Get the right advice, the first time round.

Getting your first home loan structured right and inline with your financial goals is imperative.  The right structure will save you more money over time compared with a few percentage points in interest rate. 

We don't approach setting up a first home loan as a once-off transaction like the banks do.  We're not trying to sell you a specific product either. Instead, we educate you and get you to consider your financial goals now and in the future; introducing you to ideas you may not have considered.

Having an experienced broker on your team will help you navigate the complexities in the home loan market and make choosing the right loan so much easier.

Things you should know

  • Maximum Loan to Value Ratio (LVR) without Lenders Mortgage Insurance (LMI) is 85%

  • Maximum LVR inclusive of LMI is 95% with most lenders, however, we have major lenders currently offering up to 98% inclusive of LMI.

  • Genuine Savings - required when LVR exceeds 90%.  Lenders want to see 5% of the purchase price saved in your own account for minimum 3 months.  These funds can be gifted as long as they are held in your own account for at least 3 months.

  • Lenders Mortgage Insurance (LMI) can be waived by using a Limited Guarantee / Family Pledge loan structure or if you fall into the category of a professional home loan.

  • LMI waiver is available for specific professions up to 90% LVR.  These include solicitors, barristers, medical practitioners, dentists, vets and some other professions.

Loan Types

There are two types of home loans on todays market.  Which is right for you will depend on many factors including how you spend your money, whether you need an offset account, the future of interest rates, whether the property may become an investment; just to name a few.

  • Basic Home Loan - as the name suggests, a basic home loan without the frills.  Usually attracts a slightly higher rate than an offset home loan but usually has nil ongoing fees.  Basic loans do not usually offer interest rate discounts off the lenders standard variable rate (SVR), instead they just go off an advertised "headline" rate.  Basic loans don't offer linked 100% offset accounts and instead have loan redraw for any additional repayments made. Usually economical for a loan amount of <$200,000 where an individual doesn't have a need for 100% offset and can use free redraw.

  • Offset Home Loans - rates can be lower or higher than basic loans, this dependants on the market at the time. Offset loans usually include a discount off the lenders SVR (built in for life), a linked 100% Offset Account and sometimes a fee-free credit card (this is becoming a rarer feature). Offset home loans usually attract an annual package fee that range between $248 - $395 p.a. or a $10 monthly fee. These loan types are generally more economical for loans >$250,000 because of the interest offset benefits and at times, lower rates outweigh the annual or monthly fees.


Other Factors to Consider

Before you decide which loan type is right for you, consider the following:

  • Is the home you are purchasing going to be the forever home, or will you consider using it as investment property in the future?

  • Is your income likely to grow strongly over the next 5-10yrs and eventually cause a need for you to minimise tax?

  • Are you a good saver / disciplined spender?

Why use Rosh Partners as your broker

  • We take the complexities out of choosing the right loan, making it easier for you to make informed financial decisions

  • We have time for you. Our brokers work directly with you throughout the home loan journey. We answer your call when you call and action everything digitally, fast and efficiently

  • We liaise with all third parties including your solicitors, buyers agents so that there are no last minute surprises

  • We periodically review your loan post settlement to ensure your rate remains competitive throughout the term.