Introductory Home Loan

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Still worried if you can afford to repay for a home loan? Intellichoice's Introductory Home Loan service can help. Get a discounted interest rate in your first 6-12 months of your loan. Interest? Call or request for a quote today

The first few months of repaying a home loan can be challenging, most especially after paying for a large downpayment. Let us help lift the burden from you with our Introductory Home Loan. Enjoy a discounted interest rate for 6-12 months on your loan after approval. Intellichoice finds ways to make your home acquisition journey financially awesome for you.

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Introductory or Honeymoon Rate Home Loans

Introductory or honeymoon rate home loans offer you a discount off the standard variable interest rate at the beginning of your home loan. The discount can be up to one percent off the standard variable rate and is usually for the first 6-12 months of the home loan.

After this period has expired, the interest rate will revert to the mortgage lender’s standard variable interest rate.

Advantages of an introductory home loan

  • Offers a low-interest rate usually for the first year of the home loan
  • The interest rate can be fixed or variable or capped
  • During the honeymoon period, the interest rate cannot go higher, but it may go lower if the mortgage lender’s standard variable interest rate falls
  • Repayments made at introductory rates can reduce the principal quickly, as there is less interest charged during the specified period.
  • An offset facility can usually be used in conjunction with an introductory home loan

Disadvantages of an introductory home loan

  • Repayments for your home loan increase after the introductory period, since the interest rate reverts to the standard variable rate
  • If you have fixed the honeymoon rate and the standard variable rate decreases during this period, your honeymoon rate will not decrease
  • May have early repayment fees (or exit fees) if you pay off the home loan sooner
  • Most mortgage lenders will charge you a penalty if you discharge from this home loan within 3 to 4 years
  • Some mortgage lenders may limit the availability of features, such as redraw facilities and extra repayments to offset the lower interest rate

Interested in getting a home loan with an introductory low-interest rate? Let our loan experts from Intellichoice secure the best possible deal for you. Hit our contact page and talk to a broker today.

Videos for Introductory Home Loan

You should seek pre approval before entering into an introductory home loan arrangement. The reason is simple, building is a complex excerise requiring good co ordination and technical skills.

Articles for Introductory Home Loan

Lenders are aware of the complexity home builders face, and the possibility of costs over runs. This comes primarily from in-experience with managing this type of project. Hence most lenders are not generous when it comes to lending at high LVR’s on an Introductory Home Loan.

Frequently asked questions

Why utilize or use an Introductory Home Loan expert?

Getting a home loan in general can be an overwhelming process for most people. Working with an introductory home loan expert means getting professional advice on the process of getting a home loan, especially for first-time home buyers.

How does Introductory Home Loan work?

Some banks and even non-bank lenders offer a specialised loan package with built-in features that aim to make home buying less stressful--emotionally and financially. First-time homebuyers, in particular, will have an option to choose to get a home loan at an interest rate specifically designed for them for a predetermined period of time.

How to maximize your chances of being approved?

It is safe to look for pre-approval before entering an Introductory Home Loan arrangement. Pre-approval will give you a thought of what your maximum loan will be, which can enable you to decide whether or not its the correct choice for you.

How much can I borrow?

In some cases, first-time home buyers can borrow a minimum of $50,000 to a maximum of $500,000. Talk to one of our brokers today so we can give you more accurate figures.

How to apply for Introductory Home Loan?

First, you need to identify your need and whether you have saved enough money for the deposit. Otherwise, you may opt for a State-initiated scheme that enables you to forgo paying the deposit. After that, you can approach the lender of your choice and discuss with them your situation and whether they are offering an introductory home loan product at the moment. Still unsure? You can talk to one of our brokers and they are more than happy to assist you with any of your concerns related to this.

What is Bad Credit?

When you’ve got a bad credit history you’re typically not qualified for a loan from a bank or traditional credit lender. However, there are loan options available. You’ll simply need to show that you can repay the loan by providing evidence of a regular income, whether that’s through employment or Centrelink. If you’re unemployed and require a loan.

How can I get approved for a loan if I have bad credit?

Fortunately, there are lenders out there who look beyond your credit file. These bad credit loan lenders will take into account income, equity and other things that will enable you to acquire an advance.

How do I get a home loan with bad credit?

Generally speaking, most lenders would still give preferential treatment to borrowers with good credit scores. However, if unfortunately you’ve found yourself in a situation that greatly affected your credit score negatively, you can still apply for a home loan with bad credit.

Some lenders have other home loan products specifically designed for borrowers with bad credit. You can talk to one of our brokers today so we can better assist you.

About Us

Our mortgage broking is second to none. Don’t waste your time and money running around from bank to bank, sifting through ambiguous loan offers only to find they don’t work. Take advantage of our expertise and let us find the right loan or finance to suit YOUR needs.