5 things You Must Know Before Taking Home Loan

Thinking of taking a home loan in Sydney? Well, then before you go to any bank or other lending

institution, we have mentioned five things you would need to know before you take out a loan. Home

loans are always useful in helping you get the funds you need to purchase the home of your dreams.

Beat My Home Loan, a reputed lending firm for home loans brings you some tips to keep in mind before

you go ahead and acquire that loan.

1. Determine the exact purpose of taking the loan:

We know you are taking the home loan for obvious reasons (that is, to own a home!). However, you

might have to state the exact purpose of taking the loan to your lender. There are some individuals use

the amount to buy the property and then rent it out to someone else. They might even redo the home

and sell it at an increased price. In these cases, an investment loan is needed and not a home loan.

2. Type of Loan:

There are many types of loans you can take, especially when you want to purchase a home. Loans like

first buyer home loan, variable loans and fixed loans are some of the types that are available for people

in the market to buy a home. The rates of each of these loans differ and each of them have their own

features as well. For financial advisory, you can speak to your lender itself or a mortgage broker.

3. Amount of the Loan:

Based on your requirement to buy the property you have set your eyes on, you will need to see which

loan will give you the appropriate amount required to buy the house in question.

4. Deposit Amount:

The home loan you take will surely require you to pay a deposit of at least 5% on the total loan amount.

Check whether this amount is feasible for you or else you need to lower the amount of loan you take.

5. Check the fine print:

As the old saying goes, ‘the devil is in the details’. Always ensure that you read the fine print of any loan

you are about to take so that you know each and every hidden cost or extra charge that you need to

pay.

For more advice on taking home loans in Sydney, Log on to http://beatmyhomeloan.com.au/.