Browse Forums Home Finance 1 Aug 09, 2013 12:58 pm We are first home buyers and we're in the process of saving a deposit. A broker mentioned that a family member could guarantee part of the loan which would mean we could borrow the stamp duty. This would save us a significant amount of time, and as we are worried about how much prices have gone un in the year we've been saving this option could help us out a lot. The problem is that we are NZ citizens and all of our family members live in NZ so there is no Australian property we could use as a guarantee. Does anyone know if a property / mortgage in NZ could be used as a family guarantee? Re: Family guarantee - overseas property 2Aug 09, 2013 2:20 pm Hi Jeremy, Australian lenders only take security over Australian properties for loans so unfortunately that would be a no in your case. What is the dollar range of your property search and approx. how much have you saved so far? There might be other options. Cheers Tom Re: Family guarantee - overseas property 4Aug 09, 2013 6:08 pm You're pretty close to the 5% minimum needed (which also needs to be saved for a 3 month period). Are you eligible for First Home Buyers? If so, and depending on which state you're in and whether you will be buying a new house, stamp duty costs might be minimal. Cheers Tom Re: Family guarantee - overseas property 5Aug 09, 2013 7:37 pm We are first home buyers but we're in NSW and the grant and stamp duty concession is only for new homes not existing ones. We've looked into building but we're in a bushfire area and the council restrictions are so complicated, we're worried it might take forever and cost more than we can afford. We found a prefab house that we were interested in but a mortgage broker told us that we couldn't get finance for it because it didn't fit a traditional construction loan progress payment structure. We're renting and we've had to move four times in three years due to landlords selling the houses we're in, and we are desperate to give our kids some stability and to have a place of our own. So the priority is to get into the housing market as soon as we possibly can. It just seems so hard to get to that point! Re: Family guarantee - overseas property 6Aug 09, 2013 11:42 pm Yeah, in NSW if you're not purchasing new off a developer or building you will be up for stamp duty. In your case around the $12K mark. Understand your frustration. Hard to save when you have a decent portion of your money going towards rent. Cheers Tom Re: Family guarantee - overseas property 7Aug 15, 2013 1:29 pm Hey Jeremy, You could try seeing if a family member in NZ can get a loan on one of their properties and then lend this to you as a deposit. This is not an ideal option for a number of reasons. But it would work. The other option is once you have 5% in genuine savings ($360k property x 5% = $18k) then with some lenders you can borrow 95% + a small additional unsecured loan on top. This works if you have a strong income. Otherwise you would need a deposit of $32k to $34k approx to be able to buy a NSW property with no grants or stamp duty exemptions. Hope that helps. I had couple of quotations from pre-covid times, I am quite sure they are more expensive now plus with current USD rate and shipping costs it makes them really unaffordable. 6 24308 Thanks. There are plenty of builders around my suburb. I'll make sure to do some door-to-door knocking, or note their building details on the temp fence. 4 4737 Hi everyone, Newbie renovator here, after some advice for combining our family room in the picture and the alfresco and make a larger family room. There is a flush sill… 0 4877 |