When it is time for you as a professional to get a home loan in Australia, your profession can actually help you to get the best home loan offer in Australia and can help you to save money. Your profession can influence not only which lender/credit provider will lend to you, but also:

• How much the lenders/credit providers will lend to you?

• How you can access discounted interest rates?

• How you can access better home loan conditions? and

• How flexible the terms of your home loan can be?

Why do Lenders/Credit Providers offer these Discounts and Benefits?

This is because most lenders/credit providers view professionals as being a “low risk” purchaser. So, when you are looking to secure a home loan that best suits your needs and circumstances, your following key criteria will benefit you:

 Your stable employment;

 Your strong financial standing (i.e. sufficient assets);

 Your above average salary; and

 Your clear credit history (i.e. professionals are less likely to default in their payments).

Who is considered a Professional?

Home loans for professionals were initially restricted to medical professionals, lawyers and accountants, but these home loans are now also available to all sorts of professionals with sufficient income and assets. It may include but is not limited to:

Doctors Lawyers Mining Professionals

Dentists Barristers Energy Professionals Optometrists Solicitors Resource Professionals Pharmacists Accountants Engineers

Physiotherapists Actuaries Surveyors

Veterinarians Auditors Geologists

Discounted Interest Rates

Professionals can be eligible for discounted interest rates on their home loans (i.e. they are offered discounts off the standard variable interest rate home loan than what is offered to non-professionals).

Lenders Mortgage Insurance (LMI) Waiver

You can qualify for a “waived” LMI for up to 90 per cent of the Loan-to-Value Ratio (LVR) instead of the standard 80 per cent LVR. For example:

• As a result of not having to pay LMI premium costs, you may be able to save $5,000 to $10,000 in LMI premium costs, on a property valued at $500,000 with a mortgage of $450,000.

Reduction of Fees

Most lenders/credit providers will “waive” Application Fees on home loans for professionals, which can save you $500 to $800.

You have More Options available to you

Professionals may get the following benefits on their home loans:

 The option of making additional payments without incurring any penalties:

 The option of a redraw facility. The redraw facility enables you to draw on your pre-paid funds (i.e. the extra lump sum repayments you make over and above your contracted loan repayments); and

 The option of 100 per cent offset account, to enable you to pay off your loan quickly.

So, now that you know why professionals can get the best home loans in Australia

Seek Expert and Professional Advice

Tip: For more information, speak to a professionally qualified finance broker who is an expert in providing home loans to professionals.

Singh Finance is a reputed Australian finance brokerage firm that employs a team of expert and professionally qualified finance brokers. Who will help you to negotiate the best and most suitable home loan for professionals, and they will even help you find suitable building insurance for your property. Call on 0424 190 908 today or visit their website and simply click on the "ENQUIRE ONLINE" form.

Disclaimer: This article is of a general nature only and does not constitute professional advice. I strongly recommend that you seek your own professional legal and accounting advice in relation to your particular circumstances.

Read more about home loans Australia and home loans for professionals