Question 1

What does a mortgage broker in Perth cost?

Accepted Answer

In most residential cases, nothing directly. The lender that writes your loan pays the broker a commission, which is disclosed to you in writing before you proceed. Some complex commercial or specialist files do carry a fee, and if yours is one of them we tell you upfront, before any work starts.

Question 2

Can a broker get me a better rate than the bank would?

Accepted Answer

Sometimes, because brokers can request pricing across a panel of lenders and know where each is competing. No broker can promise a rate, though, because pricing and approval are decided by the lender based on your circumstances and the property.

Question 3

Are brokers legally required to act in my interests?

Accepted Answer

Yes. Mortgage brokers in Australia are subject to a best interests duty when providing credit assistance. Staff who sell their own employer's home loans are not covered by that duty, which is one of the substantive differences between the two channels.

Question 4

Will using a broker hurt my credit score?

Accepted Answer

Not if it is done properly. We assess your situation against lender policy before submitting anything, so we are not firing off applications to see what sticks. Multiple declined applications in a short window do damage a credit file, which is exactly what a considered approach avoids.

Question 5

Do you only work with clients in Perth?

Accepted Answer

Our office is in West Leederville and most clients are across the Perth metro area, but we write loans nationally and for Australians living overseas. Everything can be handled by phone, email and video where that suits you better than coming in.

Question 6

Why is my borrowing power lower than I expected?

Accepted Answer

Usually the buffer. Lenders assess you at around three percentage points above the actual rate, which cuts the maximum loan by roughly a quarter. Credit card limits, HECS and benchmark expense floors account for most of the rest of the gap.

Question 7

Why do two lenders give me different borrowing figures?

Accepted Answer

Because policy differs, not because one is marketing harder. Lenders count income differently, particularly bonus, commission, overtime and shift loading, and they assess the limits on your credit cards whether you use them or not. Dependants, living expenses, the loan term and whether the property is for you to live in or rent out all move the figure as well.

Question 8

How much deposit do I need to buy in Perth?

Accepted Answer

Twenty per cent avoids lenders mortgage insurance, but plenty of loans are written with less. Lower deposit options exist through lenders mortgage insurance, guarantor arrangements and government schemes. What you qualify for depends on your income, credit history and the lender's policy, and is always subject to lender approval.

Question 9

Does having a HECS or HELP debt reduce my borrowing power?

Accepted Answer

It does, because the compulsory repayment is deducted from your income in the assessment. The effect is larger for higher incomes, where the repayment percentage is higher, and it reduces as the balance approaches being paid out.

Question 10

Will closing a credit card increase how much I can borrow?

Accepted Answer

Yes, usually noticeably. Lenders assess between 2.5% and 3.8% of the limit as a monthly repayment even on a zero balance, so closing an unused $20,000 card can add $60,000 to $95,000 to your borrowing power. Reducing the limit helps if you want to keep the card.

Question 11

What is home loan pre-approval, and what is it worth?

Accepted Answer

Pre-approval is a lender's conditional agreement to lend you a set amount, based on the documents you have supplied. It is not formal approval and it is not a guarantee of finance. What it buys you is a ceiling before you bid, and standing with a selling agent. Pre-approvals carry an expiry that varies by lender, and we handle the extension if you are still looking.

Question 12

How long does home loan pre-approval take?

Accepted Answer

It depends on the lender and how complete your documents are. A straightforward salaried file with everything supplied moves quickly, while self-employed applications take longer because there is more to assess. We give you a realistic timeframe for your specific lender once we know which one suits you.

Question 13

How long does a pre-approval last?

Accepted Answer

Pre-approvals carry an expiry, and the period varies by lender. Buyers in Perth regularly search for longer than one lasts, which is why we diarise yours. If you are still looking when it approaches expiry, we organise the extension or the re-submission rather than letting it lapse mid-offer.

Question 14

Is pre-approval a guarantee that I will get the loan?

Accepted Answer

No. Pre-approval is conditional, and the conditions still have to be met. The lender still values the specific property you buy, re-checks that your circumstances have not changed, and can decline if either falls outside policy. Treat it as a ceiling to bid under, not a certainty.

Question 15

Can I make an offer without pre-approval?

Accepted Answer

You can, and buyers do it every week, usually with a finance clause in the contract. The risk is real at auction, where there is no cooling-off period and no finance clause to fall back on. Pre-approval also changes how a selling agent treats your offer against a competing one.

