Home loan approvals in Australia rose in November mainly due to first home buyer demand. Thanks to extensive rate cutting by the central bank and the government's recent increase in the First Home Owners Grant, first home buyers have made a welcome return to the market.
According to Bloomberg, the number of loans granted to build or buy homes and apartments increased 1.3 percent to 49,192 from October, when they advanced a revised 1.4 percent, the statistics bureau said in Sydney today.
There is now great speculation that the six year low interest rate of 4.25% and the increased benefits to the FHOG will stoke the demand for housing this year. Let's wait and see.
If you are a first time buyer thinking about making the step into property ownership, make sure you get the best information in order to choose the right loan for you.
Be an informed borrower with the Good Loan Guide.
Showing posts with label home loan help. Show all posts
Showing posts with label home loan help. Show all posts
Thursday, January 15, 2009
Wednesday, October 29, 2008
First Home Owners Grant has Increased
The Australian Government has recently announced that the first home owners grant will be increased.
The boost to the grant for first home buyers will be as follows:
1. First home buyers who purchase established homes will receive a boost of $7000 that will double the grant to $14,000
2. First home buyers who build a new home or purchase a newly constructed home will receive an extra $14,000 to take their grant to $21,000.
If you are a first home buyer in Australia then now could be the time jump into the market.
As the home loan market can be a daunting place, if you are looking for more information on home loans and selecting the best home for you visit www.goodloanguide.net to find out more.
The boost to the grant for first home buyers will be as follows:
1. First home buyers who purchase established homes will receive a boost of $7000 that will double the grant to $14,000
2. First home buyers who build a new home or purchase a newly constructed home will receive an extra $14,000 to take their grant to $21,000.
If you are a first home buyer in Australia then now could be the time jump into the market.
As the home loan market can be a daunting place, if you are looking for more information on home loans and selecting the best home for you visit www.goodloanguide.net to find out more.
Saturday, February 2, 2008
Have you missed Australia's property boom?
Source: Your Mortgage Magazine
The rapid growth of property prices over the past two years may be coming to an end, according to a leading property expert.
Tim Lawless, RP Data national residential research director, predicted that the strong run in Australia's property markets is likely to peak during the first half of 2008 amid higher interest rates, tightening credit markets and the gloomy outlook for the global economy.
Lawless noted that one of the most standout periods in the history of the Australian property market was when value growth reached 12.5% nationally during the year ending November 2007 -almost double that of the same period in 2006.
"We'll see multiple factors impacting on the market as we travel through 2008," said Lawless. "These include a lift in cash rates underpinned by inflation, banks acting independent of the RBA to lift rates based on rising credit costs, and the threat the sub-prime crisis has had on the overall US economy - particularly its share market."
Lawless said that based on these issues, the expected peak in the first half of 2008 is likely to see growth rates slow down to around 15%. However, he said he does not think a crash is likely.
"It's rare for a property market to crash. Rather, growth is typically controlled. We see no reason why this wouldn't be the case during this cycle also. This merely means that national growth in property values will taper back to more sustainable levels during the second half of 2008."
Lawless also predicted that by the end of 2008, the property markets will slow further to between 9% and 10% nationally.
If you are thinking about taking out a home loan to step up the property ladder, check out www.goodloanguide.net to kae sure you are an informed borrower.
The rapid growth of property prices over the past two years may be coming to an end, according to a leading property expert.
Tim Lawless, RP Data national residential research director, predicted that the strong run in Australia's property markets is likely to peak during the first half of 2008 amid higher interest rates, tightening credit markets and the gloomy outlook for the global economy.
Lawless noted that one of the most standout periods in the history of the Australian property market was when value growth reached 12.5% nationally during the year ending November 2007 -almost double that of the same period in 2006.
"We'll see multiple factors impacting on the market as we travel through 2008," said Lawless. "These include a lift in cash rates underpinned by inflation, banks acting independent of the RBA to lift rates based on rising credit costs, and the threat the sub-prime crisis has had on the overall US economy - particularly its share market."
Lawless said that based on these issues, the expected peak in the first half of 2008 is likely to see growth rates slow down to around 15%. However, he said he does not think a crash is likely.
"It's rare for a property market to crash. Rather, growth is typically controlled. We see no reason why this wouldn't be the case during this cycle also. This merely means that national growth in property values will taper back to more sustainable levels during the second half of 2008."
