Wondering if we would be able to get a home loan

Discussion in 'Loans & Mortgage Brokers' started by Jesse taylor, 1st Dec, 2020.

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  1. Jesse taylor

    Jesse taylor Member

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    Hi all,

    My brother and I are looking to buy a first home together. And wondering what our chances of getting a loan at the moment would be? We both have good credit scores, but some other factors might play against us. I haven't worked for a year and have been living of my saving's, for atleast the last 3 years I have had atleast 20k cash in my acc. At the moment I have about 90k but more than half is in stocks. I also haven't really shown the best budgeting over the last 3 years ie. Often spend a lot on nights out and other stupid stuff. My brother has been working regularly though changed his job about a year and half ago and also was over seas for 9 months between jobs. He also hasn't been budgeting and and is using tax return and some money from his super for the loan ( he got this money out thinking he could be out of work) Don't know if this is the right place to ask this but if anyone could help that would be greatly appreciated
     
  2. Trainee

    Trainee Well-Known Member

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    Based on what you posted, neither of you seem capable or disciplined enough to handle a mortgage.

    you should get a job or some form of income, and your brother should learn to save. How old are you?

    even then, dont buy together. A relationship or change in circumstances would be costly.
     
    spludgey and jared7825 like this.
  3. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Sound like he has a loan
     
  4. Ian87

    Ian87 Well-Known Member

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    At this stage sounds like it would be difficult. But if you have been living off savings either you did something right previously or someone bankrolled you if it is the former then you should go back to whatever that was, after 6 months of steady income and a decent savings record you would probably be able to get a loan. But lots of reasons why it might be best not to do it with family.
     
  5. Lindsay_W

    Lindsay_W Well-Known Member

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    Challenging but not impossible maybe.
    You have funds for deposit but no income to service a loan.
    Your brother has income to service the loan but not much $ for deposit.
    Loan serviceability depends on the nature of your brothers employment (full time, part time, self employed etc.) and how much he earns.
    Super releases are a deal killer if you need to use it for deposit.
    Suggest you check you credit files to see what credit scores you have.
    It's likely the property would be in your brother's name only and you would 'gift' him the deposit, would you be comfortable with this?
    Do you intend to get a job?
    So, not impossible but also probably not the best idea right now either, best to take the advice above and set a goal for next 6 months to save, get job etc
     
    Last edited: 1st Dec, 2020
  6. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    Hi Jesse

    Best to hook up some work - and wait until your employment/financial situation is a bit more stable before applying for any sort of finance.

    You really want to build healthy financial habits before taking on a large debt.

    Cheers

    Jamie
     
  7. Jesse taylor

    Jesse taylor Member

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    Thanks for the advice... having the loan in my brothers name would be ok. I know I probably should wait till I go back to work, I will be back in 6 months anyway.. I am looking to buy in armidale and feel like prices might really start shooting up, thats why I'm trying to do it now. Maybe it would be a better idea to wait anyway though... I'll have to ponder that. Thanks for the advice!!
     
    Lindsay_W likes this.
  8. Jesse taylor

    Jesse taylor Member

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    Thanks mate, sounds like sound advice!
     
  9. Jesse taylor

    Jesse taylor Member

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    Yeah I'll be back at work in 6 months, sp maybe wait until then.. Thanks for the advice
     
  10. Trainee

    Trainee Well-Known Member

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    If the property is in your brothers name, you dont have much legal protection. He has a relationship go
    wrong or the partner wants you out.....
     
  11. Jesse taylor

    Jesse taylor Member

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    Yeah will have to consider that. Thanks for the avice
     
  12. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    I just read...no jobs...thats what a lender will do
     
    jared7825 likes this.

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