FAQs

• Are Better Choice mortgage brokers qualified?

  All our finance specialists are registered credit representatives of Better Choice Mortgage Services. They are also all accredited with Mortgage & Finance Association of Australia (MFAA) and Australian Finance Group (AFG).

  All BC's finance specialists have to also undergo accreditation courses with each lender to familiarise themselves with the various loan products.

  All of them also have either prior experience in the banking/finance industry or relevant tertiary qualifications.

  You can be assured that our finance specialists know what they are talking about!

• How can a Better Choice consultant help you?

  Better Choice not only guides you through the steps in applying for a home loan. We see you through to final settlement on your home or investment property and beyond. Even once your loan has settled, our goal and objective is still to be your number one call for all your future lending requirements.

  Step 1: Providing the supporting documents

  At our first appointment, our brokers will outline each stage of your loan application and the required documentation to ensure the whole process runs as smooth as possible.

  Step 2: Working out how much you can afford to borrow

  It is crucial to any loan application’s success that the amount you borrow is based on your current financial situation. Our brokers are fully qualified and experienced to calculate your affordability ensuring it’s realistic and manageable. 

  Step 3: Find the best home loan to suit you

  Every situation is different when assessing borrowing capacity and with 1000’s of different products, it’s difficult for anyone to analyse the best product to suit their situation. That’s why, Better Choice Consultants are kept up to date with latest news on the different loan products and features available on the market. Better Choice Consultants are knowledgeable and qualified to provide you with a range of loan options to suit your needs. Also, when structuring your loan a Better Choice Consultants will also take into account your plans for the future, ensuring that your loan suits your needs now and into the future.

  Step 4: Paperwork

  Once you have chosen your loan, we will also help you complete the lenders paperwork and organise the supporting documents. Once these documents have been submitted, our brokers will be constantly updating you on the progress and are available at any stage if you have any questions.

  Step 5: Choosing a Settlement Agent

  Its now time to find a settlement agent. If you need any recommendations, Better Choice can provide you with details of reputable and reliable contacts.

  Step 6: Settlement Day

  Once your loan is settled, the property will be transferred into your name.

• How long has Better Choice Mortgage Services been established?

  Better Choice Mortgage Services has been established since 2000, first located in Claremont and now in Balcatta.

  For more information about the company, please click here.

• Why use Better Choice Mortgage Services?

  Better Choice Mortgage Services has won Australian Finance Group (AFG) Western Australia's Champion Business 2004 - 2005 and 2007 - 2010!

  Our brokers also provide a free service that’s available 7 days a week!

  We offer you 1000’s of home loans options

  We have access to over 35 different banks, building societies and non bank-lenders to give you the best possible finance solution. Our brokers are continually informed on each product from each lender. Don’t go straight to the bank as you will be limited to the bank's own loan products; contact us for a full product suitability assessment today.

  Our service will save you time

  The never-ending paperwork, continual researching to compare the best loan products can all cause unnecessary stress on an already stressful situation. Our brokers deal with lenders everyday and can take all the stress away in getting your loan approved.

  Our client is our number 1 priority

  Finding the most suitable loan for each client is our number 1 priority. No matter if you are a first home buyer, investor or self employed, whatever the case may be we can help you find a loan that is right for you.

• What should I be aware of when purchasing an investment property?

  Before purchasing an investment property, it’s crucial that you see a qualified accountant to asses your personal situation and determine how investment property ownership will affect you. Some of the issues to consider include:

  • Affordability in owning an investment property?
  • Who will own the property? i.e. both husband and wife or just the husband/just the wife
  • Do you know the pros and cons of Company ownership v’s personal ownership?
  • Negative gearing benefits whilst holding the investment property
  • Who will the borrower/s be?
  • Do you know the rental return from the property?
  • Will you manage the property yourself or will an agent manage it on your behalf?
  • Are you aware of tax deductible expenses in owning an investment property? Improvements v’s repairs.
  • Are you aware of depreciation benefits? Make sure you get a Depreciation Schedule!
  • Capital gains implications of when you sell the investment property.

• What are the associated costs in purchasing a home?