Lawless also predicted that by the end of 2008, the property markets will slow further to between 9% and 10% nationally.
If you are thinking about taking out a home loan to step up the property ladder, check out www.goodloanguide.net to kae sure you are an informed borrower.
Friday, December 28, 2007
Fixed home loans soar to an all-time high in November
Original Article: Your Mortgage Magazine
Australian households have taken out a record number of fixed rate loans in November in anticipation of further rate hikes in the year ahead, according to recent data from AFG.
More than one in four borrowers (27.3%) opted for fixed rate loans - the highest level AFG has recorded in the three years it has been running the survey.
Mark Hewitt, general manager of sales and operations at AFG, said anxiety over future rate hikes and the continued fallout from the US credit crisis has prompted borrowers to seek the security of fixed mortgages over the flexibility of variable loans.
The average mortgage size has also hit an all-time high of $333,000 amid rising property prices across the country. The number of property investors continued to grow, now accounting to more than a third (32.5%) of all home loans sold.
For borrowers who are thinking of fixing their mortgages, it may be too late, according to experts. "Future interest rate increases have already been factored into fixed rates, thereby making them relatively expensive," said Sebastian Farini, general manager, Austral Credit Union.
Harley Dale, chief economist, Housing Industry Assocation, agreed: "In a rising interest rate environment it's worth considering fixing part of a mortgage and this option should certainly be looked at. However, expectations of future increases in mortgage rates may already be priced in. A fixed rate isn't for everybody, as fixed rate loans have less flexibility and fewer features than variable loans. Fixed rate loans are also harder to pay out early as there are generally penalties incurred."
For all you need to know about organising a home loan visit www.goodloanguide.net
Australian households have taken out a record number of fixed rate loans in November in anticipation of further rate hikes in the year ahead, according to recent data from AFG.
More than one in four borrowers (27.3%) opted for fixed rate loans - the highest level AFG has recorded in the three years it has been running the survey.
Mark Hewitt, general manager of sales and operations at AFG, said anxiety over future rate hikes and the continued fallout from the US credit crisis has prompted borrowers to seek the security of fixed mortgages over the flexibility of variable loans.
The average mortgage size has also hit an all-time high of $333,000 amid rising property prices across the country. The number of property investors continued to grow, now accounting to more than a third (32.5%) of all home loans sold.
For borrowers who are thinking of fixing their mortgages, it may be too late, according to experts. "Future interest rate increases have already been factored into fixed rates, thereby making them relatively expensive," said Sebastian Farini, general manager, Austral Credit Union.
Harley Dale, chief economist, Housing Industry Assocation, agreed: "In a rising interest rate environment it's worth considering fixing part of a mortgage and this option should certainly be looked at. However, expectations of future increases in mortgage rates may already be priced in. A fixed rate isn't for everybody, as fixed rate loans have less flexibility and fewer features than variable loans. Fixed rate loans are also harder to pay out early as there are generally penalties incurred."
For all you need to know about organising a home loan visit www.goodloanguide.net
Sunday, April 1, 2007
Home Loans Made Easy
Are you thinking about applying for a home loan but don't know where to start??
Are you thinking about applying for a home loan but can't find good quality information??
As a former banker and mortgage broker, too often my clients came to me wanting to apply for a home loan, but many had no idea where to start and even less knowledge of what was involved.
They needed someone to give them good quality information and to hold their hand through the entire process, but couldn’t get this information quickly and easily from the market place.
I knew something needed to be done to educate my clients and to give them easy access to the information they deserved, so using real life situations and drawing on my experience from many years in the finance industry I developed the Good Loan Guide.
As purchasing your home is the biggest financial decision you will ever make, and as there is a lot to learn about the home loan process you need to make sure that you have all the necessary information before embarking on the journey.
I have decided to create this blog help others who are looking for a loan but can't gain access to good quality information.
It will also feature tips and tricks to help you make the most out of your home loan.
Of course, if you like the information on my blog you can access the good loan guide by visiting http://www.goodloanguide.net
Bonus Home Loan Tip #1
Make the most of rate fallsIf your monthly repayment decreases because interest rates have fallen, try to maintain the old repayment levels. This means that you will pay off more of the principle with each repayment, reduce the term of your loan and the total amount of interest paid.
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