Home Loans, Mortgage Refinance, Bad Credit Home Loans

The Reserve Bank of Australia is having it’s monthly meeting in Adelaide tomorrow. There is expectation that rates will be left on hold for yet another month.

Certainly Australia’s  economic data shows that our economy has grown at the fastest pace over the past three years. This is quite different to the expected economic results from several overseas countries which may even be going into yet another recession.

As such, AMP chief economist Shane Oliver said he expects the RBA to leave the official cash rate at 4.5 per cent for the fourth consecutive month.

“While a run of stronger than expected economic data culminating in above trend growth in the June quarter adds to the case for a rate hike this is likely to be balanced against uncertainty regarding the global outlook and...

Advantege, an Australian wholesale lender have come out with a new mortgage product for the self employed.

The Advantedge Self-Employed Lite Program, which will be marketed through the Advantege mortgage manager partners,  does not require any mortgage insurance payments by the borrower if the loan is between 60 and 70 per cent LVR. Also for such loans there is no need for 6 month BAS statements.

Brett Halliwell, Advantedge general manager of lending distribution, said the new product would enable mortgage managers to service a market segment that has been neglected by lenders...

According to a new research by the Loan Market Group, an increasing number of homeowners are downsizing to a smaller home in an effort to reduce their mortgage debt.Having a large debt for your home is a luxury that few can afford.

Loan Market chief operating officer Dean Rushton said the majority of downsizers are aging baby boomers getting ready for retirement. but many home owners who are younger simply do not have the capital to sustain their current lifestyle so they need to reduce debt by selling up and moving to a smaller property.

“We have had a recent case from one of our

A decline in lending figures, lower commission rates and only a slight expansion of the franchise network were the ingredients for a 12.5 per cent fall in earnings for broker franchise operator Mortgage Choice in the year to June.

Mortgage Choice has reported yesterday a net profit of $23.5 million for 2009/10, a drop from $26.8 million in 2008.

Origination commission income dropped by two per cent, from $53.4 million to $52.1 million. Trail commission income fell 16 per cent, when calculated on a statutory basis, or two per cent on a cash basis.

The business operating expenses were down nine per cent, from $30.6 million to $27.9 million.

Mortgage Choice chief executive Michael Russell said the group had a very strong focus on cost...

According to BIS Shrapnel’s Long Term Forecasts 2010-2015, serious inflationary pressures are expected to challenge any new Australian government before the next election scheduled for late 2013, and may push cash rates up to 6.5 % and home loan rates out to 9%.

The report forecasts economic growth to accelerate by an average of 3.8% per annum over the next three years, while unemployment will fall under 4%. These tightened labour markets and household spending will drive up inflation, the forecaster warns.

BIS Shrapnel says the current housing shortage is a “major problem” because it inflates mortgage debt, increasing consumer sensitivity to growing...

Although some improvements have been introduced, significant barriers remain for borrowers looking to switch home loans.

According to research conducted by RateCity consumers are finding it very difficult to switch home loans and switch transaction accounts between banks.

One of the most significant stumbling blocks with mortgage refinance is the mountain of paperwork required by the new lender. The next big issue is costs. By the time a borrower takes into account what they will need to pay their current lender to part ways – it is often cheaper to stay.

Damian Smith, RateCity CEO, said switching barriers remained a key...

A new high lvr – 95% home loan product will  be available through Adelaide Bank and Bendigo Bank from next week..

There is significant demand in the mortgage market for a competitive home loan product outside of the big four banks.

The new home loan will be of great assistance to First Home Buyers who will be able to enter the property market with only 5% deposit. The loan will be available direct through Adelaide Bank and through the bank’s panel of mortgage managers. The bank is also planning to launch a low-doc loan later this year.

The Adelaide Bank is amongst...

It seems that Variable Home Loan numbers are at a 21 month high in Australia with fixed home loans only making up 2% of the mortgage market.

Despite the talk in the media of lenders considering lifting interest rates outside of the RBA increases, most people seem to prefer variable rate home loans.

Currently there is only a very small gap in the cost of the cheapest available three year fixed mortgage and a 30-year $300,000 principal and interest loan – on average $98.

Variable home loans from mainstream lender generally come with a range of professional packages offering cheaper rates. ‘Pro packs’ tend to offer interest rate discounts along with ‘Gold’ credit cards and other special features.

Mortgage Choice spokesperson...

In a a debate held at the National Press Club in Canberra this week, both the Liberals and the Labor party have reconfirmed their intention to maintain Negative Gearing on Investment.

This has been received as ‘great news’ by the Real Estate Institute of Australia (REIA) president David Airey.

“This is fantastic news for renters, affordable housing and real estate investors,” Mr Airey said.

Mr Airey added that negative gearing for the purpose of property investment was essential as a tool for addressing the supply of rental accommodation in Australia.

Labor abolished negative gearing in 1985 with disastrous consequences, rental accommodation went through the roof and building approvals plunged. It took them...

A representative of La Trobe Financial Services has reported a notable boost in applications over the past 12 months for their commercial security loans.

La Trobe Financial Services believe that their popularity with borrowers is in part due to their clear and simple approach to lending.

The lender offers Express loans with self-certification of income to 70 per cent LVR and with rates from 9.30 per cent, which includes a customised cash out product. Loans offer flexibility and great value for money.

Many mortgage brokers are also finding that working with La Trobe is easier than working with one of the bigger banks and therefore...