With the vaccine rollout delayed in Australia, state governments had to impose lockdowns starting in June. Lockdown 2021 has affected millions and created uncertainty in the housing market as well. You may be trying to decide whether to buy a house now or wait. Or you may be having difficulty managing your home loan repayments.
You will need an expert who understands the housing market and home loans to guide you through these times. At Home Loan Experts, we have a team of experienced mortgage brokers who can help in the following ways.
Updated Lender Policies in Lockdown 2021
Lender policies will be in flux during lockdown 2021. In 2020, most lenders were tough on borrowers with unstable or unusual sources of income, such as commissions, bonuses or contract work. If you aren’t up on the current policies, there’s a chance your application will be rejected, which creates a blemish on your credit file, making it harder for you to qualify next time.
Mortgage brokers here at Home Loan Experts have built good relationships with lenders from years of working together. Our lender panel consists of more than 50 lenders. We will know which ones will consider your application, even when the policies are changing.
Refinancing your home loan in 2021 can help you get a better interest rate and reduce your monthly repayments. Changing to a lower monthly repayment will aid your cash flow, which will help you manage your other expenses. Some of our lenders are even offering cashback of up to $3,000 for refinancing your home loan.
Act early to refinance in 2021
If lockdown 2021 is affecting you, act early on refinancing to stay ahead of the curve. With lockdown in place, there may be delays in processing your application. Lenders could be changing policies and prioritising loan applications for buying property rather than refinancing.
In addition to potential delays, policy changes could be unfavourable for your situation. For example, in 2020, some lenders stopped accepting casual, overtime, commission and bonus income. This could happen again in 2021, making you unable to qualify.
Act now. Get in touch with us by calling us at 1300 889 743 or filling in our free assessment form.
Before you fall into financial hardship due to lockdown in 2021, you can get an equity release to help you manage your debts. How much equity you can release from your home depends on the lender.
Your mortgage needs to be at least six months old, and your loan balance ideally less than 80% of the value of your property. With these requirements in place, you can release up to $10,000 in equity without providing evidence for the purpose of the release. To get more, you need to be buying another property, renovating, investing in shares, making luxury purchases such as a car or consolidating your debt.
Please be aware that if your total home loan is above 80% of the property value, you have to pay a one-off fee called Lenders Mortgage Insurance (LMI). This fee can be added on top of your mortgage.
To find out how much in funding you can obtain from releasing your equity, give us a call on 1300 889 743 or fill in this free assessment form.
Finding Mortgage Relief
There are mortgage relief options lenders are offering their customers for 2021, such as:
- Interest-only payments
- Waived fees and charges
- Repayment Holiday
- Adding repayments on top your loan balance
- Extensions of loan term to reduce monthly repayments
The mortgage brokers at Home Loan Experts understand your situation and can help you identify the options for which you qualify. Please give us a call on 1300 889 743 or fill in our free assessment form, and we’ll help you make the most of the relief services your lender provides.
Providing Digital Services
In the last few years, more and more Australians have been turning to digital home loans, which save time and are convenient for those who can’t always meet brokers in person. And due to COVID-19, the home loan application process is turning towards the digital format even more quickly. Several lenders don’t even have a physical branch, processing every single step of a home loan digitally.
During lockdown 2021, you may not be able to leave your home; however, this shouldn’t come between you and your dream home. To help you in your home buying journey, we have had a dedicated team working on providing online services for the past several years. From guiding you through online real-estate auctions to updated mortgage calculators, we have tons of solutions if you.
Whether you’re looking for a home loan or want to manage your existing mortgage, we can help. Please fill in our free assessment form or give us a call on 1300 889 743, and one of our mortgage brokers will discuss your situation in detail with you.