Select a home loan based on your reasons for buying!

Like selecting a health insurance policy, finding a home loan can be timely work, one that requires you to sift through the finer details of thousands on home loan options. One thing that can save you plenty of time and narrow down your search criteria is – knowing why you are buying a home.

While it sounds obvious, being able to specify the exact reasons you are buying a property while enable you to narrow down the type of loan you need and the features you will benefit from most.

Are you buying your first home, an investment property, building a new home, or are you self-employed?

The reason you are purchasing or building a home should be should be seriously taken into account as it will help you indenfiy the right home loan.

To find the one that’s best for you, think about the features you need, as well as your reasons for getting a home loan. For example, those who are self-employed often choose a low doc loan, similar to a non-conforming loan, because they may not have the extensive paperwork needed for a standard loan. While borrowers who wish to purchase an investment home may opt for an interest only loan in order to cut down the costs of keeping a second dwelling.

Features such as the ability to make extra repayments appeal to many borrowers as well, so it’s always wise to be aware of exactly what your home loan offers.

Whatever your reasons for buying a property there are plenty of home loans to meet your particular requirements. Use RateCity’s home loan comparison and mortgage repayment calculator to help you narrow down the best home loan for you.

Compare home loans in Australia