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Our complimentary e-book "Preparing for your new home" outlines the issues that need to be planned for when buying a new home. It will assist in making your planning process more organised. It highlights steps most home buyers overlook and explains how our unique software package will help and save you time, money and stress.
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Popular Articles

Below are links to articles covering various important aspects to home buying.

A secret to the buying process.

Tips for preparing a budget.

Financial Planning tips.

7 Points to Costing your new home.

Attention home builders.

8 Points to Costing your project home.

How to cost the extras for your project home.

How to prepare and plan for your move.

Background to Home Buyers Information Guide.

About your Service Providers

6 steps in the Conveyancing Process.

The role of a Finance Broker.

Financial Planning Tips (contd).

What if there are surplus funds?

  • Surplus funds placed in a Bank a/c will earn very little interest, and the interest is also taxable.

  • Look at setting up a redraw facility on your home loan. This will achieve the following:-
    1. Surplus funds are offset against your loan account. This reduces the loan account value and thus reduces the interest payments. This interest saving is in pre-tax dollars.
    2.  
    3. At the same time the Limit of the Account is not reduced, so in fact a credit is being built up inside the loan account.
    4.    
    5. This credit (The difference between the A/c Limit and A/c balance) can be withdrawn at anytime.
      Note: Depending on the type of the account, some Institutions will charge a fee for withdrawals. Make sure you check this out.

    6. These credit funds can be used at your discretion, but here are some tips:-
      • Can cover an emergency situation.
      • A good way to save for a long term goal like a holiday. Put the savings required into the loan account and withdraw when necessary.
      • If surplus funds are not required long term and left in the Home loan a/c the loan will be repaid earlier than planned.

Quality of Life v. Cost of House

Now is the time to consider the following points in relation to your proposed financial situation:-

  • Will the new repayments effect your current quality of life;

  • Could you increase your quality of life by reducing the capital cost of the property. (This does not mean taking short cuts but spending less on the property)

  • How would you be effected if some of your planned income ceased. Reduce the income stream in the Budget and see the effects.
    Note: The "budget" in the "Financial Planning" section of our Software Package will assist with  this.

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