Damien Zanin

" Kelly & Alvin Nearly Miss Their First Home "

Kelly and Alvin were referred to my service by another great client of mine, Hartono.

When I was first talking with Kelly I was thinking to myself, ‘this seems pretty straight forward’, then Kelly told me a little more about her income, that she was actually a contractor and not full time employed.

You see, lenders look at contractors as self employed, which if they did that with Kelly, it would mean that they’d miss out on their first home. I thought I could find a lender who would assess Kelly's income as full time employed, so I spent half of one Wednesday talking with lender after lender, and just as I was running out of options, we struck gold.

It’s funny how solutions often pop up right at the last minute, when you’re just about out of options. I guess persistence really pays off, at least it did in Kelly's and Alvin's case, who’ve now just moved into their first home.

With the recent increase in the First Home Buyers Grant, you probably know of a young couple looking to buy their first home too, if you think I could help them through the complicated lending process, would you please call me or email me a little about their situation?

Damien Zanin.

Your Personal Mortgage Planner - Lending By Referral.

 

"The Benefits Of Using My Consultation Service"

I recently received a client feedback form from one of my very satisfied clients.

The ratings are as follows 1: Poor  2: Fair  3: Good  4: Excellent

Who is the next First Home Buyer you think that could use my consultation service?

"Windfall For First Home Buyers"

With the recent changes to the First Home Owners Grant, I have put together a summary below of "Frequently Asked Questions".

What are the new rules surrounding the Commonwealth’s First Home Owners Grant?

First Home Buyers Grant doubled to $14,000 for an existing home purchased between now and June 30 2009

First Home Buyers Grant tripled to $21,000 for newly built homes purchased between now and

June 30 2009

Who gets the First Home Buyers Grant?

Those who buy an existing home between now and June 30, 2009, will get a $14,000 payment.

Those who sign the contract to build a new home before June 30, 2009 will get a $21,000 payment.

Will you get the money if you exchanged contracts to buy a new home before 14 October?

No, only contracts signed on October 14, 2008 and up until June 30 2009 are eligible.

Will you get the $21,000 first home buyer grant if your new house is not completed before June 30 2009?

Yes. You just need to sign a contract to have the house built before June 30 2009.

 

Source Robyn Roberts L.B.R. Member 20/10/2008

"Massive Rate Cut To Lure Property Buyers Back"

The Reserve Bank's decision to slash the official interest rate by a whopping 1% this week will significantly boost Australia's property markets as it puts hundreds of dollars back into pockets of struggling mortgage holders, according to experts.

The four major banks have committed to passing on an interest rate reduction of 0.8% following the 1% cut, which translates into a saving of $166 per month on average repayments for a $250,000 loan*. 

The aggressive rate cut will lift consumer confidence and prompt more buyers and investors to return to the housing market, added RP Data national research director, Tim Lawless.

"It's likely that today's interest rate cut will motivate more buyers back to secure their pre-approvals and dip their toe into the housing market," he said.

"The mortgage belts in areas such as western Sydney will be some of the first markets to respond - demand has been building in these areas from first homebuyers, low-income families and investors."

Market conditions still remain in favour of the buyer, he added, but the window of opportunity to secure a well-priced property "may be closing earlier than most would have expected".

Craig James, chief equities economist at CommSec, said the Reserve Bank "rightly believed" that shock treatment was necessary to change the mood and momentum of the economy, and said that rates have further to fall - as early as November.

"Finally home borrowers have a reason to celebrate, and there may be even more good news down the track. A cash rate of 6% still constitutes restrictive monetary policy; it's only when the cash rate gets to 5% or below that the Reserve Bank is again pressing on the accelerator rather than the brakes," James said.

Source Your Mortgage Magazine: 10/10/2008

"R.B.A. likely to cut rate by .50% amid global slow-down"

The weakening global economy and signs of domestic slow-down may prompt the Reserve Bank of Australia to make more - larger - rate cuts to shore up growth, according to a leading economist.

The latest report showing Performance of Manufacturing Index (PMI) contracting even more to 47.2 in September is further evidence of the domestic slow–down, according to Savanth Sebastian, equities economist with CommSec.

“Rate-cut speculation is running rampant at present and the case for a substantial easing cycle is starting to gain traction,” Sebastian said. “The weakness in the latest manufacturing reading continues to highlight the slowing domestic economy, adding weight to multiple rate cuts in coming months.”

However, Sebastian noted that the fundamentals for the domestic economy suggest that Australia is in a better position than most of our overseas counterparts. He said Australia’s dependence on China, the strength of the proposed business investment plans, the mining boom and tight labour markets are likely to play a big part in ensuring strong growth in coming years.

“The Reserve Bank is likely to cut interest rates by at least 25 basis points next week – and the continued turmoil on global markets will probably take precedence over domestic economic news. However, if the US rescue package is not passed through congress by next week, the possibility of a larger rate cut is highly likely.”

Sebastian said that while credit markets remain tight, local banks are likely to see added pressure on funding costs. As a result, the Reserve Bank may cut rates by as much as 50 basis points (bps) next week, to ensure that Australian banks are able to pass some of the benefit on to customers.

“We expect the Reserve Bank to cut rates by at least 25bps next week to shore up growth, with 50bps certainly a possibility. In the current environment any rate cut by the Reserve Bank needs to be substantial to allow local banks to pass lower interest rates through to customers. Further rate cuts of 25bps are expected in both November and February.”

Source: Your Mortgage Magazine 03/10/2008