When purchasing a new home there's a lot of negotiating, planning and organising to get through, luckily applying and managing the bond application process doesn’t have to be one of them!
1. OFFER TO PURCHASE
The buyer puts in an offer to purchase on their desired home with the sales agent.
2. FINANCING THE PURCHASE
The sales agent then asks the buyer how they plan on funding the purchase of the property. i.e. subject to sale, or 80% bond with a deposit, etc.
3. CONTACTING THE BOND ORIGINATOR
The sales agent puts the buyer in contact with the bond originator and provides them with the buyer's information.
4. CONDUCTING A FINANCIAL ANALYSIS
The originator analyses the buyer's finances to better understand their needs and expectations.
5. LOAN SELECTION PROCESS
The originator provides the buyer with the different financing options available to them. The buyer then selects the best option.
6. SUBMITTING THE LOAN APPLICATION
The originator completes all the necessary paperwork and submits it to the bank.
7. APPLICATION PROCESS
The bond originator manages the application process by staying in touch with the bank on the progress of the bond application.
8. BANK ACCEPTANCE
Once the bank has accepted the loan application, the originator will inform the buyer.
9. LEGAL REQUIREMENTS
Next, the originator takes the buyer through the legal process and follows up with the attorneys handling the purchase and transfer of the property.
Author: Seeff Head Office, 24 October 2019, Expert Insight