Other Frequently asked questions about Mortgage home
loans
Which mortgage home loan is best for me?
What is an LVR?
What is a D.S.R. in a mortgage?
What are mortgage "Honeymoon" rates ?
How can I pay out my mortgage sooner?
What are the advantages of using MrMortgage.com.au to find my mortgage?
Can I still use my existing bank account with a different mortgage lender?
Can someone with a bad credit history get a mortgage at reasonable rates?
I don't fit my bank's lending criteria. Can I still get a mortgage?
Where does MrMortgage get the money for mortgages from
Why choose MrMortgage.com.au to get a mortgage?
Home mortgage loans and mortgage refinance including low doc home loans and now
no doc loans for the self employed. We also do a lot of bad credit mortgage loan
refinancing these days for those with poor credit.
Which mortgage home loan is best for me ?
You certainly have a lot of home loans to choose from. Fixed or variable?
Principle and interest or Interest only or Line of credit mortgage facility.
The simple answer is the best mortgage that you can actually get, for your
circumstances. In the end its the lender who does the choosing! Lenders can and
do say "Thankyou, but no thankyou"! One of our main functions is to put your
application in its best possible light, whilst at the same time being honest to
the lender. We have to know what to say and how to say it and to whom.
Rest assured that we will get you the best home loan we can for your
circumstances. When you consider that are services are free to you it makes
sense to apply for your mortgage through Mr Mortgage.
To apply for a home loan, please click here now.
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What is an L.V.R?
L.V.R. when referred to a mortgage is an abbreviation of Loan to Value Ratio.
This is a ratio, expressed as a percentage, of the size of the mortgage loan in
dollars required compared to the value of the property that you are
contemplating to buy. The value of the property is not what you think its worth,
or what the market says its worth, or what a real estate agent says its worth.
It is the value that a registered valuer says its worth for the purpose of
obtaining a loan from a credit provider.
To calculate the loan to value ratio you divide the loan value by the value of
the property, and multiply the result by 100 to obtain the percentage.
We have loans from 65% to 97% of the value of the property depending on your
needs circumstances and credit rating.
To apply for a home loan, please click here now.
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What is a D.S.R. in a mortgage?
A D.S.R. as relating to a mortgage is the abbreviation for debt to service
ratio. This is ratio expressed as a percentage of the loan to determine an
applicants ability to repay the home loan requested, based on their total
income. All Banks and lenders have different methods and formulas to arrive at
this calculation, but as a rule of thumb your total debt repayment should not
exceed 35% of your gross income, for a single income, or 30% where two incomes
are taken into consideration. These figures are very conservative and many
lenders will go much higher these days.
Also as another rule of thumb, your total debt [including mortgage and credit
cards and other loans] should not be more than four times your income. Also you
should not buy personal goods on credit including cars if you plan on getting a
mortgage in the near future. These debts may be the reason that you can't get a
mortgage.
To apply for a home loan, please click here now.
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What is a mortgage "honeymoon" rate?
Honeymoon rates for mortgages. These can best be described by a parable. Back in
the early 1960's the Ford Mustang was released. It brought car buyers streaming
into the showrooms, just to have a look.
In fact it was such a "puller" that every Ford dealer had to have a red Ford
Mustang in the front showroom window. Guys would drive by and say "Wow honey,
look at that low sleek number!" They would go into the showroom and want to test
drive this baby. Then the dealer would step in and say, sure, but first lets
make sure that this beauty is the one for you". Before you knew it this guy was
the proud owner of a shiny new Ford Falcon Station Sedan, complete with a V8,
and a roof rack, [for the camping trips that the salesperson said he was going
to do], that cost more than the Mustang. He would go to bed happy, but when he
woke up in the morning, he would look out at and see a still shiny new, but now
it looked more like a big fat ugly petrol guzzler sitting in his driveway. He
wondered what the hell happened to him!
There are a few similarities here with Honeymoons aren't there? Lets not dwell
on the personal relationship side of the analogy, and move on to the mortgage
analogy. When you see an ad for a home loan rate, and you see a low rate well
below the market, you're likely to say to your partner "Wow honey, look at this
great sleek number". You go to the bank, and one of two things will happen to
you. You either walk out the bank with a big fat ugly money guzzling home loan,
that the bank manager told you really need. You wake up the next day and you
wonder what happened to you. Or, worst yet, you drive away with great low sleek
number, that sooner than you know it, turns into a big fat ugly Home loan that
you find you're married to for the next 25 years. That's when you find out how
expensive it is to divorce your bank loan!
So that's what a honeymoon rate is and that's why it's called a honeymoon rate.
Now, if you still want a honeymoon rate, fine, we've got them, and we won't talk
you out of one, we promise.
To apply for a home loan, please click here now.
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How can I pay out my Mortgage sooner ?
There are only 6 ways that I know that will work to pay out your mortgage
sooner.
Refinance your mortgage to lower interest rates and keep on making the higher
repayments.
Make extra mortgage repayments, and don't make withdrawals on your loan.
Buy a smaller, cheaper property to begin with, requiring a smaller mortgage home
loan, but make the repayments as if you bought the more expensive place.
Get a home loan or mortgage refinance into a loan with lower or no on-going fees
and charges.
