Obtain Home Loan Pre-Approval

Find Your Home
Have the Home and Purchase Contract Checked Out
Sign Purchase Contract (subject to finance)
Obtain Formal Home Loan Approval
Conveyancing
Settlement – Welcome Home!

 1. Obtain Home Loan Pre-Approval

Do you know what home loan you can comfortably afford? Until you have this information it is not a good idea to go house hunting. You may be tempted to make a legally binding offer before fully understanding your borrowing capacity.

Getting your Home Loan Pre-Approval is simple. By completing the Online form, you will know the loan amount you can qualify for. This will help you determine you purchase price.

Home Loan Pre-Approval differs from a Formal Mortgage Approval. It is just an indication of the home loan you should be able to qualify for, based on the information you have provided. As this approval is not formal, you should not sign any unconditional purchase contracts based on it. It is to be used as guide only.

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2. Find Your Home

Armed with your pre-approval you can now formulate a purchase price. This in turn will help in narrowing down the list of suburbs and property types that are suitable candidates. Do not worry if your search is taking longer than you expected. All good things are rare and demand generally exceeds supply. You will get there.

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3. Have the Home and Purchase Contract Checked Out

It is a good idea to have the purchase contract checked out by a solicitor to ensure that there are no hidden clauses or unforeseen surprises within the property title. The purchased property should be checked out by a building specialist to ensure that it is structurally sound. “Archicentre” offers architectural services to home buyers, new home builders and renovators. They can offer you a written report on the property you are interested in.

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4. Sign Purchase Contract (subject to finance)

Even if you have already been pre-approved for a home loan, it is important to sign the purchase contract “subject to finance” for 7 days. This will give us the opportunity to have the property formally valued, collect supporting documents and issue a formal approval.

Property sold at auctions is sold unconditionally. “Subject to finance” clause can only be used with private sales. Hence, unless formal approval has been received you will not be able to buy your home at an auction. Generally at the time of signing a purchase contract you will be required to pay a deposit to the vendor. If you do not have a deposit, a deposit bond can be arranged in anticipation of the funds to be available at settlement.

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5. Obtain Formal Home Loan Approval

Formal approval should only take 5-7 days. This is the process of collecting all supporting documents for your loan and having the purchase property valued. Once your approval is unconditional – you are very close to home ownership.

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6. Conveyancing

Conveyancing is the process of taking your purchase through to settlement. Generally you will need to employ a solicitor or professional conveyancer to assist with this process. They will liase for you with the vendor’s solicitors, public authorities, and will arrange that all the required paperwork, notices and transfers are completed on time. They will also schedule the property settlement.

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7. Settlement – Welcome Home!

Settlement is when you become the actual property owner. The vendor is paid out the balance of the purchase price and you receive the keys to your now home. Congratulations!!!

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