Equity is the price of your home subtracted by the amount you still owe the bank. For example, if your price is worth $700,000, and you have $350,000 to pay off on your loan, your equity is $350,000 ($700,000 - $350,000).

A grant is a non-repayable fund given by a particular party, often a nonprofit organisation or government institution. They can help you boost your deposit to buy property sooner.

There are benefits to both renting or buying a home. Renting offers flexibility to relocate and frees up your savings. Buying provides stability and helps you build forced savings and equity. As your broker we can help navigate this decision with you by looking at your financial situation and dreams for the future.

Chicken and the egg! Timing will play a big part in this decision and there are pros and cons either way. It's best to get advice from a professional. Call us to chat about your options.

A deposit bond is a document that promises the seller that the deposit will be exchanged during settlement rather than the contract exchange. A company will cover the deposit cost, leaving the buyer to pay back the company, generally when their property has sold. This is a good alternative to a short-term credit.

A redraw facility is attached to your home loan and acts as a place for you to store your savings you're planning to use to pay off your mortgage. The benefit? It has the ability to save you interest on your home loan.

It depends on several factors, including your current income and the amount you have saved. To get an estimated result you can use our borrowing power calculator or give us a call.

Genuine savings are funds that you have saved over a certain period of time (typically 3 months) as opposed to money that has been gifted to you or borrowed from another source. When buying a property with a low deposit, most banks will want to see that you have the ability to save funds yourself.

An offset account is a transaction account linked to your home loan where you are free to make deposits or withdrawals at any time. There can be benefits to holding money in that account as it might help reduce the amount of interest charged on your loan. Give us a call to chat through any questions.

Each interest rate depends on loan type, repayment plan and several other factors. This means a good interest rate for you may not be a good interest rate for someone else. Speak with us to find out which loan type, repayment plan and lender will give you a competitive interest rate for your needs.

As the name suggests, you only pay the interest on the principal balance for a set term, with the principal balance unchanged.

When you approach a bank for a loan, remember that they’re focused on selling their own products, whether or not they truly meet your needs. They can’t offer you alternatives beyond what’s on their shelves. But as your broker, I’m here to act in your best interest, not the bank's. I have access to a wide range of loan products from various lenders, and I’m legally bound by the Best Interests Duty (BID) to find the one that fits you best. This means I compare multiple options, taking your unique financial goals into account, and tailor my recommendations to ensure you get the most suitable and beneficial loan available. Unlike banks, I’m committed to prioritizing your needs over profits, giving you the confidence that you’re getting the right loan, not just a convenient one.

A bridging loan helps you purchase a new home whilst you wait for a buyer to purchase your current one. The loan works by covering the cost of your new property with the idea that this debt will be paid off when your old property sells.

Best Interest Duty (BID) is a legal duty that means your mortgage broker is legally required to act in your best interest. This duty does not apply to banks. It is yet another reason to work with a broker over a bank.

A mortgage broker (like me) helps borrowers (like you) find a loan that is well suited to their needs. Mortgage brokers have access to a range of products and lenders, giving their clients more choice than going directly to a bank or lender. They also work with borrowers throughout the duration of their loan, to help them save money in the long term as the market and personal situations change. 

Lenders Mortgage Insurance (LMI) is an additional fee that protects the lender—not you—in case you’re unable to repay your loan. It’s typically required when your loan poses a higher risk to the bank, which usually happens when you’re borrowing more than 80% of the property’s purchase price. In this scenario, the lender sees your loan as riskier because you have less equity in the property, so LMI is used to cover their potential losses if you default on the loan. Although it’s a cost to you, it provides the bank with financial security, allowing them to lend to borrowers with smaller deposits.

A conditional pre-approval is an indication from a lender that you’re eligible to apply for a home loan up to a certain limit. It is important to be aware you’re under no obligation to take the loan, and the lender has no obligation to lend you that amount. Depending on the lender, further conditions will have to be met including verification of the information you have provided and confirmation on the suitability of the property prior to formal approval being issued.

Stamp duty is a state government tax (including transfer and mortgage duty, mortgage registration and transfer fees) on your property. How much you have to shell out depends on which state you live in and the price of your property. Some buyers will get exemptions on this tax - i.e. if you're buying your first home within the state-based property caps. Use our stamp duty calculator to find out an estimate of how much it would cost and get in touch with any questions.

