The home loan application process
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Once you and your Mortgage Choice broker have chosen a home loan that’s right for you, it’s time to submit an application. The process varies between lenders, but we’ve provided a general order of events below.
Where the loan is pre-approved, as soon as you find the property you wish to buy, provide your Mortgage Choice broker with the property details along with the contract of sale plus any updated supporting documents (such as pay slips & bank accounts). So, the valuation and mortgage insurance process outlined above can begin.
Now comes the fun part – searching for your dream home! We offer a few tips on what to look for in a property.
When you’re house hunting, it’s sensible to have a home loan pre-approved for a specific amount. You’ll know the maximum amount you can afford and that may give you better negotiating power. You should also investigate your eligibility for any first home owner grants and concessions. Your Mortgage Choice broker can help with all of this.
If you need finance to buy your home, you’ll need to submit a loan application. Your mortgage broker will arrange this for you.
Your mortgage broker lodges your application with your chosen lender.
A copy of the contract of sale containing your property’s details (you will have gone over this with your conveyancer/solicitor/settlement agent) is also required upon lodgement. See our conveyancing guide for more details.
The lender assesses your application, which generally takes up to 3-5 business days. The lender then provides their response to your Mortgage Choice broker. You may receive conditional approval, which means the application is approved in principle subject to further paperwork being received (usually a property valuation).
The lender typically orders the valuation, which is usually completed in around 3-5 business days, subject to availability of the property for inspection.
Your lender may require mortgage insurance approval from its mortgage insurer. This generally takes place within 24-48 hours of receiving the property valuation.
Finally, your lender confirms with Mortgage Choice the unconditional loan approval (i.e. the green light to go ahead with the loan if you wish) and you receive your good news!