Saving for a home deposit can be challenging. Stretching for the ideal property sometimes means that a twenty percent deposit is out of reach, while the time taken to save the healthy deposit can result in missed opportunities. Not to mention that by the time you’ve saved the deposit, it can become inadequate, as rising house prices also make for rising deposits.
The common alternative to a twenty percent deposit is Lender’s Mortgage Insurance, a fee payable to the banks insurer, by the borrower, to protect the bank against the borrower not meeting their obligations. While this enables the purchase of a home before saving the twenty percent deposit, it can be very costly.
However, did you know, you don’t need to save a twenty percent deposit and you don’t need to pay Lender’s Mortgage Insurance.
The most broadly available offer is for 15 percent deposit with no Lender’s Mortgage Insurance. This is regardless of your industry of employment, subject to application assessment and approval.
If you work in select industries you may even qualify for an offer for 10 percent deposit with no Lender’s Mortgage Insurance. At a variety of lenders this includes qualified professionals such medical professionals, accountants, auditors, lawyers, judges, surveyors, geologists, and more.
The best way to find out what may be available to you is to contact a Mortgage Broker. Prefix Finance brokers provide their services free of charge and can give you the advice you need. Contact a Prefix Finance Mortgage Consultant.
All information accurate as at October 2017