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how easy is it to get a mortgage ??


jo and scott

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Hi Jo, the banks seem pretty ready to lend you money even if you are new to the country. We needed proof of a job, 3 months wages slips, plus some demonstration that we had been saving money since we were there. We took over money from the UK to help with a deposit, and they also wanted some info on where it came from.

 

With that we got our approval in a couple of days. We used a financial advisor to help us through the papererwork, and get the best deal, but there were no issues.

 

The bank will lend to you based upon your disposible income, so they will take into account credit cards, outstanding loans etc, so its difficult to generalise. However we could have got 3.5x my salary if we wanted.

 

We also took out a 30 year mortgage, even though I should retire in 15 years or so, unlike the UK, where you cant take it out post your retirement age.

 

That all sounds good, but its still expensive to buy here, and the mortgage can end up chewing up alot of salary, so do your sums carefully. We live 40 minutes outside Perth, and our house was ALOT cheaper than more central houses.

 

Nick

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I'm a contractor, so they wanted 12 months of invoices and my company tax returns.

 

The wife is full time, but they didn't take her wage into account.

 

They offered us about x8 / x9 my salary (it comes down to your monthly expenditure, and as we have no kids, we have spare cash).

 

The process was very quick. Was a couple of weeks from getting a letter from the bank stating what they would lend, through to finding a house and moving in. Not like the UK where everything takes ages.

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Lending here is certainly a lot easier than the UK. In fact you do have to be careful that you don't borrow too much as the bank will lend it. I was offered a mortgage that had a repayment equal to my entire net income.

 

Was that a while ago VS as they seem to have tightened up a lot now.

I we didn't have 3 kids we could have borrowed an extra $210k !

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Guest guest9824
They'll still lend you a fair whack, when we bought earlier this year they would have lent us far, far more money that we'd ever feel comfortable borrowing. We borrowed less than half what they would have given us. Would have had a massive house by the beach, but around $100 a week to live off - crazy.

 

Yep CC that sounds familiar. Dangle the carrot...but we didn't bite it! And....if I'd have worked and only been paid a tiny amount they would have lent an even more ridiculous amount. :shocked:

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Guest guest9824
Wow you must've had very good circumstances as we struggled to get approved for what we needed ($460k) although we are single salary and 3 kids but no other loans or cards ?!?

 

It was five plus years ago....and we did bring a lot of equity, no loans etc. think they have tightened up by the sound of things. Is that a good thing.? I guess so or else we will end up in the same mess as the Uk, maybe.

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Wow you must've had very good circumstances as we struggled to get approved for what we needed ($460k) although we are single salary and 3 kids but no other loans or cards ?!?

 

Yeah double income and no kids, no loans but one credit card with a zero balance.

 

I'd head having children knocks off a fair whack on what they'll lend, friend of ours said that each child knocks $100k off or something like that!

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Yeah double income and no kids, no loans but one credit card with a zero balance.

 

I'd head having children knocks off a fair whack on what they'll lend, friend of ours said that each child knocks $100k off or something like that!

 

It's about $70 - $80k per child which is ironic as you need a bigger house if you have kids rather than just a couple !

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