Ash came to us to help her with the purchase of her first home, after being told she didn’t have enough ‘genuine’ savings by another institution. Not only did we guide her to the right lender for her scenario, but she received a decent rate too.

Posted in: Insights


Ash was pretty dejected when she first sat down with us, after being told she needed to save for a further 3 months by another lending institution. This was due to a ‘genuine’ savings policy that required evidence of a 5% deposit saved across 3 whole months. She had just come into $55K to use as a deposit, but this was from a combination of an inheritance, a family gift and her tax return. She had only had these funds in her account for 4 weeks.

After finding a townhouse listed for $400K in a newish development in Croydon Park, she wanted to act swiftly as the property ticked all of her boxes, and there was competing interest from a few other parties. She needed to borrow up to 95% of the price and felt really limited in her options after speaking with her bank.

Our Mortgage Broker spoke with Ash about her current position and looked deeper into her incomings and outgoings. It was established that Ash had been paying $300 per week in rent for a number of years through a property manager. She had also recently paid off a car loan that was costing her $165 per week. She had minimal savings but had been putting away $50 per week for the past 5 months. 

 A few lending options were established, based on who would consider alternative methods of ‘genuine’ savings. She was leaning toward the lowest variable rate available to her, which was 2.89% P&I on a loan of $379K (including Lenders Mortgage Insurance). When combining the rent, car loan repayments and savings together, she actually had proved her capacity to repay the proposed home loan repayments of $1,575per month.

Ash and her broker quickly put together her application and she was pre-approved within a week. She did get a little lucky with her offer being accepted at the listed price of $400K. 4 weeks later Ash was moving out of her rental and into her own home. All this within the extra 2 months she was told to ‘genuinely’ save for. Sometimes it really does pay off to sit down with a home loan expert who has a range of lending options for a variety of different circumstances.

If you’re looking at purchasing a property, give us a call on 8300 8300 or contact us here to speak with one of our Mortgage Brokers who will find a product and lender that best suits you individually.