Lending Association

First home buyers

Start your home buying journey with Lending Association by your side.

Buying your first home is an exciting and monumental moment. It can definitely
come with a touch of uncertainty if you’re unsure where to start.

With over a decade of experience helping first home buyers in Australia, we take
pride in providing expert guidance, tailored loan solutions and a supportive hand
to guide you through every step of the process.

Whether you’re just starting to explore the idea of buying a home or ready to
take the plunge, Lending Association are here to open doors, simplify the
complexities and turn your vision of owning a home into a reality.

The home loan checklist

Identification
Proof of income
Expenses
Assets and liabilitiesx

Identification

Proof of income

Expenses​

Assets and liabilitiesx

Your finance options as a first home buyer

Buying your first home can be overwhelming especially with
the variety of options available to suit the diverse needs of
home buyers. Our expert mortgage brokers have helped
thousands of first home buyers across Australia guiding
them through the process to secure their dream home.

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Fixed rate loan
Opting for a fixed rate loan allows you to lock in a set interest rate for a predetermined period, usually between one to five years. This provides stability in repayments, shielding you from interest rate fluctuations during the fixed term

Guarantor loan
Guarantor loans involve a third arty, typically a family member, using their property or equity as a security for your home loan. This can help first home buyers enter the market with a smaller deposit.

Principal and interest
Principal and interest loans involve regular repayments that cover both the principal amount borrowed and the interest accrued.

Interest only
With an interest-only loan, borrowers pay only the interest on the loan for a specified period. After this period, repayments switch to principal and interest.

Variable rate loans have interest rates that can fluctuate based on changes in the cash rate set by the Reserve Bank of Australia (RBA). This flexibility means your repayments may vary, providing potential advantages during periods of lower interest rates.

 

Opting for a fixed rate loan allows you to lock in a set interest rate for a predetermined period, usually between one to five years. This provides stability in repayments, shielding you from interest rate fluctuations during the fixed term.

Guarantor loans involve a third arty, typically a family member, using their property or equity as a security for your home loan. This can help first home buyers enter the market with a smaller deposit.

 

Principal and interest loans involve regular repayments that cover both the principal amount borrowed and the interest accrued.

 

With an interest-only loan, borrowers pay only the interest on the loan for a specified period. After this period, repayments switch to principal and interest.

 

Moving into my first home has completely turned everything around, and I feel like I’m in a really good position now, thanks to the team.
– Sophi

First home buyer FAQs

Lenders Mortgage Insurance (LMI) is a one-off insurance payment that you make to the lender in addition to your home loan. LMI protects the lender in the event that you default on your home loan. 

The amount you can borrow is influenced by a variety of factors such as your income, expenses, assets etc. Check out our Borrowing capacity calculator for a rough estimate of how much you can borrow, and our mortgage experts can help determine a suitable amount based on your situation.

Your borrowing power can be impacted by:

  • Your deposit amount 
  • Assets
  • Expenses
  • Existing debt 
  • Income 

Under the First Home Buyers Assistance Scheme, first home buyers purchasing a property valued up to $800,000, can avoid paying stamp duty. 

The first home buyers grant is a $10,000 grant given to buyers to build their first new home. It applies to a home that is newly built, purchased off the plan or considerably renovated.

The first home guarantee allows first home buyers to purchase a home with a deposit as low as 5% and therefore avoiding the need to pay lenders mortgage insurance (LMI).

As a first home buyer, you can purchase a home with a deposit ranging from 5% – 20% of the property’s value. 

Yes you can purchase a house with a 5% deposit under the first home guarantee scheme.

Yes, obtaining a pre-approval strengthens your offer and helps you understand your budget when attending open homes and auctions. Our mortgage brokers will help you understand your borrowing capacity, evaluate current rates on the market and guide you through the pre-approval process.

Pre-approval is an agreement by a lender indicating your eligibility to apply for a home loan up to a certain amount. It’s an essential step that provides you with confidence and clarity as you embark on your home buying journey. Some of the benefits include:

  • House hunt with confidence as you will have a clear understanding of your budget to make informed decisions.
  • Negotiating power as sellers see you as a serious and qualified buyer.
  • Streamlined process, speeding up the mortgage process.

Are you ready to secure
your dream home?

Testimonials

What our clients say about us

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