How to accelerate your home loan application

Have you discovered a dream house or an investment opportunity and require a quick home loan approval? A rapid house loan is achievable if you act promptly, are organised with your mortgage application paperwork, and choose the appropriate lender!

In today’s heated property market, a quick house loan approval is critical and can offer you an advantage over other buyers. The speed with which a house loan is approved is determined by a variety of criteria that differ across lenders. It should not take weeks to apply for a house loan. A few preparations can assist to supercharge your application, speeding up unconditional home loan acceptance and allowing you to beat out other buyers for the property of your dreams.

Act quick:

The most typical error in obtaining a quick home loan is failing to contact your bank quickly enough.

Even better, if you phone one of our mortgage brokers in the morning to discuss your plans, they may frequently come back to you the same day with an indicative approval.

Soon as you’ve decided on one of our three options, you could receive your pre-approval in as little as one business day (case by case). If you delay until later in the day, especially on a Friday afternoon, you will not receive a reply until at least Monday.

This is necessary if you have already invested your deposit and need to settle quickly, however we always recommend that you obtain pre-approval for a home loan before depositing your deposit.

Save for deposit

A deposit is normally required to acquire a house, but owing to programmes like the First Home Loan Deposit Scheme, you may only need a 5% deposit if you are a first-time buyer, which you need to check with a expert mortgage broker.

But keep in mind that there are additional upfront charges to buying a property, such as stamp duty, legal fees, and pre-purchase pest and building inspections. As a result, you’ll need to save more money on top of your deposit to be able to buy.

Making a savings strategy and adhering to it might help you accomplish your deposit goal.

Get pre-approval

A home loan pre-approval is a non-binding contract from a lender to give you a certain sum of money to purchase a property depending on a brief first assessment. Pre-approval is a simple and quick approach to expedite your final home loan acceptance.

Pre-approvals are essential. Best of all, they are absolutely free, so obtain one as soon as possible before applying for or even beginning your property searching process. This indicates that the majority of the legwork has already been done prior to signing a contract.

Reduce or eliminate other debts

Lenders want to know that you can easily handle house loan repayments, so if you’re currently juggling a number of other obligations, this might be a concern.

Before applying for a house loan, try to pay off – or at least minimise – any outstanding obligations.

When it comes to credit cards, lenders are frequently more concerned with your credit limit than your existing card balance. And besides, you might possibly max out your credit card debt after purchasing a property. Requesting your credit card company to reduce your credit card limit before applying for a home loan might help your application.

Get your mortgage documents ready

Missing paperwork account for about 80% of home loan approval delays!

You may dramatically shorten the time it takes to have a home loan approved by including up-to-date mortgage paperwork with your application all at once.

These documents include:

  • A completed fact find or short application form which is usually provided to you by your bank or mortgage broker.
  • A scanned copy of your drivers licence, Passport/Visa/Citizenship Certificate
  • Your two most recent payslips, or your last two years personal tax returns and financial statements if you are self-employed (low doc options are available).
  • Evidence of savings – usually copies of savings account statements
  • Proof of other assets you own such as a car or investment property, as well as details of any debts you owe.

Applying for a home loan is something most people will only do a handful of times (or less) in their lifetime, so it can seem a confusing process. Expert advice can make it a lot easier. Contact us and we can help ensure your loan application moves seamlessly.

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