first home buyers
Applying for a home loan
As we keep mentioning, where possible always get your finance pre-approved before you go searching for your house. While this may not be critical it certainly is advisable.
If you make an offer on a house before you arrange your finance always make sure you put a clause in the offer 'subject to satisfactory finance approval', generally you should allow 5-10 days (subject to lenders turnaround times) for this clause to be satisfied. When applying for a home loan there are a number of steps that will occur, which are shown below in a chart that will take the mystery out of the process.
Event |
Timing |
|---|---|
| Application of pre-approval completed with mortgage adviser | As required |
| Pre-approval received from lender | 72 hours (subject to lenders turnaround times) |
| Offer made on a property | As required |
| Conditions of approval met | Borrower to provide to adviser ASAP |
| Is a valuation report required? | As required |
| All conditions to lender for unconditional letter of offer | As soon as possible |
| Letter of offer sent back to lender and documents to solicitor or bank branch for signing | Adviser to send to lender immediately |
| Mortgage documents produced and sent to clients solicitor for signing | Within 72 hours of letter of offer being sent back to lender |
| Borrower executes Mortgage documents | As booked with solicitor |
| Settlement occurs and you move into house | As per Sale and Purchase agreement |
| Ongoing mortgage review with Beyond Mortgages | Anniversary of fixed rate term |
