Home Loan Pre-Approval

Free of cost. Banks don’t charge for a pre-approval loan.

Usually for 90 days but this can usually be extended by the same bank.

Pre-approval gives you confidence that a bank is happy with your current situation and the loan you are seeking. When attending an auction or buying a property, agents will often ask if you already have pre-approval. If you do, they will see this as a sign of great client to work with in the property sales process.

It all depends on your individual situation. If you are looking to purchase an investment property or reduce your cash flow, then Interest Only is a good option. If you are keen to pay off the mortgage or it’s a home you are looking to live in, principal and interest can be a great way to get ahead and build equity.

Fixed loans lock your interest rate for a period of time, usually for 1-5 years. Depending on economic conditions, fixed rates could be cheaper or more expensive than the variable rate. Fixed rates give you certainty, where variable rates give you greater flexibility for things like offset accounts and even selling off your property. The risk with variable rates is that you may have rates increase or decrease at any given time which affects your home loan repayment.

An offset account allows you to save money in a bank account and save on paying your home loan interest. It’s often a very effective way to accelerate your home loan whilst having access to your funds. Banks that offer offset accounts usually have fees attached to this so it’s important to review each lender's terms and conditions.