  There are a myriad of associated cost in purchasing a home! Outlined below are some of the costs that a borrower may need to pay.

  1. Stamp duty on the transfer of the title of the home or block of land into your name.  However, in Western Australia first home buyers receive a stamp duty exemption based on the criteria below:
     • House up to $500,000 purchase price the borrower pays $0 stamp duty
     • Land up to $300,000 purchase price the borrower pays $0 stamp duty.
  2. Settlement Agent Fees are another fee that the borrower will encounter. Settlement agents will manage the conveyancing of the property through to settlement. There is a standard schedule of fees depending on the price of the property, but the fees are negotiable due to the competitive nature of the industry. 
  3. Transfer Registration Fees is a Government fee a borrower must pay to register the “Transfer of Land”.
  4. Water and Shire rates are payable in advance and they generally come due July/August each year. Hence, you are paying rates for the forthcoming year. Depending upon what time of the year you buy will dictate how much you reimburse the vender of the property.
  5. You should always leave a little aside for miscellaneous expenses such as insurance (home and contents), moving expenses (if required), getting the telephone connected (if required) plus any other little expenses that may pop up.
  6. Lender Application Fee may be charged to you. If the lender of your choice does charge a fee it would cover such expenses as:
     • Lender Establishment Fee
     • Valuation Fees
     • Documentation Preparation Fee
  7. Better Choice Mortgage Services would recommend for you to leave approx $700 to cover the above fees. Remember some lenders do not charge an establishment fee.
  8. Mortgage insurance is another fee that you may pay. Generally, insurance is required on your loan if the lender advances you greater than 80% of the purchase price. The insurance policy protects the bank should the borrower default on the loan and the lender can not recoup enough from the sale to payout the loan. The insurer will payout the shortfall from the sale of the property to lender and then attempt to recoup that shortfall from you the borrower.

• What is a pre-approval?

  A pre-approval is a nod from the bank to say that you are able to loan a certain amount based on your current income and situation. It can strengthen the offer you put down on the home of your choice.

  Pre-approvals exists for both residential and commercial loans.

• Why get a pre-approval?

  1. Your financial situation is assessed and any issues that may arise are sorted out prior to you contracting to buy a property.
  2. Pre-approvals last 3-6 months
  3. There is no cost to you! Neither the lender or Better Choice Mortgage Services charge a fee to arrange pre-approvals.   
  4. Vendors and Real Estate Agents love dealing with purchasers who have pre-approved finance
  5. Having pre approved finance may enhance your bargaining position when negotiating on the purchase of a property. Especially, in the case where there are other purchasers who are also interested in the same property as yourself.
  6. With pre-approved finance, once you find a property, the time frame in settling the property can be shortened considerably.
  7. Pre-approvals do not obligate you to purchase a property.
  8. If your pre-approval expires and you have decided not to purchase a property, neither Better Choice Mortgage Services nor the lender will charge you a fee.

• What else do I need to consider when taking out a loan?

  One of the major things that people forget to consider is Asset Protection.

  Take a minute to imagine how your loved ones would cope if you were to pass away or have an unfortunate accident and not be able to work for an extended period of time!

  How would they be able to make the repayments on the mortgage? How would you feel if they had to sell the house and rent? You can avoid these questions by covering your family with life and disability protection.

  At Better Choice, we must ensure you are aware of the need to protect yourself and your family from possible financial hardship caused by events out of your control. As an additional service to you, we can offer a free consultation with a qualified Finance Planner who can discuss with you the best way to protect yourself and your family.

  Please contact us for more information.

• What other services may I be required to consider when buying a property?

  Other services you may require in the process of acquiring your property include:

  • Pest inspection
  • Building inspection
  • Settlement agents
  • Cleaning services

  For more information about such associated services, please click here.

• How can I become a Better Choice mortgage broker?

  If you would like to pursue a career with Better Choice as a mortgage brokers, please send through a resume to bdm@betterchoice.net.au, indicating your interest. Our Business Development Manager will be in contact with you.

  Alternatively, you can also ring the office at (08) 92401 2001 to inquire for more information.