Why Lenders need to relax the genuine savings rules ?
Every since we can remember , lenders have had a rule that applicants must have 5% genuine savings over a period of 6 months . This is meant to provide lenders and mortgage insurance with proof that applicants can repay a mortgage . To some degree it certainly does but unlike paying rent and paying regular bills , it doesn‘t completely prove that they can commit to a 30 year mortgage loan . If you have been paying rents , household bills ,and covering schools fees , then it’s our view that owning your own home , these costs are very similar . This should prove that your commitment to paying rent on time , will translate to the same commitment of paying a mortgage . Our lenders will take that these facts into account . With our Home deposit assist (HDA)
, this will provide you a head start of $30,000 . You may still be required to save some deposit yourself but it will be less than 10% deposit . Once you know how much your proposed mortgage repayments are , if that suits you and you are comfortable, make an application online at mumndad.com.au to see if you qualify