Embarking on your homeownership journey as a first-time buyer? Navigate through the possibilities with our comprehensive guide. 

Parental Support: A Path to No Deposit Loans  

Have you explored the option of no deposit loans with the help of your parents? A guarantor loan allows you to borrow up to 105% of the property value, leveraging your parents’ home equity. This avenue not only eliminates the need for a deposit but also offers perks like low-interest rates and cost savings. 

Parental Assistance Statistics: A Common Avenue  

Statistics show that approximately 60% of first home buyers receive some form of financial support from their parents. If a guarantor loan isn’t feasible, parents can opt to gift money for the deposit, offering an alternative route to homeownership. 

Interest Rate Dynamics with Guarantor Loans 

 Contrary to common assumptions, opting for a guarantor does not necessarily translate to higher interest rates. In fact, borrowers often enjoy rate discounts. The added security provided by parents lowers the perceived risk, making you an attractive prospect for lenders. 

Why the Popularity of No Deposit Loans?  

Delve into the realm of no deposit loans, a popular choice enabling borrowers to secure up to 100% of the property price. Guarantor loans, in particular, offer enticing features such as 100% offset, fixed interest rates, and the possibility of discounted professional packages. 

Leveraging First Home Owners Grant (FHOG)  

Considering the FHOG as part of your deposit strategy? While FHOG can contribute, it typically falls short on its own. Combining FHOG with a guarantor’s support can bridge the gap, potentially eliminating the need for personal savings. 

Additional Government Initiatives: A Holistic Approach  

Beyond FHOG, explore the First Home Loan Deposit Scheme and various state-specific benefits. These initiatives, tailored for low to middle-income first home buyers, aim to ease entry into the property market by minimizing upfront costs. 

Superannuation as a Deposit: A Government Initiative  

Innovative policies introduced in the 2017 Federal Budget allow first home buyers to leverage superannuation for saving a deposit. Navigate the nuances of concessional and non-concessional contributions, providing an additional avenue for securing a property. 

Pre-approval: A Strategic Move in a Competitive Market  

In a competitive real estate environment, securing pre-approval is a strategic move. It not only enhances your bargaining power but also mitigates risks associated with unforeseen loan rejections post-property acquisition. 

Property Selection Criteria: Key Considerations

As you venture into the property market, consider essential criteria.