.svg)
Other options to an Offset loan
An offset account is a transaction account that is linked to your home or investment loan and allows you to offset funds in that account against the home loan.
Let’s assume that a client has a loan of $500,000. If the client also had an offset account and maintains a cash balance in the account of $50,000 for the entire period of their loan term, they would save tens of thousands of dollars in interest.
This is because the loan is “offset” against the funds in the offset account. Effectively, you will be charged interest on a total combined loan balance of $450,000.
In addition to this, the most effective benefit to an offset account is when the applicants have their income directly deposited to the offset account. Again, saving them tens of thousands of dollars and paying the loan off sooner.
A home loan needs to be applied for, that allows an offset account as an added feature. Most loans that each lender offers, will not automatically have an offset account attached.
We will assist you in understanding which lender is offering the best loan and offset account combination for your individual needs and if the loan will benefit you, and why.
This is a question that will depend on your circumstances and needs.
There are a many questions that we would be asking you, so you can consider if a 100% offset account will work for you.
Some questions we will cover:
And the list goes on - depending on your individual circumstances.
Not every client is suited to an offset account. Depending on your loan structure, there may be more suitable options for you. To know more, please see our page: What are my other options?
Most lenders have offset accounts available that vary in different ways.
Until we can assess what your needs are via a conversation with you, it is hard to say if an offset account will be appropriate for you. We will be able to assist you once we have a discussion, and point out the benefits and downsides of such a loan.
To know more about the pros and cons associated with offset accounts, please see our page: The pros and cons of a 100% offset account
Not every client is suited to an offset account. Depending on your loan structure, there may be more suitable options for you. To know more, please see our page: Other options to an Offset loan.
These are your simple steps to apply for a loan.
Contact us on 02 4257 5626 to speak to a mortgage broker, or complete our online enquiry form.
.jpg)
FAQ
Your journey with us begins by completing our contact form or reaching out to us directly by phone. Our team is ready to assist you through the process. Please note that an initial phone call is required for all applicants regardless. This allows your mortgage broker to understand your needs and objectives and determine how we can best assist you. This call is also a valuable opportunity for you to ask questions and gain a deeper understanding of the process.
You may be wondering why you should use a mortgage broker instead of going directly to a lender.
The main benefit of using a mortgage broker is that they can provide you with a wider range of options. This means you can choose a loan that is cheaper, has a better structure, or is from a lender who is more likely to approve your application.
Not all lenders are the same, and some are better than others in certain areas. A mortgage broker can help you find the best lender and loan for your specific needs. And, since there are no fees to you for using a mortgage broker for a standard home loan, it makes sense to have someone on your side to guide you through the process.
We receive an upfront commission from lenders - only when a loan successfully settles. Additionally, we receive ongoing trail commissions for providing continued support to our clients.
To offer loans from a specific lender, we undergo lender accreditation training. This allows us to work directly with clients on the lender's behalf, completing the tasks that would typically be handled at a branch. We are responsible for sourcing our own clients and matching them with the lender that best suits their needs, and we also have a partnership with an aggregator as detailed below, which allows us to access dozens of lenders.
We partner with an aggregation group (Aggregator), a company that aligns itself with dozens of lenders and banks. Illawarra Mortgage brokers Aggregator partner is Connective Mortgage Aggregator.
This aggregator gives us access to a wider range of lenders and advanced software, enabling us to serve our clients more effectively. The Aggregator receives a monthly payment taken directly from our commission income for each loan. Working with an Aggregator is standard practice for mortgage brokers and is a requirement in this industry.
We offer comprehensive mortgage broker services tailored to your specific needs. Whether you're looking for a home loan, a first home buyer loan, a loan for a second property or investment, an upgrade to your existing home, or refinancing options, we can help.
We also work with lenders who offer guarantor options, allowing parents to assist their children in purchasing a property. View our home loans.
Illawarra Mortgage Brokers holds an Australian Credit License (ACL Number 385841)and maintains full membership with the Mortgage and Finance Association of Australia. Our brokers are required to complete 30 hours of professional development training each year to stay current on all lending practices.
The minimum qualification for our brokers – They must have a Certificate IV in Finance and Mortgage Broking and also have a Diploma in Finance and Mortgage Broking.
The business owner Peter Economos is our most senior broker. He became a mortgage broker in 1988. After working with another mortgage company for two years, he then established Illawarra Mortgage Brokers, in March 2000.
Illawarra Mortgage Brokers has also been the recipient of industry excellence awards, including the 2019 Connective Home Loans, Mortgage Broker of the Year for NSW.
We hope that this information provides you with the assurance of our professionalism and expertise.
We assist a wide range of clients with their property finance needs. Whether you're looking to purchase a home or investment property, refinance an existing loan, or explore other property-related lending options, we are here to help.
We work with clients from all income backgrounds, including salary and wage earners, self-employed individuals, contractors, self-funded retirees, and more.
Please advise if you have any specific questions about our services. We would be happy to discuss your individual needs and circumstances.
Our access to dozens of lenders allows us to offer you a wider range of lending options than brokers with smaller lender panels and therefore limited lender options. With over 25 years of experience, we can also provide expert guidance on loan structuring and interest-saving strategies designed to save you money.
Furthermore, we pride ourselves on our personalized approach, product expertise, and commitment to excellence. These qualities distinguish us from other mortgage brokers in the Illawarra.
During our initial conversation, we can usually determine your likelihood of being approved for a home loan. However, please note that only the lender you choose to apply with can grant final approval. Our role is to present you with options that offer the strongest possibility of securing your home loan.
Regarding our meeting frequency, we tailor that to your specific needs and preferences. We are always available to assist you, so please don't hesitate to reach out for any reason. Additionally, we do not charge any fees for ongoing support.
