-> BORROWING POWER
Find out your Borrowing Power
& get a Pre-Approval in place
It is crucial to check your borrowing power and organise a pre-approval before to buy a property. In this way, you can have a clear idea on how much you can borrow, which must be considered when you make an offer to buy a property.
As a consequence, you might need to adjust your plans, so that you can search for the right property in your budject. This might lead you to different decisions in terms of type of property, location, size and other feature, so that what you are searching can fit with your budject. In other words, you can make more realistic choice, without wasting your time inspecting or making offers to properties.
It is strongly recommended to check your borrowing power and get a pre-approval in place to limit the risks. The ultimate risk is loose the deposit: this might happen if you signed cantract to buy a property, paid the deposit and found out that banks can not lend you the money you require to complete the transcation . A risk that could have been easily limited.
Your borrowing bower is not the same with every bank. Some bank will lend you more than others as each bank has different policy and appetite to the risk. Therefore, the advice of an expert mortgage broker like a My Sydney Broker specialist can be very useful, helping you to narrow the choice to the most competitive lenders willing to lend you the funds you need.