We're here to help you make the most of your mortgage and move closer to owning your home outright.

Understanding the world of mortgages, and home loans can be tricky, especially when you're faced with terms like "offset account" and "redraw facility." Lets break down the key differences between the two.

What’s an Offset Account?

Think of an offset account as your regular savings account, but with a twist—it’s linked to your mortgage. The money you keep in this account offsets (or reduces) the amount of your home loan that’s charged interest. For example, if you have a $400,000 mortgage and $50,000 in your offset account, you’ll only pay interest on $350,000.

Why It’s Great:

• Save on Interest: The more you keep in your offset, the less interest you pay.
• Easy Access: You can use it just like any other bank account—withdraw and deposit money whenever you like.
• Tax-Free: You don’t pay tax on the interest you save.

If you’ve got some savings sitting around, an offset account is a smart way to cut down your mortgage costs.

What’s a Redraw Facility?

A redraw facility is like a little safety net. When you make extra repayments on your mortgage, you’re reducing the overall loan amount, which means you pay less interest. But if you need that extra cash later on, you can "redraw" it.

Why It’s Handy:

• Pay Less Interest: Extra repayments lower your mortgage balance and reduce interest.
• Access Extra Funds: Need the money back? You can withdraw those extra payments when necessary.
• Some Limits: Be aware that some lenders might limit how often or how much you can redraw.

A redraw facility is perfect if you’re focused on paying off your mortgage quickly but want the option to access your extra payments if needed.

So, Which is Better?

It really depends on your needs. If you like the idea of having instant access to your savings while reducing your mortgage interest, an offset account might be for you. On the other hand, if you’re keen to pay down your mortgage faster and don’t mind having a bit less flexibility, a redraw facility could be the way to go.

In short, both options can help you save on your mortgage.

Got questions? Get in touch with us today! We’re here to help you navigate your mortgage options and find the best solution for your needs.

In today’s property market, buying your dream home where you want to live can feel impossible. However there is a strategy called rentvesting that’s helping people get into the property market sooner while still living where they love.

What is Rentvesting?

Rentvesting is when you rent a home in a location that suits your lifestyle, like a trendy city suburb, while buying an investment property in a more affordable area. This way, you can still own property and start building wealth without having to sacrifice living in your favourite spot.

Why Rentvesting Makes Sense

1. Affordability: You can buy in a more affordable area while living where you want. This way, you’re not overextending yourself financially, and you can start building equity sooner.
2. Tax Perks: As a property investor, you can claim tax deductions on things like mortgage interest and property maintenance. This can help improve your financial position and make your investment more profitable.
3. Lifestyle Flexibility: Renting where you want to live gives you the flexibility to move if needed without the hassle of selling a home. Plus, you still get to live in that perfect spot you’ve always wanted.
4. Wealth Building: Over time, as your investment property grows in value, you can use the equity to invest further or improve your financial situation.

Getting Started with Rentvesting

Thinking rentvesting could work for you? The first step is to chat with a mortgage broker who can help you understand your options. They’ll assist in finding the right home loan and guide you through the process.

Is Rentvesting Right for You?

Rentvesting isn’t for everyone, but it’s definitely worth considering if you want to start investing in property without giving up your preferred lifestyle. With the help of a good mortgage broker, you can make an informed decision that sets you up for success.

Get in Touch with Us

If you’re ready to explore the benefits of rentvesting or need expert advice on home loans and property investment, get in touch with us. Our team is here to help you navigate the process and find the right strategy for your financial goals.

Investing in property is a dream for many Australians. Did you know you can use your superannuation to help make it happen? Let’s break down how this works and why it’s worth considering.

Can You Really Buy Property with Your Super?

Yes, you can! But there’s a catch—you need to set up a Self-Managed Super Fund (SMSF). An SMSF lets you control your super and invest in different assets, including property.

The Ups and Downs of Investing Super in Property

Upsides:

• Leverage: You can borrow within your SMSF, meaning you might be able to buy a more valuable property than you could with your super alone.
• Tax Perks: Super funds enjoy lower tax rates, which can make your investment even sweeter.
• Diversification: Adding property to your super portfolio can balance out risks and give you more security.

Downsides:

• Complexity: SMSFs and property investment rules are tricky, so you’ll need expert advice.
• Costs: Setting up and running an SMSF isn’t cheap, and borrowing costs can add up.
• Liquidity: Property isn’t easy to sell quickly, so it might not be the best choice if you need fast access to cash.

The Bottom Line

Using your super to buy property is a great way to grow your wealth, but it’s not without its challenges.

How a Mortgage Broker Can Help

Buying property through an SMSF isn’t as simple as getting a regular home loan. This is where a mortgage broker comes in. We can guide you through the process, help you find the right home loans, and make sure everything ticks the legal boxes. Get in touch with us today, and let’s start your journey towards property investment!

Did you know that changing how often you make your home loan repayments could save you thousands? Switching from monthly to fortnightly repayments is a simple change that can lead to paying off your home loan faster and saving thousands in interest.

Why Fortnightly Payments Work

Many people pay monthly on their home loan – they make 12 monthly payments each year. By switching to fortnightly payments, you make 26 smaller payments a year. This is like making one extra monthly payment annually, which helps you pay off your loan faster and reduces the interest you pay.

A Quick Example

Let’s say you have a $500,000 home loan at 6% interest over 30 years:

• Monthly Payments: You’d pay $2,998 a month, with a total interest cost of $579,190.
• Fortnightly Payments: You’d pay $1,499 every two weeks, reducing your total interest to $498,564.

That’s a potential saving of around $80,626 in interest!

How Does It Save You Money?

Interest on home loans is usually calculated daily. By making repayments more often, you reduce your loan balance faster, meaning less interest accumulates over time.

Should You Make the Switch?

If you want to save on your home loan and pay off your mortgage sooner, switching to fortnightly repayments is something to definitely consider and easy to do.

The Bottom Line

If you want to pay your home loan down faster, switching to fortnightly repayments is an easy way to do so. It can save you thousands of dollars and help you own your property sooner. If you'd like to explore your options further, get in touch with us today! We're here to help you make the best choices for your financial future.