This is done at a time and place convenient to you, either your home, workplace or our office. During the interview the consultant will listen to you so they get a fully understanding of your current situation and what it is you want and expect. Then a fact find document is completed to gather all the information and your goals and objectives. Once the consultant has all the information required they then search for various options available to you. After researching many different lenders and loans the consultant will come back to you with 3 options which best suit your current circumstances.
Once we make and you accept our recommendation we will provide you with a detailed list of supporting documents that are required. These vary from lender to lender and on the type of deal – see below. We will also provide you with a detailed quotation, commission disclosure and lender’s application and privacy consent form.
Document Check List
-Payslips must be most recent and where multiple are required they must be consecutive.
-Bank statements unless otherwise stated must be original printed (not internet) statements.
When you’re hunting house , it’s sensible to have a home loan pre-approved for a specific amount. You’ll know the maximum amount you can afford and that may give you better negotiating power. You should also investigate your eligibility for any first home owner grants and concessions. Aden Finance broker can help with all of this.
Step4:Contract of sale
Once you have purchased the house you love and sign the contract of sale,then give us a copy of the contract.We start to lodge with the choosen bank within 24 hours of receipt of all the required supporting documentation.Before submitting we will provide you with a detailed summary of the application and we will ask you to double check and point out any corrections that are required. Only then will we actually submit the application.
Step5:Lender approval process
The lender assesses your application, which generally takes up to 3-5 business days. The lender then provides their response to your Aden Finance broker. You may receive conditional approval, which means the application is approved in principle subject to further paperwork being received (usually a property valuation).
Step6:Conditional approval and Property valuation
Once the application has been assessed by the bank and satisfies their criteria a conditional approval is issued subject to certain conditions eg. Valuation of the property and any outstanding matters requiring attention. Immediately a conditional approval is issued the bank will order the valuation of your property.Valuation is usually completed in around 1-3 business days, subject to availability of the property for inspection.Getting a property valuation is also an essential part of the home loan application process. They are used to determine the value of a property that will act as security against your home loan and may need to be carried out when you buy a new property, refinance, or want to access the equity in your home.
Step7:Lenders’ Mortgage Insurance (LMI)
Traditionally, lenders require borrowers to have at least a 20% deposit. However by using Lenders Mortgage Insurance, lenders are able to offer lower deposit home loans. Lenders Mortgage Insurance protects the lender if a borrower is unable to meet their mortgage repayments and the property has to be sold.Lenders’ mortgage insurance protects your lender in the unfortunate event of you defaulting on your home loan. When lenders agree to lend a customer money, there is a small risk that they won’t get the money back if the customer is not able to meet the repayments. Although they have the house as security, if property values decline that security may not be enough to cover the outstanding loan when the lender comes to sell it.
Once unconditional approval is received and your conveyancer has enacted exchange of the contracts, your bank will prepare loan offer documents (these documents constitute the formal loan contract between you and the lender) and mail them to you. Once signed, the loan offer documents are sent back to the bank and mortgage documents are then sent to your conveyancer in preparation for settlement.
Around five days prior to settlement you should receive a settlement statement from your conveyancer. Details on this statement will include the purchase price, deposit already paid, council rates & taxes adjustment, water rates djustment, Government duties payable, loan amount less fees collected by the lender (some stamp duties, registration fees, application fees if not already paid, etc), other miscellaneous fees and the amount remaining to be paid by you prior to settlement.
Congratulate yourself on a job well done and move in.