Everything You Need to
Know About
Home Loans

A mortgage broker is a licensed professional who acts as the middleman between you and lenders. Instead of going to one bank and accepting whatever they offer, a broker compares products across many lenders to find one that suits your situation — at no cost to you.

When you go to a bank, they can only offer their own products. A broker has access to a panel of lenders and can compare rates, fees, and features to find a more competitive deal. We also handle the paperwork, manage the process from application to settlement, and advocate for you along the way.

Nothing, in most cases. Brokers are paid a commission by the lender when your loan settles. We're legally required to disclose this upfront, and our obligation is to recommend a loan that's in your best interest — not the one that pays us the most.

Yes. Based Finance operates Australia-wide. Whether you're in Sydney, Melbourne, Brisbane, Perth, or regional Australia, we can help you remotely.

It varies, but typically 4–6 weeks from application to settlement for a standard purchase. Pre-approval can often be arranged within a few days. We'll give you a realistic timeline based on your specific situation.

The minimum is generally 5% of the purchase price, though 20% avoids Lenders Mortgage Insurance (LMI). Some government schemes allow eligible first home buyers to purchase with as little as 5% without paying LMI.

LMI is insurance that protects the lender (not you) if you default on your loan when borrowing more than 80% of the property value. It's a one-off cost that can be paid upfront or added to your loan. It can run into thousands of dollars depending on the loan amount.

Yes. Pre-approval gives you a conditional indication of how much a lender is willing to lend you before you find a property. It's useful for budgeting and can make you a more credible buyer at auction or in negotiations. Pre-approvals are generally valid for 90 days.

Beyond the deposit, budget for stamp duty (varies by state and property value), conveyancing/legal fees ($1,500–$3,000), building and pest inspections ($400–$800), and loan establishment fees. First home buyers may be eligible for stamp duty concessions or exemptions.

Generally: photo ID, last 2 payslips and most recent group certificate or tax return, 3–6 months of bank statements, existing loan or credit card statements, and details of the property you're purchasing. Self-employed borrowers typically need 2 years of tax returns and financials.

The main ones are the First Home Owner Grant (FHOG) — a one-off payment for eligible buyers of new homes, the First Home Guarantee (FHBG) — which lets eligible buyers purchase with 5% deposit without paying LMI, and various state-based stamp duty concessions. Eligibility rules vary by state and change over time.

The First Home Guarantee (formerly the First Home Loan Deposit Scheme) allows eligible first home buyers to purchase with a 5% deposit without paying LMI. The government guarantees the remaining portion of the deposit. Places are limited each financial year.

Under the First Home Super Saver Scheme (FHSSS), you may be able to withdraw voluntary contributions made to your super fund to put toward your first home deposit. There are limits and eligibility criteria — we can talk you through whether it's worth it for your situation.

If you haven't reviewed your loan in the past 2 years, there's a good chance you're paying more than you need to. It's worth refinancing if rates have dropped, your circumstances have changed, you want to access equity, or you're unhappy with your current lender's service.

Most lenders require at least 20% equity (meaning your loan balance is 80% or less of the property value) to refinance without paying LMI again. In some cases refinancing is still worth it even with less equity — it depends on the numbers.

There can be. Potential costs include discharge fees from your existing lender, government registration fees, and loan establishment fees with the new lender. These are usually outweighed by the savings if you're moving to a meaningfully lower rate. We'll model the numbers before recommending anything.

Typically 2–4 weeks once you've decided to proceed. We handle the application and coordinate with both lenders so the process is straightforward.

Yes. If you've built up equity in your existing property, you may be able to use it as a deposit for an investment purchase without needing additional cash savings. We can calculate your usable equity and structure the lending appropriately.

Interest-only means your repayments only cover the interest charge — your loan balance doesn't reduce. This keeps repayments lower and can be tax-effective for investors. Principal & interest means you're paying down the loan balance over time. The right choice depends on your strategy and cash flow.

Generally yes — most lenders require a 10–20% deposit for investment loans, and lending criteria tend to be slightly stricter than for owner-occupied purchases.

A fixed rate locks in your interest rate for a set period (usually 1–5 years), giving you certainty over repayments. A variable rate moves with market conditions — it can go up or down. Some borrowers split their loan to get a mix of both.

An offset account is a transaction account linked to your home loan. The balance in the account is offset against your loan balance daily, reducing the interest you're charged. For example, a $500,000 loan with $50,000 in an offset account means you only pay interest on $450,000.

The main types are variable rate loans, fixed loans, split loans (part fixed, part variable), basic loans (low rate, fewer features), and package loans (bundled with offset account, credit card, and fee waivers). The best structure depends on your goals and cash flow.