Frequently asked questions

Work out your monthly saving and divide your switching costs by that figure to find your break-even point. If you plan to keep the loan well past that point, it often makes sense, though everyone's situation differs.

Costs can include a discharge fee from your old lender, settlement fees and a new loan setup fee, which together often add up to roughly a thousand dollars or more. The exact amount depends on your lenders and loan, so it is worth checking before you switch.

You can, but leaving a fixed rate early may trigger a break cost, which can be significant. It is a good idea to ask your lender or broker for that figure before making a decision.

No. Pre-approval is conditional and is not a final yes. The lender still needs to check the specific property and confirm your details before giving unconditional approval.

It is often around three months, though this varies by lender. If your search takes longer, it can usually be renewed after a fresh look at your finances.

A pre-approval can involve a credit check, and multiple applications in a short time may show on your file. A broker can help you apply sensibly so you avoid unnecessary checks.

Sometimes the deposit can come from equity in your existing home instead of cash savings. You still need enough income and to pass the lender's checks, so it is best to confirm your situation with a broker first.

Neither is automatically better. Interest-only can ease cash flow now but usually costs more interest over time, so the right choice depends on your goals and your accountant's tax advice.

Borrowing against your home means it is used as security, so it is important to make sure the repayments fit your budget. A broker can help you understand the numbers before you decide anything.

Many lenders prefer to see about two years of self-employed income through tax returns. Some may consider less time, especially if you worked in the same field before, but the rules vary by lender.

It can be possible with certain lenders or through a low-doc loan, often using BAS or an accountant's letter. The options and conditions differ, so it's worth checking your specific situation.

Standard loans for self-employed people can be priced the same as for employees if you meet normal criteria. Low-doc loans sometimes carry a higher rate or need a larger deposit, so it depends on the loan type.

Neither is automatically better. They both cut interest, so the right one depends on how you like to access your money and your own tax situation, which your accountant can help with.

It does not earn interest like a savings account. Instead it lowers the interest you pay on your loan, which can work out similar or better depending on the numbers.

Some loans offer both features, but it varies by lender and product. It is worth checking the details of any loan before you decide.

It depends on the lender and your situation. A 20% deposit avoids LMI, but some buyers can purchase with as little as 5% through eligible government schemes. A broker can help you check what fits.

Sometimes. Eligible buyers using a government guarantee scheme may avoid LMI even with a small deposit. Eligibility and place limits apply, so it is worth checking before you buy.

It is not required, but it helps. Pre-approval gives you a clearer budget and shows sellers you are serious, which can make the process smoother. It is general guidance, not a guarantee of final approval.

It varies for every buyer and lender, but many people move from their first chat to settlement over a few months. Having your documents ready early can help keep things on track.

No. Pre-approval is a strong indication, not a final yes, and it usually comes with conditions and a time limit. Formal approval still depends on the property valuation and your final checks.

You are not required to use one, but a broker can compare lenders, explain each step and help manage the paperwork. This general information is not personal advice, so it is worth discussing your own situation.

No. LMI protects the lender, not you. It does not cover your repayments, and it is not the same as home insurance or income protection.

Many lenders let you add the LMI cost on top of your loan rather than paying it upfront. This can increase your loan size and the interest you pay over time, so it is worth discussing your options.

Often, but not always. Some schemes, guarantor arrangements or lender offers can reduce or remove it. Eligibility rules apply, so it helps to check your specific situation.

Neither is better on its own. The right choice depends on your budget, your plans, and how comfortable you are with repayments that can change, so it is worth comparing both for your situation.

Many fixed loans limit how much extra you can pay each year, and some charge fees for going over. If making large extra repayments matters to you, a variable or split loan may offer more room.

When a fixed term finishes, the loan usually rolls onto a variable rate unless you arrange something else. It is a good time to review your loan and check it still suits you.

No. Many lenders accept smaller deposits, though under 20% usually means paying LMI. Government low-deposit schemes can let eligible buyers avoid LMI with as little as 5%.

Often yes. Many lenders accept gifted funds, sometimes with a letter confirming the money is a gift and not a loan. Rules vary between lenders, so it is worth checking your situation.

It is wise to budget for costs like stamp duty, conveyancing, inspections, and loan fees, plus a small buffer for surprises. The exact amount depends on the property and your eligibility for any concessions.

Eligible first home buyers in NSW often pay reduced or no stamp duty up to certain price limits. The exact limits change over time, so check the current rules at Revenue NSW.

Some buyers borrow a little extra to help cover costs like stamp duty, depending on their deposit and lender. A broker can talk through whether this is an option for your situation.

Revenue NSW publishes the current rates and an online calculator for transfer duty. It is the most reliable place to check before you make an offer.

It can be, if the savings beat the switching costs over time. We do the maths with you so the decision is clear.

Lenders usually let you borrow up to 80% of your home's value without LMI. The gap between that and what you owe is your usable equity.

Often, through a lower rate or a fresh term. A longer term lowers the monthly cost but can add interest over time, so we talk through the trade-off.

Lenders test you at a buffer rate, usually about 3% above the real rate, so the assessed amount is lower than today's rate alone suggests.

Yes. Lenders count your credit card limit, not just the balance, so a high unused limit can reduce your borrowing power.

Each lender uses its own rules to assess income, expenses and debts, so the same person can be offered quite different amounts.

On a variable loan, your lender usually updates your repayment within a month or two of a rate change. On a fixed loan, your repayment stays the same until your fixed period ends.

On a variable loan it often can, though the timing and amount depend on your lender. Some people keep paying the same amount so more goes towards the balance.

It depends on your goals, your budget and how much certainty you want. There is no single right answer, so it helps to compare your options before deciding.

It depends on current NSW rules, the property and your circumstances. We explain what may apply and point you to the official sources to confirm.

Some government schemes let eligible buyers purchase with as little as a 5% deposit. We will give you a realistic figure for your situation.

Revenue NSW for the First Home Owner Grant and stamp duty, and Housing Australia for the low-deposit guarantee schemes.

Usually nothing, because brokers are generally paid by the lender when your loan settles. If a fee ever applies, a good broker tells you first.

Often, because a broker compares many lenders rather than offering just one bank's products. The result depends on your situation.

If your situation is very simple and you enjoy comparing loans yourself, you can go direct. A broker mainly saves you time and widens your choice.