Buying your first home?
Buying your first home?

Home Loan Application Process

Applying for your first home loan can be intimidating, but by breaking it down step-by-step and knowing what to expect at every stage, you can make it a lot more manageable.

There are five distinct stages of the mortgage process from application to settlement, though the details can change depending on your circumstances, the type of property you're buying and whether you are refinancing an existing loan.

1. Submitting your application

After you've done your research and found the mortgage lender you're happy with, it's time to make your application. You will be required to provide documentation for all relevant details, which usually includes your monthly income and expenses, assets such as properties and savings, and financial liabilities such as existing loans and credit accounts.

2. Verification

When you have submitted your application and documents, your lender will check that all the information is correct, perform a credit check and inform you whether anything else is needed. If everything looks good, your loan will be given conditional approval.

3. Valuation

Your lender will now require all the details about the property you are planning to buy so they can organise a valuation. Even if you've already had the property valued by a real estate agent, insurer or other party, valuation by your lender will confirm that the price you are paying is reasonable.

4. Approval

If you are successful in your application and your loan is approved, your lender will provide you with an approval letter and the contract. It's essential to check the contract carefully before you sign, and you should consider having it double checked by a legal professional. If you wish to apply for the First Home Owner's Grant, you should discuss this with your lender now.

5. Settlement

When everything is signed, your purchase will be finalised in a settlement meeting between your lender, the property seller and other representatives. You may attend this meeting yourself or your solicitor or conveyancer can attend in your place. All that's left is to pick up the keys to your new home.

Mortgage specialists in Gungahlin

If you're buying, selling or refinancing a property, our real estate specialists at The Marketplace have the local knowledge and expertise to help you secure the best rates in Gungahlin and wider Canberra.

ANZ Mortgage Lending makes borrowing straightforward by clearly explaining the different types of loans available and all the costs involved.

Luton Properties is the largest privately owned property agency in Canberra, dedicated to offering personalised and great value service.

Premier Capital Properties provides specialist property services for buying, selling and renting across the ACT.