GJ Advisor - Helping you at every stage of your build

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What financing options are available to you?

Date Friday, 24 June 2016 12:36 PM

Which housing finance option will work best for your family?

When you decide to design your own home with G.J. Gardner Homes, making sure your finances are in order will help to keep all of your stresses at bay.

There are so many options on the market for people wanting to build a home, and getting the right ones under your belt could end up saving you a lot of money. For example, are you building your first home? If so, you could be eligible for a $10,000 government grant - that'll bring a few smiles to the family dinner table!

Understanding these sorts of intricacies will help you to create your dream home design, and keep your bank balance happy at the same time.

What sort of finance should you be looking at?

The finance you go for to build your own home will first depend on whether or not you've ever owned a property before. If you and your partner or other buyer haven't, and you're building as an owner-occupier, then you should be eligible for the $10,000 First Home Owners Grant from your state government. This is also being revised in some states, with the Queensland government vying for a $20,000 grant - could that help you to decide on a final location for your new home building?

If you've owned a home before, you won't be eligible for the same grant, however you're more likely to have the security required to access a bank loan, or a higher amount from a mortgage broker.

You can even put up an existing home as security to be granted a home loan, so if you've got a piece of land or property you aren't getting rid of, it could help to get more out of your mortgage.

This latter option would be perfect for those building an investment home, or even a place to use at your favourite holiday spot. The Australian Bureau of Statistics reports that the value of housing finance for investments in April this year was over $11 million. Is your new home building going to be a part of that figure this year?

Who to turn to for mortgage finance

You have the option to shop around for the best deal your family can get.

While traditionally the banks have been the first choice for people looking to access a mortgage or home loan, there are now a significant amount of independent mortgage brokers on the market as well.

IBISWorld reports that there are 5,810 mortgage broking businesses in the country, and that means you have the option to shop around for the best deal your family can get.

Understanding what finance options are available to you can save your family a lot of money when choosing and building a home. Get in touch with G.J. Gardner Homes today to find out more about what options would work best for you.