With access to over 60 lenders, we have a wide range of options to find the perfect loan for you. I start by getting to know your specific wants and needs, which helps me narrow down the choices to those that truly fit your situation. I’ll then present you with the best options, clearly outlining the pros and cons of each, so you can make an informed decision. Together, we’ll select the loan that best aligns with your financial goals, ensuring you’re confident and satisfied with the choice we make.

Both offset and redraw accounts can help you save on interest for your home loan, but they differ significantly in terms of flexibility and access. An offset account is like a regular transaction account linked to your mortgage, allowing you to withdraw money at ATMs, make purchases with a debit card, and manage your finances with ease. The balance in this account offsets your loan balance, reducing the interest you pay. On the other hand, a redraw facility lets you deposit extra payments directly into your mortgage, effectively storing those funds within the loan itself. While this can reduce your interest costs, accessing the money is more restrictive, typically requiring you to apply for a withdrawal rather than having instant access like you would with an offset account.

The main difference between a fixed-rate home loan and a variable-rate home loan lies in how the interest rate and repayments are managed. With a variable-rate loan, the interest rate can change over time based on market conditions, offering flexibility but also the potential for rate increases or decreases. In contrast, a fixed-rate loan locks in your interest rate for a set period, giving you predictability and stability with your repayments during that time. Each option has its own benefits and drawbacks, which our brokers can help you navigate. If you’d like to explore which is better suited to your needs, give us a call—we’re here to guide you through the decision.

Refinancing your mortgage means swapping out your current loan with a new loan from a different lender. In essence, you pay off your old mortgage with the new one. Generally this is done to secure a lower interest rate or different loan features that weren’t available with the original loan.

Absolutely! You can use your existing home to buy your investment without needing to dive into your savings. This equity can be used for various different reasons, such as a deposit, bonds, renovations or to take out a line of credit.

It depends! Determining if buying an investment property is right for you involves assessing several factors. Start by asking yourself if you can comfortably afford it, both in terms of upfront costs and ongoing expenses. Consider what you aim to achieve with the property and how it aligns with your long and short-term goals. While property investment can be a powerful way to grow your wealth, it requires careful planning and consideration. It's also crucial to discuss your plans with a financial planner or accountant to ensure it fits well with your overall financial strategy and goals.

Choosing the right investment strategy involves more than just understanding terms like ‘negative gearing’ and ‘cash flow strategy’. It’s about aligning the strategy with your personal financial situation and goals. Consider how long you plan to hold the investment property, how much capital you’re ready to invest upfront, and what your broader financial objectives are. These factors will guide you in selecting a strategy that best fits your needs and maximizes your returns. At Her Finance, we can help you navigate these choices and develop a plan tailored to your unique circumstances. Give us a call to explore the best investment strategy for you.

The ideal loan should maximise your goals for cash-flow and capital growth. One of the first considerations for your loan is will it have a fixed or variable interest rate? And if you want interest only for tax deductibility purposes. Different lenders also play a part as they all offer different loan options. Talking to a broker about finding the right loan with the right features could save you both time and money. We can also set you up with a financial planner or tax advisor to help with these decisions.

A professional LMI (Lenders Mortgage Insurance) waiver allows certain professionals to avoid paying LMI, which is usually required for loans with high loan-to-value ratios. This waiver is often available to individuals in professions such as doctors, lawyers, or accountants, who have a strong financial standing. To qualify, you typically need to meet specific income or employment criteria set by the lender. We can help you determine if you're eligible.

A guarantor loan involves a third party (the guarantor) who agrees to take responsibility for the loan if the primary borrower fails to make repayments. This can help borrowers secure a loan they might not otherwise qualify for, often due to a lack of sufficient deposit or poor credit history. The guarantor provides additional security to the lender, which can sometimes result in better loan terms for the borrower. This might be your parents or an immediate family member. Plus there are some private companies who can do a similar thing.

The main risk of having a guarantor is that if you default on the loan, the guarantor becomes responsible for repaying the debt. This can strain personal relationships and put the guarantor’s finances at risk. It’s crucial to have a clear understanding and agreement with the guarantor before proceeding with this arrangement.