Buying your first home is a big step, but it doesn’t have to be scary. Yes, there are lots of things to think about, but with the right help, the whole process can be much easier and even enjoyable.

At Mortgage Brokers Canberra, we are here to guide you through every step.

Step 1: Know How Much You Can Borrow

Before you start looking at homes, it’s important to know how much money you can borrow.
Lenders look at things like:

• Your income
  
• Your current expenses and debts
  

As a general rule, your monthly loan repayments shouldn’t be more than 30% of your pre-tax income.

Use our borrowing power calculator to get an idea of how much a lender might let you borrow and what your repayments could be. Try to use accurate numbers so you don’t borrow more than you can afford. This is just an estimate and doesn’t replace professional advice, but it’s a great place to start.

What is Lender’s Mortgage Insurance (LMI)?

If you borrow more than 80% of the property’s price, the lender may charge you something called Lender’s Mortgage Insurance (LMI).

• It’s a one-time cost added to your loan
  
• It can cost thousands of dollars
  
• You can avoid it if you have a deposit of 20% or more, have a guarantor, or qualify for an exemption
  

Government Help for First Home Buyers

There are several government programs that could help you buy your first home. These depend on where you live and what kind of home you’re buying. We can help you find out if you qualify.

1. First Home Owner Grant

• A one-off, tax-free payment
  
• Only for brand new homes
  
• Amount and rules depend on your state or territory
  

2. First Home Guarantee

• Buy a home with just a 5% deposit
  
• No LMI needed
  
• You must earn less than $125,000 a year (or $200,000 as a couple)
  
• Only a limited number of spots available each year
  
• Home price limits apply and vary by state
  

3. First Home Super Saver Scheme

• Save for your deposit using your superannuation (super fund)
  
• You can withdraw up to $50,000 of your voluntary contributions + earnings to buy your first home
  
• This helps you save faster thanks to lower tax rates on super
  

4. Stamp Duty Discounts or Waivers

• Stamp duty is a tax you pay when buying a home
  
• As a first home buyer, you may get a discount or not have to pay it at all
  
• Rules differ by state and change often
  

How Your Mortgage Broker Can Help

Having someone experienced on your side can make a big difference. Your mortgage broker will:

• Help you figure out how much you can borrow
  
• Check if you’re eligible for government support and help you apply
  
• Explain all the steps and costs, so there are no surprises
  
• Help you get pre-approval so you can start house hunting with confidence
  
• Compare loans from over 35 lenders to find the right one for you
  
• Handle the paperwork and guide you all the way through to settlement
  
• Stay in touch after you move in to make sure your loan still suits your needs
  

Let’s Make Your First Home a Reality

With the right support, buying your first home can be smooth and stress-free at Mortgage Brokers Canberra is here to help you every step of the way.

Get in touchEven if you’re brand new to property investing, there are many resources available to equip you with the knowledge and confidence to take that first step on the property investment ladder. And you don’t have to do it alone.

If you’re keen to buy an investment property, get in touch with Mortgage Brokers Canberra  on 02 61901219
. We’d love to help
you get started.