Home Loan
Pre-Approval

It is an indicative approval from a mortgage lender stating how much you can borrow, based on your current financial situation.

This is not the same as a conditional or unconditional loan approval, which can only be provided once there is a Contract of Sale for a property so the collateral can also be assessed. 

If you have ever spoken to a Real Estate agent selling a property then you have probably been asked if you have your financed sorted very early on in that conversation. 

Now, you can tell an agent anything you like (they are not known for being the most truthful), but having pre-approval does enable to you enter an inspection with a specific budget.

This allows you to act swiftly and could also expedite final loan approval once you have an offer accepted and a Contract of Sale. 

Most are valid for 90 days, but they can be extended or refreshed as needed.

However, all of your financial information will be reviewed again when a formal loan assessment is completed prior to purchase. If your finances change then the outcome of that assessment could be different to the pre-approval. 

Pre-approval is an indicative loan offer based on your financial circumstances that is non-binding 

An Unconditional Approval happens once you have successfully negotiated to purchase a property, and a formal loan assessment has been completed. 

It is only after an unconditional approval is received are you able to accepted the loan offer by signing contracts, and then preparing for settlement. 

A pre-approval does not guarantee your home loan. There are a number of factors that could affect a final decision by the lender, including: 

• The property does not meet the lender’s requirements. 
• The valuation does not align with the sale price. 
• There has been a material change in your financial circumstances since the pre-approval. 
• A shift in interest rates or lender policies. 

This is why it is important to have a high quality broker in your corner so if there is an unexpected outcome to a loan application you can quickly pursue a suitable alternative. 

Your borrowing limit will be determined by your income, expenses, and current debts. 

As part of the initial consultation, our brokers will assess your borrowing power so you know where you stand prior to committing to a mortgage application for pre-approval. 

Following the initial consultation, we will propose a number of suitable loan options shortly after along with a recommendation. 

Once you are comfortable with the selected loan product we can prepare your application. Once all documents are completed a pre-approval can usually be obtained within 24–48 hours.

Once you have exchanged contracts on a property it usually takes 3-6 weeks to settlement, depending on the state or any non-standard terms that have been negotiated as part of the purchase. 

The most important step is securing unconditional loan approval within agreed timeframes. 

Followed by ensuring settlement takes place by the due date. 

We conduct all of our business online. You can submit an enquiry online in just a few minutes and we will be in touch in no time.

In the digital age we can accomplish most things via video calls, phone, email, and electronic signature platforms.

Our brokers have access to a panel of over 20 mortgage lenders. 

This allows us to quickly compare home loans and find the best mortgage rates suitable for you. 

The best part is that it is a free service for you! We earn our money from the lender in the form of a commission.

Details of this are provided to you in every case for full transparency. 

The short answer is no, and there are two main reasons for this. 

The first is that your property journey is only beginning and we intend to serve you over the long term. 

We can only do this if you are thrilled with our service. This includes finding the most suitable deal for you now, but also monitoring the market into the future for when things change. 

The second is that there is a legal requirement for mortgage brokers to act in the best interests of their clients. This regulation was introduced to limit the potential for bad actors in the industry. Giving some peace of mind for those unsure about using a broker. 

But our first reason, is our motivation regardless of the regulations. 

There are various degrees of bad credit and the overall answer is that it depends. 

We have access to a large selection of home loan lenders and our brokers know their criteria inside out. 

Book a free consultation today so we can better understand your credit history and can assess what options you have for a home loan.