A tip for First Home Buyers

We often see comments online from prospective first home buyers who are eager to purchase their first property but are unsure if they would be able to afford a home loan based on their financial position and credit history.

Often these clients aren’t quite in the position to purchase their first home, but it doesn’t mean they’re not on their way. We always recommend speaking with a mortgage adviser just to get an idea of what you could potentially borrow and what the steps you’d need to take are to get there.

It’s common for our clients to take time to get purchase ready, paying down debt, improving their bank account conduct and growing their savings.

Here’s a success story from a recent client of ours.

Client example:

We recently helped a lovely family into their first home.

The couple approached us a couple years ago, with the goal to purchase their first home. At the time, they had short-term debt along and some credit history issues and poor account conduct. Unfortunately, this meant it wasn’t quite the right time to purchase a property for them, especially while the interest rates were at their peak.

We prepared some rough figures of what the couple could achieve having put in the work to ensure they were putting in their best foot forward in the eyes of the lender.

The clients were super determined to make their dream happen, so they went away and spent the next year paying down their existing debt and growing their deposit until it was time to reassess their financial situation.

Sure enough, their hard work had paid off and they were able to secure a home loan pre-approval. After some house shopping, they decided to put an offer on a property within their budget. Their offer was quickly accepted and a month later they were moving into their new home!