FAQs

Yes, firstly, a loan consultant saves the time and hassle of knocking on the doors of an endless number of lenders. Secondly, Priority Home Loans handles all the paperwork and their experience saves you time. Thirdly, when time is of the essence, the loan consultant knows which lenders process loans quickly and efficiently.

Depending on the property loan product you select, you may need to pay fees up front to cover the loan application and/or valuation of the property. Reputable loan consultants will not normally charge fees for their service to the client.
 
We will advise you beforehand if you will need to pay fees.

Priority Home Loans are paid from standard commissions paid by the lender at loan settlement. The same commission rate is applied regardless of loan product or lender chosen by the borrower. We are also paid (in most cases) an ongoing fee that assists us to look after you after the loan has settled.

No. A number of banks and other financial institutions support the services provided by reputable loan consultants. Using loan consultants such as Priority Home Loans saves the lenders costs they could incur themselves in promotion and providing equal localised face-to-face customer service.

A guarantor is a third party providing additional financial security to a loan application. This is done by providing a financial guarantee that the loan applicant will repay the loan. This guarantee can be released at any time and the guarantor holds no responsibility once the guarantee is dropped.

This can become very useful when trying to reduce your loan-value ratio (LVR) and can reduce the cost of lenders mortgage insurance dramatically. Usually a guarantor must be a direct family member such as a parent or spouse.

LVR is an acronym for Loan-Value Ratio, and represents the percentage of the security you are going to borrow. I.e. LVR = Borrowing amount / Value of security.

LVR is important in your loan application and to the lender. The lower your LVR, the lower the risk to the lender. If your LVR is high (>80%), you will be required to purchase mortgage insurance. This can be very expensive.