Finding the loan

The whole process usually begins with a fact-finding phone call or visit with us to determine what would best suit your needs. We'll run your details through a number of calculators and let you know which lending institution might suit you best - and what loan amount we feel you can qualify for and how comfortable you feel with the repayments.

Submit an application

We will present a proposal to you and assist you with completing an application and gathering the necessary documents. This provides the lender with the information that they need, and gives them permission to look at your CRAA and asses your application.

Finance Seekers will then check all of the documents, package the application and submit to a lender.

If necessary we will also help you apply for the First Home Owner's Grant at the same time.

Conditional approval

Conditional approval (otherwise known as 'approval in principle' or pre-approval) is generally an indication that you meet the credit criteria for that particular loan and lender, i.e. your employment type and wage is confirmed, your credit history is checked etc.

If the loan is to be mortgage insured then approval is also sought from the mortgage insurer. The 'conditions' are things that we need to do before formal approval, and usually include a valuation.

When we have pre-approval from the lender, Finance Seekers will act on the lender's instruction to arrange a valuation on your chosen property.

Valuation

A registered valuer, as instructed by the lender, will inspect the property and determine a conservative value. Although application fees include a fee for a valuation to be done, the valuation is ordered by the bank and the valuation then belongs to the bank. This means that you won't receive a copy of the valuation, and you will only know if the valuation was not adequate if the loan is declined on those grounds.

Formal approval

If the valuation is satisfactory, and all of the conditions are met, you will receive a formal approval which we forward to your conveyancer/solicitor.

You are now ready to buy your home.

Tip...

Even though you have a formal approval, don't take on any new debt and don't change your job as this could cause a problem.

Mortgage documents

Mortgage documents will be sent to you or your conveyancer/solicitor. These set out all of the costs, terms and conditions of the loan. You must read and understand every aspect before you sign the documents as your signature is your commitment to the terms listed therein. Ask your conveyancer/solicitor for assistance with anything that you don't understand.

Settlement - taking ownership or getting the keys!

Settlement occurs when all parties involved are ready and the money changes hands.

For a purchase, this is when your conveyancer/solicitor, the vendor's conveyancer/solicitor and the lender's solicitor meet - generally about 6 weeks after exchange.

For a refinance, this is when the new lender's solicitor and the outgoing lender's solicitor are ready. The outgoing solicitor continues to receive your interest payments until settlement occurs and if there are any delays it is generally because of the outgoing lender. Do not stop paying your loan during this period.

Tip...

In all settlement processes you can use a conveyancer instead of a solicitor.