Question 16

How much deposit do I need to buy my first home in Perth?

Accepted Answer

Twenty per cent avoids lenders mortgage insurance, and plenty of first home buyer loans are written with less. Lower deposit options exist through lenders mortgage insurance, guarantor arrangements and government schemes. What you qualify for depends on your income, your credit history and the lender's policy, and is always subject to lender approval.

Question 17

Do first home buyers pay transfer duty in Western Australia?

Accepted Answer

Western Australia has a first home owner rate of transfer duty for eligible buyers, which is separate from the First Home Owner Grant and has its own rules. Thresholds and eligibility settings are changed by government from time to time. We check the published position when we run your numbers rather than quoting figures at you.

Question 18

Can I get the First Home Owner Grant on an established house?

Accepted Answer

Generally no. The grant applies to new homes, to homes that have not previously been occupied or sold as a residence, and to homes that have undergone substantial renovations as defined by RevenueWA. An ordinary established house that someone has lived in does not qualify.

Question 19

Is the grant means tested?

Accepted Answer

No. The Western Australian Government's published material states that the grant is not means tested, so your income does not affect your eligibility. The limits that do apply are on the value of the property and on your property ownership history.

Question 20

How do I confirm the current grant amount and caps?

Accepted Answer

Check RevenueWA's own pages at wa.gov.au, which are the authoritative source and are updated when the settings change. The figures on this page were taken from that source on the date shown in the source note above, and should be re-checked before you rely on them.

Question 21

Will refinancing save me money?

Accepted Answer

It could, but that depends entirely on your current rate, the balance, the remaining term and the switching costs. We model it with your actual numbers and show you the comparison, including the total cost over the life of the loan. If it does not stack up, we tell you.

Question 22

What does refinancing cost?

Accepted Answer

A discharge fee from your existing lender, settlement or establishment fees at the new one, state government mortgage registration and discharge fees, a valuation fee where it is not waived, break costs if you are leaving a fixed rate early, and lenders mortgage insurance again if your equity is under 20 per cent. Cashback offers move in and out of the market and can tip a marginal case over, but a sharp rate outlasts a one-off payment.

Question 23

Does refinancing affect my credit score?

Accepted Answer

A refinance involves a credit enquiry, which is recorded on your file. One considered application has limited effect, whereas several applications in a short period can. We assess your file against lender policy before submitting, so we are applying where you are likely to be approved.

Question 24

Can I refinance if I have lenders mortgage insurance?

Accepted Answer

Yes, though the insurance is not transferable and is generally not refundable. If your equity has since passed 20 per cent, the new loan may not need it at all. If it has not, a new premium may apply, which we factor into the comparison before you decide.

Question 25

When should I not refinance?

Accepted Answer

When the rate gap is too small to cover the switching costs, when break costs on a fixed rate outweigh the benefit of leaving early, when your equity has fallen far enough to trigger mortgage insurance, when your income has changed recently and servicing would not pass yet, or when you are about to sell and the loan will be discharged anyway.

Question 26

Should I fix my interest rate?

Accepted Answer

It depends on whether you value certainty or flexibility more. Fixing protects your repayment from rises but limits extra repayments and carries break costs if you exit early. Many borrowers split the loan and take some of each. We talk it through against your actual budget rather than a forecast.

Question 27

What is an offset account, and is it worth paying for?

Accepted Answer

Money sitting in an offset account reduces the balance you pay interest on while staying available to you. For a household with a decent cash buffer that can be worth more than a small rate discount. For a household that runs its account to zero every fortnight it is a feature you are paying for and not using, so we work out which one you are before recommending either.

Question 28

What is redraw and how is it different to an offset?

Accepted Answer

Redraw lets you take back extra repayments you have already made against the loan. An offset is a separate transaction account whose balance reduces the amount you pay interest on. Redraw funds sit inside the loan, offset funds sit beside it, and the difference matters for tax on an investment property.

Question 29

What happens when my fixed rate ends?

Accepted Answer

The loan reverts to a variable rate set by the lender, and that revert rate is the loan you actually end up with. It is not automatically competitive, which is why the expiry is worth diarising. We book the review before the term ends so the revert is a decision rather than something that happens to you.

Question 30

What is a split home loan?

Accepted Answer

A split loan divides your borrowing into two portions under one loan: one fixed and one variable. The fixed portion holds its rate for an agreed term, and the variable portion moves with the market while keeping the offset account and unrestricted extra repayments.

