Once your savings plan is tracking along, the next step is
to figure out how much you can afford to borrow. At Yellow Brick Road Coburg we know that buying
your home is likely to be one of the most expensive purchases you’ll make in
your lifetime, so you need to know your limit. You can use our calculator to work it out.
Of course, as interest rates are variable and change over
time, this should only be used as a general guide. It’s also worth noting that
rates are at historically low levels right now, so you need to factor in
interest rate rises over your loan period. Generally speaking 2-3% above the
current rate is a good estimate to go by.
Make sure you factor in stamp duty - an upfront charge which
is applied by state governments in Australia in relation to the transfer of
land or property - by using our stamp duty calculator. Charges differ state by
make sure you get some solid financial advice before you sign anything! Make an
appointment at your local Yellow Brick Road Coburg branch and speak to one of
our friendly and experienced mortgage brokers to find out how
you can save on your first home.