Buying a home
How to apply for a home loan from your couch
10 September 2019
Today you can order almost anything to your door—hot meals, clothes, potted plants. Efficiency is the new buzzword, and whole industries are catching on. Now imagine getting a home loan without budging from your couch. Yes, it’s possible! Here’s how.
Get pre-approved for a home loan
A pre-approval tells you how much your lender is willing to loan you, by providing an estimate of your borrowing capacity. This lets you house shop with confidence, because you’ll know the largest amount that you can afford.
Though, this step is only necessary if you haven’t made an offer on a house yet. If you’re still on the lookout for your dream property, a pre-approval will help you figure out what’s in your price range.
And in the spirit of efficiency, Suncorp’s entire pre-approval process is online. Lean back on your couch, answer a few financial Qs (income, debts, expenses, etc), and we’ll do all the tricky work. It takes about 10 minutes to apply, and a lending specialist will be in touch within 24 hours (or the next working day)!
However, it’s good to note that pre-approval isn’t the same as actual approval. A pre-approval shows you what you’re likely to receive, but it’s not confirmation of a home loan. The main purpose of a pre-approval is for you to understand your borrowing limits so you can narrow down the options.
If you already know your budget, you can skip this step and start focusing on your home loan application.
Research home loan options online
It’s easy to stick to familiar options when considering which loan provider to choose. It’s convenient to look for the biggest names, or the bank your parents introduced you to in primary school. But being open-minded may allow you to access discounts and lower fees, while searching for home loans online can present far more options. And the best thing is, you don’t even have to leave your living room!
This online research should also extend to types of home loans, not just providers. There are various payment setups out there, and you need to find out what’s best for you. For starters, the two main types are fixed and variable home loans. To sum it up, fixed home loans are loans with interest rates that remain unchanged for a period of up to five years. Variable loans have interest rates that fluctuate according to the current market. It’s important to settle on a loan type that’s right for your circumstances.
A fixed loan may suit you if you’re trying to create a strict long-term budget plan. You’ll always know how much interest to expect, and how much your payments will be. A variable loan may save you money if interest rates plummet; conversely, it may wind up costing you more if rates start to climb. Home loan preferences vary from person to person and there’s no standard home loan for any given demographic. If you’re torn between the pros of both fixed and variable loans, you could even get both. You can opt for the full loan amount to be split across the two types.
When you’ve familiarised yourself with the different types of loans, check out Suncorp’s Home Package Plus Home Loan. We have offers for First Home Buyers that can potentially save you up to $11,250 over a 30-year period! We take some of the strain off your shoulders by refunding the annual fee for the life of the loan.
Order a mobile lender
All this can seem overwhelming. The home-buying process wasn’t something you were taught in school! But luckily, there are mobile lenders out there to decode the process. Think of them as your guides to the world of home loans and interest rates. They’ll take your hand each step of the way—working out your borrowing capacity and translating tricky terms into plain English. Mobile Lenders know that your loan should be tailored to your lifestyle and can recommend the best one for your needs. And all this help is free of cost or obligation! The best part? They’ll travel to you, so you can sit tight and continue warming that favourite spot on your couch. Just book one, get some proof-of-income documents ready, and wait for them to reach out.
A Mobile Lender can fulfil all your application needs, from the first interview to the signing of papers. You won’t have to leave your house at any stage in the process, unless the mortgage document needs to be witnessed by a Commissioner for Declarations (which is typically only required in Queensland).
Get the documents ready
Before you start the at-home application process with your Mobile Lender, you need to have all the documents ready. These include proof of ID, proof of income, and records of savings and debts. 'Your lender will give you all the details before your appointment, but you can refer to the full documentation checklist to get prepared.
When this is all sorted you can boil yourself a cup of tea, put on those fluffy slippers, and get ready to begin the home-buying journey!
- How mobile lenders can help you buy a home or refinance
- Paying a home deposit—what’s involved and when to do it
- What is pre-approval and when should I get it?
Information is intended to be of a general nature only and any advice has been prepared without taking into account any person's particular objectives, financial situation or needs. You should make your own enquiries, consider whether advice is appropriate for you and read the relevant Product Disclosure Statement or Product Information Document before making any decisions about whether to acquire a product.