Guest Mark & Hannah

Buying property

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    Guest Mark & Hannah

    Hi

     

    I know this is a really general question but my partner and I are (fingers crossed) going to be in South Australia about Dec this year. We are just filling in our SA sponsorship application.

     

    Does any body know how easy/hard it is to secure a mortgage when you first move to Australia? Do you need to have been working in Australia for a period of time first to build up a credit rating?

     

    We know we will have to rent when we first get over there so we can explore and decide where we want to settle down but we don't really want to be renting for longer than is necessary?!

     

    Any Ideas?

     

    Thanks

    Hannah & Mark

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    Guest Oros

    hi!

    We are new to the forum - I will pm Andrew, but would like to hear from other forum users too....

    We hope to buy a house, about 20mins out of the city, if possible a larger plot (van be old or newer house), wejust want space and somewhere quiet and even remote.

    1) How difficult is it to get a mortgage say after 6 months in Oz?

    2) What amount can we expect to borrow for the following salaries:

    $70 000(one salary), $125 000(2 salraies) and $170 000(2 salaries) p/a (...it all depends if both find jobs and the type of job, full time, part time and occupation).

    3) What deposit is normally needed and what other costs can we expect?

     

    Thanks for helping

     

    Oros and fam (wife, 3 children)

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    Guest Gee

    Hi Liz and Kris... new to this site.. thinking about moving from Northern Ireland sometime in the future!! Like the sound of the place that you are living, is it good for families? We have a boy 17 months.. Any more info would be appreciated!

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    Hi Mark & Hannah

     

    Securing a mortgage in Australia can be quite straight forward but it will depend on individual circumstances.

     

    I have secured mortgages in the past for people who have only been in there job for 3 weeks and also that had not even started work here yet but had a contract in place.

     

    There was of course strong factors in the above scenarios, for example large deposits were laid down and/or the industry that they were working in here was the same industry they worked in for years in the UK.

     

    Oros, thanks for the PM, I will reply to you with details soon. Every lender has a different method of working out how much they will lend you. They differ greatly, for example 2 adults no children earning $50,000 each could borrow from $420,000 to $740,000 depending on lender!!

     

    So quite extreme in cases as you can see.

     

    I have to admit that lenders are tightening there belts a lot at the moment 100% borrowing cases have pretty much disappeared off the shelves and the loan to value ratio (LVR) reduced to 95% with some Banks now only offering 90%. 100% cases can still be achieved but only in very strong circumstances.

     

    Anyway for more information feel free to PM me.

     

    Regards

     

    Andy

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    Guest guest569

    A letter from my employer and a 20% deposit got me a mortgage and i had only been working for the company a fortnight.:jiggy:

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    Hi Oros.

     

    So just to give you an idea of borrowings for 2 Adults 3 Children.

     

    $70k single salary = approx between $168k - $ 330k.

     

    $125k joint salaries = approx between $400k - $600k.

     

    $170 joint salaries = approx between $640k - $970k.

     

    Costs to buy are higher here than UK.

     

    For $400k property allow about $20k for stamp duty etc.

     

    For $250k property allow around $11k.

     

    If you are a Perm res you may be eligible to the First Home owner Grants etc. currently the Grant is $21k for a new home/build and $14k for established.

     

    There is also an extra $4k bonus grant on offer if the property is under $400k and this reduces gradually cutting out completely when the property is over $450k

     

    The Grant is normally $7k but has been boosted to try to stimulate the market. This has actually happened and the biggest category of buyers now are First Home buyers. The boosted amount is due to end by July.

     

    Personally I believe that this will be extended as the government will want to try and keep the market moving.

     

    You will now need a 5% deposit minimum however if you deposit less than 20% you will have to pay the Lenders Mortgage Insurance in addition.

     

    Hope this helps.

     

    Andy

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