If you are a good money manager, consolidate your debts into a line of credit
mortgage facility, or a cocktail home loan that includes a line of credit
account and religiously pay out your credit card debt every month, and never
redraw your surpluses for personal "depreciating assets" such as cars, boats,
holidays and home improvements, and Friday night Pizzas without the blessing of
your financial adviser.
If you are not a good money manager, [and if you are not paying out your credit
card debt to a zero balance religiously every month, sorry, but you aren't],
then get a "reducing line of credit" account that has a revolving line of credit
period for part of the loan, then reverts to an amortising or normal "credit
foncier, or amortisation line" of a normal 20 or 25 year loan and decide to get
good at managing your money, or get someone to manage your mortgage for you.
This service will cost you, but not nearly as much as a poor or no debt
management strategy will. Talk to a mortgage manager or your financial planner.
To apply for a home loan, please click here now.
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What are the advantages of using Mr Mortgage service?
Trust. We are members of the Finance Brokers Association of Australia. We have
been helping clients online for 5 years, and were one of the first online
mortgage brokers in Australia.
Service. We value your business and will take care of your best interest. Please
call Rick Adlam on 0413 268 166 to make a time to see us or e-mail us on radlam@mrmortgage.com.au
, putting "home loan" in the subject line, and giving your names, address, loan
amount, and suggest a time to call you.
The Mortgage Specialist. We only do Mortgages secured against property.
Save Time. We save you time tracking the information you require to make an
informed decision, and time means money today. [what ever that means.]
Lower costs. We strive to place your application with the lender with the lowest
overall costs. [Not the one who is having a sales drive this month with big
bonuses or a holiday incentive to Hawaii.]
More Options. We offer more and better options than any bank [unless they're
buying our loans from us without me knowing it!]
Free service to you. We don't charge you fees up front on the Internet. The bank
or lending institution will pay us out of disbursements at settlement for
securing the loan for them. [Sorry, but we have expenses to pay, like internet
and telephone bills, electricity, rent and food for instance.]
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Can I still use my existing bank account if I change to a MrMortgage loan ?
Yes you can. In fact you can now get free internet banking and phone banking
with most of our loans. Where we offer a bank product you can simply keep your
existing banking arrangements and have the mortgage repayments debited of your
bank account by the home loan bank selected.
To apply for a home loan, please click here now.
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Can someone with a bad credit history still get a loan at reasonable rates?
As long as you are truthful with us, we will put our best endeavours to getting
you a loan, regardless of your past credit history. We get into problems when we
find out things from sources other than from yourself. We have ways and means of
checking, and the lenders need to know that you're likely to repay the loan. You
may have to pay a rate for risk, at least for a qualifying period, but that is
better than no loan at all. Fair enough?
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I don't fit my bank's lending criteria. Can I still get a Mortgage from
MrMortgage?
We are good at setting loans. If there is a lender out there who will give you a
mortgage home loan, chances are we know them. have personal contact with their
back office and can do what is necessary to get you a mortgage. As are service
is free to you, why would you even consider trying to do it yourself?
To apply for a home loan, please click here now.
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Where does MrMortgage get the Money from?
We principally use the major banks, regional banks with wholesale channels and
originators that source wholesale Funders.
This gives us the ability to take applications for home loan Mortgages between
$50,000 to $3,000,000 [ that's $3million]! So if you have the project that meets
our lending panel's criteria, we can get you the money! Leave the hard part to
us!
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Why Choose MrMortgage.com.au?
Why choose us? Good question! Simple answer. Because we work on your behalf for
free, not the Bank's or other credit providers that we source funds from. Our
customers come first.
To put it in plain English, if you belonged to our own family we could not give
you a better deal than the one we'll submit to you.
But there are other solid reasons you should securing your loan through us.
Maybe you can tell us which is most important to you?
Savings in Money
Savings in Time
Keeping your report card clean
Our business Philosophy
Savings in Money
Any time you take out a loan, the lender has to make four decisions.
Does this applicant meet our lending criteria?
What risk factor should we allow for?
What mark-up do we require to cover costs and make a profit?
Is our loan book over balanced at present with one particular type of risk, and
if so how shall we deal with it?
The answers to those four simple questions can be different both for different
borrowers and for the same borrower from different institutions, and at
different times. Its horses for courses. We know how to put you on the inside
track, no matter what your situation, and that means savings to you.
To apply for a home loan, please click here now.
Time Savings
Time is something that we all run out of. Its are most precious commodity, and
when you think about it, its even more precious than money, because if we all
had more time we could all earn more money and become wealthy. But we don't have
more time.
We've already invented the wheel so you don't have to re-invent it by chasing
around trying to find the best deal.
We do all the leg work and the chasing to get you the best deal for you, and you
don't even have to pay us, because the lender does.
Once we know your situation, we know where to go to get the right loan for you.
To apply for a home loan, please click here now.
We keep your report card clean
It's a little known fact that every time you apply for a loan your credit report
gets a notation placed on it that lasts for 5 years. If you go and get 5
applications in at 5 different banks, what do you suppose the 4th and 5th lender
are thinking when they check your credit report? What do you suppose that will
do to your chances of getting the loan you want if a couple of those lenders
decline you?
Chasing yourself can actually harm your chances of getting a premium loan, so
why do it when we do it for free?
By the way, if you have been chasing yourself, or you have been declined, or
even if you have a poor credit history, please be the ones to tell us, not the
lender. If you tell us first we're forearmed and can deal with it for you. If
you don't, the lender may be suspicious that you have even more to hide.
