Don’t overstrech with first home buyers home loans

While buying a home for the first time is exciting, selecting the right product among a raft of first buyers home loans can be a confusing experience without an expert to guide you.

And one of the most important decisions you have to make during that hunt for the best loan is how much money you should borrow.

At Konnect Financial Services, we believe a bit of caution is a good thing. Borrowing to your maximum limit can set you up for a stressful journey if your circumstances change down the track.

Interest rates, while currently low, won’t necessarily stay that way. What happens if they rise over the next few years? Will you still have the capacity to meet your repayments without severe financial stress?

What about if there is a change in your circumstances such as job loss, expanding family or sickness? Will you be able to cope with the amount of debt you have taken on?

Konnect Financial Services’ experienced team has helped many people find suitable first home buyers home loans. We have a passion for matching people, who about to dip their toe into the real estate market for the first time, to find a loan that suits their budget, needs and lifestyle.

New research by unohomeloans.com.au, an online mortgage service, has found that over half of people hunt for loans at 90 per cent or more of their maximum borrowing capacity. And financial experts are cautioning people not to overstretch themselves when it comes to borrowing, urging them to instead follow a more conservative path where mortgage repayments stay at about 30 per cent of your income.

If you are worried about your borrowing capacity and related issues, talk to our brokers for professional advice and assistance. We can help you navigate your way through the range of first home buyers home loans until you find the product you want.

For more information, please contact us at Konnect Financial Services.