FHB - Broker/Questions regarding rates at 90% LVR

Hi,

Meeting with mortgage broker late next week. I've done some research and I should be able to get around 3.7% with 90% LVR (About 12% deposit). Auswide offering 3.69, Suncorp 3.68 etc. Is this a decent rate to expect the broker to produce? Can I bring these rates with me to the broker and ask that she does them? How does it work?

Also, adding to this, how do I know if an offset account is right for us? Possibility of turning this first home into an IP but not in the next 3-5 years.

Any other FHB tips appreciated.

 

You don't need to bring rates with you - discuss with the broker what you want and what you think you want, and she'll find you the product that fits best that's in line with your whole scenario. I'm sure she'll give you a low rate if you qualify for one, and if she doesn't I'm sure there will be a good explanation.

 

Doesn't hurt knowing what you want. May be worth starting by talking to the broker about what your looking for bigger picture and working backwards, there may be things you aren't aware of that they may be able to discuss with you.

 

Great, thanks. Was worried about going in unprepared and taken advantage of for a higher rate, although unsure as to how that benefits said broker anyway.

 

It's not like the broker would be paid more for getting you a less suitable loan. From a psych perspective - it's not a great thing to go through life expecting everyone to take advantage of you, when working with a broker it's important to build trust with each other.

Having a general gist of what the loan market is like is good - but be careful in just focusing on rate. Having the right setup from day 1 is important so you don't just go for what looks like a cheap deal today, and be paying for a costly mistake for the next 29 years from being short sighted.

 

You are right and I probably worded it incorrectly. I moreso meant that I wanted to have some idea of the market so that I can better discuss options with my broker. Going in knowing absolutely nothing would lead me to A) agreeing to the first option presented B) Not understanding anything they say.

Appreciate the response though.

 

I'll be honest and say I haven't a clue what you mean by that. Care to explain?

 

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