Because of the rising property prices,
homebuyers in Adelaide are now facing more challenges than ever before. This is
why many aspiring homeowners—especially first-time buyers—struggle to get a
home loan in Adelaide and are forced to remain in rentals.
Saving for a Deposit
A survey conducted by First Home Buyers
Australia reveals that 40% of aspiring homeowners find it difficult to
accumulate enough funds for a deposit, and cite this issue as their biggest
obstacle to obtaining a home loan. It’s easy to see why; after all, real estate
is extremely expensive not only in Adelaide but in Australia in general. A 20%
deposit on a house in a major city can easily reach the $160,000 range.
Complicated
Paperwork
Different lenders ask for different sets
of documents, and the list can get confusing quickly for borrowers who are
self-employed or have multiple sources of income. Most banks also ask for a
list of assets (including proof of savings, share investments, superannuation
statements, motor vehicles, etc.). Details of existing personal loans, car
loans, and credit cards are often required, too. Some lenders even go as far as
asking for a breakdown of the borrower’s everyday living expenses—such as
utilities, petrol, and grocery spending. To finalise an offer, they also
require details about the property purchase, including a signed Contract of
Sale, proof of property insurance, a copy of Transfer of Land, and council
approved building plans and permits (for borrowers who are building). Producing
and organising these documents can be difficult for a first-time homebuyer.
The Solution: Get
Help
The good news is, you can overcome these
challenges with the help of a good mortgage broker. The best home loan brokers in Adelaide can make getting mortgage a simpler and
straight forward task by giving you access to a variety of finance products and
expert insider advice. When you have suitable home loan options at your
disposal, buying your own home will no longer be just a dream, but a distinct
reality.
