General Questions

What is a mortgage broker?

Mortgage brokers are finance advocates.

We help you find the deal that best suits your needs and circumstances and then take care of the application process for you, liaising with the “banks” and your solicitor from start to finish on your behalf.

We are able to offer our clients a wide range of choice across a large number of financial institutions. Your choice may not always be based on price alone, but will also consider the requirements of our lenders to ensure a successful outcome for our clients.

How does your service work?

We start by learning about your financial goals and future plans; we assess your needs and create a tailored package to suit your short and long term financial and lifestyle objectives. Once you are happy with the package we help you to complete the banks application. We handle every step from submission to approval and follow it through to settlement.

We offer an ongoing support and an alternative to the Banks call centres when our clients need advice following settlement.

Will you charge me for your service?

In most cases we are paid direct from the financial institution that we write your loan through. If there is any change this will be advised in writing before you make any commitment to proceed.

What’s in it for the lenders?

Lenders find mortgage brokers are a cost effective means for them to obtain new business. Like online companies, banks don’t have to pay for our bricks and mortar; they only pay have to pay us for successful new business.

What is the advantage of using a mortgage broker?

There are many advantages to using a mortgage broker.

We are able to offer you more choice in your finance options. You also have the benefit of dealing with staff who have many years of experience in the industry. We have the knowledge to evaluate your needs, make comparisons and negotiate better terms and conditions for you.

We will also liaise with all parties from the time of submission through to approval and settlement.

Should I get a Pre-Approval for a loan?

If you want to buy, it makes sense to find out how much you can borrow.

If you apply for a loan and get "pre-approval", you'll know how much you can afford, you'll strengthen your position as a buyer and you’ll have the lender's backing to purchase a property.

By securing a “Pre-Approval” you remove some of the stress of buying a property by streamlining the process after you have located a property.

Deposit Bonds

Can I obtain a refund if I don't use the Guarantee?

Yes. If the unused, original Guarantee Certificate is returned within 30 days of issue the fee will be partially refunded. An administration fee will be deducted and then the balance mailed to you.

When does the Guarantee expire or terminate?

The Guarantee ceases when the Contract of Sale is completed, terminated, rescinded or the expiry date occurs, whichever happens first. The Guarantee also terminates when a claim is paid by the Insurance company, the guarantor.

Will the vendor accept the Guarantee?

The Guarantee is legal and available in all states; however it is the sole discretion of the vendor to accept it. It is recommended that a Suggested Special Condition (found on the back of the Guarantee Certificate) is inserted or annexed to the Contract of Sale. This condition will amend the deposit provisions and allow the Guarantee to be used.

Can I use the Guarantee at Auction?

Yes. A Guarantee can be organised and issued prior to the auction. The Guarantee amount is fixed, but property and vendor details remain blank, this enables you to attend a number of auctions. When you are the successful bidder you simply fill in these details.

Why do purchasers like Deposit Power Guarantee?

Many of today's purchaser's have the 5% - 10% deposit required to enter into an contract tied up in the current home, investments, or they are borrowing to include the deposit. This means that purchasers would need to look into bridging finance or borrowing from a finance company at high rates. Guarantee's offer an efficient alternative which saves time and money.

First Home Buyers

What is the First Home Owners' Scheme?

First home buyers may be eligible to receive a grant toward the purchase of their property. This scheme will be administered by the States and Territories and the terms and conditions of this may vary from state to state and year to year.

The scheme covers only the purchase of your first home in Australia.

You will be eligible to apply if you: are buying or building your first home, are an Australian citizen or permanent resident, intend to make the home your principal residence and start living in the home within a specified time.

ProMortgage will assist in making your application for the First Home Owners Grant.

Arranging your finances

  • Contact ProMortgage to arrange an appointment
  • Arrange supporting documents (i.e. pay slips, group certificates, credit card statements and other relevant documents)
  • Assess lending capabilities with your broker, shortlist loan options and determine the most appropriate loan from the shortlist
  • Submit loan application with all supporting documents
  • Obtain pre-approval

Note:
Finance can be secured before or after you find a property. However borrowers should consider a pre-approval so that they have a true measure of their borrowing capacity before they commit to a purchase. Pre-approvals are usually always subject to further conditions.