Question 31

Can I get a home loan if I am self-employed?

Accepted Answer

Yes, and it is a large part of what we write. Most lenders want two years of tax returns and financials, though some accept a shorter trading history or alternative income evidence. The right lender depends on how your business is structured and how the income presents, subject to approval.

Question 32

What if my bank has already said no?

Accepted Answer

That is a good reason to call rather than a reason not to. A decline is a decision against one lender's credit policy, not a verdict on you. We find out why it happened, then work out whether another lender on the panel assesses that circumstance differently.

Question 33

Can Australian expats get a home loan in Australia?

Accepted Answer

Yes. Australian citizens and permanent residents living overseas can borrow to buy or refinance property at home, though a smaller group of lenders will consider it. Most discount foreign income when assessing serviceability. Approval depends on your currency, employment and residency status, and on the lender's policy.

Question 34

How much deposit do expats need?

Accepted Answer

Generally more than a resident borrower, and the exact requirement varies considerably by lender and by your income profile. Some lenders on our panel are more accommodating than others. We tell you the realistic deposit position for your specific circumstances before you start looking at properties.

Question 35

Do I have to fly back to Australia to buy?

Accepted Answer

No. The application runs by email and video call, and identification is certified at an Australian embassy, consulate or by an approved agent. Documents can be signed overseas or through a power of attorney. We organise the certification path early because it is the usual cause of delay.

Question 36

How does a construction loan differ from a normal home loan?

Accepted Answer

The funds are released in stages as the build progresses rather than in one amount at settlement. You pay interest only on what has been drawn, so repayments climb with each stage. Once construction finishes, the loan converts to a standard principal and interest home loan.

Question 37

Do I pay interest on the whole loan while building?

Accepted Answer

No, interest applies only to the balance drawn down so far, so early stages cost far less than later ones. Most lenders also allow interest-only repayments during construction. Budget around the repayment at full drawdown, because that is what you face in the final months.

Question 38

How much equity do I need for a development?

Accepted Answer

It depends on the lender, the project size and your track record. Facilities are sized against total cost and end value rather than by a single rule. Bank funding generally requires more equity than private funding. We work out the realistic requirement for your specific project before approaching anyone.

Question 39

How much deposit do I need for a commercial property?

Accepted Answer

More than a residential purchase, and the exact requirement depends on the property type, the tenant and your financial position. Standard offices, warehouses and retail attract better terms than specialised buildings. We give you the realistic figure for your specific property before you make an offer.

Question 40

Can I buy commercial property through my SMSF?

Accepted Answer

It is possible under a limited recourse borrowing arrangement, and the rules are strict. Fewer lenders participate and the structure must be right before you sign anything. We work alongside your accountant and financial adviser, since the structuring decision sits with them rather than with us.

Question 41

How much is stamp duty on a $650,000 house in WA?

Accepted Answer

Transfer duty on a $650,000 purchase is $24,890 on the general rate, which is what most owner occupiers and investors pay. A first home buyer would pay $8,075 at that price under the first home owner rate. Vacant land and foreign buyers are assessed differently.

Question 42

Do first home buyers pay stamp duty in WA?

Accepted Answer

Not on a home worth up to $600,000. Between $600,001 and $800,000 you pay $16.15 for every $100 above $600,000, and above $800,000 the concession is gone and the general rate applies. Vacant land is free up to $450,000, with a ceiling of $550,000.

Question 43

Can stamp duty be added to my home loan?

Accepted Answer

Not directly. Duty is a cash cost that has to be available at settlement, and lenders will not lend against it. Some buyers borrow slightly more against the property to preserve savings for duty, which changes your loan-to-value ratio and can trigger lenders mortgage insurance.

Question 44

Is stamp duty different in regional WA?

Accepted Answer

Not since 7 May 2026. Before that the first home owner rate had higher thresholds outside the metropolitan and Peel regions. Those separate regional thresholds were removed and one statewide scale now applies, so a purchase in Bunbury is assessed exactly as one in Perth.

Question 45

When do I have to pay stamp duty in WA?

Accepted Answer

It is paid at settlement, through your settlement agent, and the transfer cannot be registered until it is. The transaction is lodged with RevenueWA for assessment beforehand. Have the money ready as cash, because it cannot come out of the loan proceeds.

Home loan questions

Jump to a topic

Using a mortgage broker