Track My Trail Team A shared appreciation mortgage (SAM) is a home loan where the borrower pays a lower rate, or a reduced deposit requirement, in exchange for giving the funder a share of the property’s future capital growth. When the home is sold, the agreed percentage of the gain is paid to the other party before the borrower … Read more
A cross-collateralised home loan uses more than one property as security for a single lending arrangement. The lender takes a mortgage over each property in the pool, so the combined equity supports the debt instead of one standalone address. To qualify, a borrower needs enough equity across every property in the pool, income that services … Read more
Agricultural loans finance farming businesses: working capital for the season, equipment purchases, land acquisition and recovery after drought, flood or fire. In Australia they come from commercial lenders and, for concessional deals, from the Commonwealth’s Regional Investment Corporation. For brokers, the practical difference from home lending is that most farm facilities are business credit outside … Read more
A low deposit home loan lets an Australian borrower buy a home with a small upfront deposit, often around 5% of the purchase price and occasionally less through particular lenders or government schemes, instead of the traditional 20%. The trade-off is a high loan-to-value ratio and, in most cases, a lenders mortgage insurance bill. This … Read more
The skills that decide whether a mortgage broker lasts are practical: researching loan products and lender policy, generating a steady flow of enquiries, explaining credit decisions clearly, solving file problems and working within credit law. Clients rarely see the work behind them, but they notice the results. This guide explains what each skill involves in … Read more
A green home loan is a standard home loan with a discounted rate or reduced fees for properties that meet an energy efficiency standard, such as a NatHERS rating or a certified green building rating. The discount is each lender’s own product feature, so eligibility rules differ between lenders rather than following one national scheme. … Read more
A self-employed home loan is a home loan assessed on business income rather than pay slips. Lenders run it through one of two documentation routes (full documentation or alternative documentation) and apply their own self-employed policy on top of standard lending criteria. Qualification rests on four things: the documentation route your client can support, their … Read more
An expatriate home loan is an Australian home loan written for a citizen or permanent resident who lives overseas and wants to buy property in Australia. Lenders treat it as a standard loan assessed under their own expatriate policy, so deposit requirements, pricing and eligible borrowers vary between lenders. For brokers, qualification comes down to … Read more
When a client’s application falls outside bank policy or a bank cannot meet the required settlement date, an Australian mortgage broker may consider a private lender loan. The term covers several forms of credit offered outside the major banks. The lender may be a private fund, an individual investor or another non-bank business. These loans … Read more
A fixed rate lock-in can refer to either a fixed home-loan term or a separate rate lock before settlement. Brokers need to distinguish the two because they cover different periods and carry different costs. A fixed term keeps the loan rate unchanged for a stated period, usually one to five years in Australia. The loan … Read more