Often, it might feel unattainable to purchase your very first home particularly with the need to provide a big deposit. You might assume you need a substantial down payment of around 10%, but this amount might actually change depending upon your individual circumstances.
Because there are lots of aspects involved, it may get a bit challenging to identify just how much of a down payment you actually require. For instance, a single person may only need to have a 5% deposit as they possess an excellent credit rating and have been in their current occupation for many years. You may nonetheless have to pay mortgage insurance within this scenario. Another individual might have to provide a 20% deposit as they're self-employed and have a couple of defaults on their credit report.
However, certainly there are some instances where you won't need to have an up front deposit and you could be eligible for a house loan without one. These kinds of "no deposit" house loans may be exactly what a new property owner needs to get on their feet and buy a home. There are also "low deposit" home loans where you may have a smaller deposit requirement to help you purchase your home. These kinds of low deposit loans are optimal if you have some savings set for your purchase but not quite the 20% to avoid the mortgage insurance costs.
Depending on your circumstances, you may be qualified for a no deposit, or low deposit, home loan. As stated, it truly depends on your circumstances, your employment and any past issues with credit history that you might have experienced. To more effectively understand these loan types and to see if you would certainly be entitled, give Go Mortgage a call today on 1300 855 244.