Bendigo Bank launches fast pre-approvals for BEN Express Home Loans

Bendigo Bank has just announced their digital home loan, BEN Express, now offers pre-approvals. The feature, which was delivered in partnership with Tiimely, could see some house hunters receive pre-approval within minutes.

What is pre-approval?

Pre-approval is when a lender gives you an estimate on how much you could borrow from them.

The estimate is provided based on information you provide, such as contact details, income, expenses, debts, and any deposit you may have and is not a formal approval. However, it’s a great starting point to know what you can afford.

How does pre-approval help in your property search?

Pre-approval can give you the confidence in knowing what property you can afford, particularly in a process that can be “nerve racking”, as Bendigo and Adelaide Bank Chief Customer Officer of Consumer Banking, Richard Fennell, explains:

“Gaining financial pre-approval for a home loan gives you an understanding of your borrowing power so you can confidently search for and pursue a property that’s within your reach.”

“While financial pre-approval doesn’t mean your home loan is locked in just yet, it is a vital first step in the buying process, signalling to real estate agents you can afford the property and are a genuine buyer,” he said.

How do I get pre-approval?

Most banks now offer pre-approval applications online. You’ll need to make sure you have the right paperwork ready to provide - such as ID, proof of income and evidence of savings.

Make sure you do a comparison of all the rates, fees and loan features available - and if you’re pushed for time, you might want to speak to a lender who can provide pre-approval quickly.

How long will the pre-approval last?

Unfortunately, pre-approvals do not last forever - lasting from 2 - 6 months. It’s always worth double checking with your lender, and make sure you know what steps to take if you run out of time.

For example, pre-approval with a BEN Express loan lasts for 60 days, which means you have 60 days to find a property with that specific amount that they pre-approve you for. If you haven’t found a property in that time, there is the option to extend it for another 60 days.

Almost all house hunters will have some form of pre-approval secured before they make any offers or enter any auctions. It’s certainly not required, but can speed up the process should you win the auction or have your offer approved.

Whether you go through a broker, or go directly through a digital home loan like BEN Express, it’s well worth making sure you have every piece in place to secure your dream home.

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