Buying your house

  • Engage a solicitor or conveyancer to check sale contract
  • Place offer for home/win at auction
  • Complete building and pest inspections, strata and title searches
  • Sign contracts along with submitting agreed deposit
  • Arrange insurance (contents, building and/or income protection)
  • Process first home owner grant (FHOG)
  • Complete settlement
  • Pick up keys

Moving In

  • If currently renting, advise landlord that you're moving
  • Collect bond from rental agency
  • Arrange disconnection of utilities and cleaning of old premises (if required)
  • Arrange quotes from removalist companies/schedule moving times
  • Connect the gas, electricity and other utilities
  • Connect P\pay TV and internet
  • Connect new phone line
  • Redirect mail (can be arranged through your local post office)
  • Redirect newspaper delivery
  • Advise family and friends of new address/phone details
  • Clean up home before you move in
  • Move the family in!

Comparison Rate Schedules

What else should I consider?

There is a lot more to a loan than just cost. You will need to weigh up the other features of a loan including access, convenience, flexibility, whether there are any fees for redraws and/or availability of phone and internet banking. Features like these add to the value of the loan, and should be taken in account when making your final decision.

How is the comparison rate calculated?

The Comparison Rate is calculated in accordance with a standard formula, which takes into account the interest rate plus fees and charges such as upfront and ongoing fees. It does not include:

  • government charges (eg stamp duty or mortgage registration fees) as these charges will be the same regardless of which financier or loan product the customer chooses;
  • fees and charges which cannot be ascertained at the time that the Comparison Rate is calculated; and
  • fees and charges which may or may not be charged, because they depend on some event which may or may not occur
    (for example, fees for early termination or redraws).

What rate am I actually charged?

You will be charged interest at the annual percentage rate identified in the column header. The comparison rates shown below are for comparison purposes only - to enable you to judge one loan against another.

How does the comparison rate affect me?

Interest is charged at the rate shown in the header section of the table. The comparison rate information merely enables you to see at a glance how much our loans cost once the effect of fees and charges are taken into account.

How do I use it?

The comparison rate is used to compare the cost of a loan, between loans. It is a tool to help you understand the impact of fees on the overall cost.
 
Make sure that when you look at any Comparison Rate Schedule that you pick the most appropriate amount and term for you. If you are comparing more than one product, or loans from different companies, make sure that you always use the same amount and term so you are comparing 'apples with apples'. You will see that as the amount and terms increase, fees have less impact on total cost, and so the comparison rate is lower.
 
It is important to remember that the comparison rate is only based on current information, and therefore it is likely to change over the life of the loan as interest rates change.

What is the Comparison Rate Schedule?

In order to help customers better understand the true cost of borrowing, all credit providers are required by law to issue Comparison Rate Schedules when advertising interest rates for consumer credit loans, such as home loans and personal loans.
 
The Comparison Rate Schedule is a tool to help you identify the true cost of a loan and to compare different loans. Interest rates generally only indicate the cost of interest payments for the loan. The comparison rate goes one step further; using a standard formula, the comparison rate adds in certain fees and charges such as upfront and ongoing fees, as well as the interest payments over the life of the loan. The payments are then converted to an annual percentage rate - which gives us the comparison rate.
 
Customers can now see at a glance how expensive some of the "honeymoon" and "special" offers from other lenders can actually be over the term of the loan once fees and charges are included.

Why ProMortgage

Finding the right product is just the first step. Whether you're starting out as a first home buyer, or a multi-million dollar developer, ProMortgage has a specialist to help you every step of the way. 

Quick Facts

  • Established 1999 in Canberra
  • Locally owned and operated
  • Have lodged loans in excess of 1 Billion dollars
  • Highly experienced staff
  • Winner of the PLAN Australia commercial brokerage of the Year for the ACT in 2014, 15 & 16
  • Nominated for PLAN brokerage of the year NSW / ACT for the last 10 years
  • Winner of the Australia Mortgage Association “Small Brokerage” of the Year (2006)
  • Our Brokers regularly recognised in the top 200 PLAN brokers in Australia

Canberra Office

Level 1, 18 Lonsdale St Braddon ACT 2612
Ph: (02) 6262 7113
Fax: (02) 6262 7114
Postal: PO Box 5123 Braddon ACT 2612
Canberra Finance Consultants

Goulburn Office

169 Bourke Street Goulburn NSW 2580
Phone: (02) 4822 0300
Fax: (02) 4822 0301
Goulburn Finance Consultant