CASE STUDY

First Home Buyers & Family Guarantee

A couple in their thirties with a young child were seeking to purchase an owner occupied property after renting for a number of years. Although they income was sufficient, they still struggle to save enough of a deposit.

OUR SOLUTION

Upon investigation, the clients were not eligible for the government incentives being offered to first home buyers due to the property they were seeking to purchase exceeding the thresholds set by the programs.

We presented the clients with two options.

Obtain lenders mortgage insurance, however this was a significant cost and would incur a higher interest rate from the lender.
Speak to their parents to ascertain if they would consider providing their owner occupied residence under a limited guarantee as additional security.

Once the con’s and pro’s were detailed, the parents were more than happy to help their children to assist them with the purchase of their first home.

With this, our clients were ecstatic at the result as they were able to avoid the cost of lenders mortgage insurance, obtain a lower and more competitive interest rate to purchase their first home with their young family.

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