Thanks for the feedback. Gibbo- not likely to be extended (maternity leave contract), that said though she knows the end date and will have another job lined up to ensure no down time. We would have a contingency in place to be able to afford the loan but the banks don’t seem to take any of that into account.

Megs, thanks for that info, I will look into those ideas a bit further, I guess I would need to be very thorough if considering any type of those deals.

Thanks for the feedback guys.

Is there any solution to this problem like going with a specific lender (even with a slightly higher interest rate), or anything you think we could do other than postpone purchasing?

We have both been in the same line of work (finance/admin) for the last 4 years with minimal breaks between employment- will any lenders consider a short current position history provided it is in the same industry as previous work history?

Would applying for pre-approval with several lenders such as SGB, CBAs 100% loan, ING etc have a detrimental effect on our credit rating if there is too many enquiries? We really need to be able to capitalise any LMI fees into the loan too which I dont know if that will be possible.

Last year we had a home loan of 200,000 which we paid back in full when we sold our house, and have also had a 20k loan which we paid back in full.

Is it worth using a mortgage broker to try and get preapproval/find a lender willing to let us borrow based on our circumstances or will the answer be the same with all lenders (a big fat no until more deposit $ and longer employment stability) regardless?

My last question, do the banks valuation of a property ever come back more than what your paying for it, or is it all slightly rigged to make sure they dont give you more money than they have to?

Thanks again

anyone have any ideas? surely someone out there does….???  

yeah i know what u mean, real estate said 5% or 10% deposit. 'thats the way we do it'. so just had to deal with it.

i couldve stood my ground and negotiated a lower deposit but given there was a lot of buyers we had to make our offer as attractive as possible.

thanks everyone   

also, im not sure if agents/vendors will let you do a conditional contract,, if they refuse to should i try and get a 14 day cooling off period in the contract to allow sufficient time to get a pest building and bank valuation,?? any one have any ideas? this is in NSW. if its a cooling off period, can the vendor pull out or is it only the buyer who gets the cooling off period?

Interesting to know, incidently i just did a search for the previous area (captains flat 2623) and it says the same thing as when i search the new postcode 2581, 300k to 95% LVR and yet they knocked it back…hmm, odd how all this works..

I wonder if the 'instability of employment' issue will still cause a problem for us if they give the go ahead to the area. i thought lenders these days didnt mind if you job hopped a bit (e.g. due to moving to different cities etc) provided you didnt have any long gaps of unemployment..i woulda thought 6months in the same job and being permanent would be enough for them, these LMI companies seem quite strict..will wait and see what happens with my fingers crossed

thanks again richard.

Hi there,

thanks for your help, should I be trying a mortgage broker now to try & find if there is anyone willing to lend me the $$, can brokers get you pre-approval from their lenders or to get pre-approval do you need to go direct to a lender?

or should I just try and find a different lender and apply for pre-approval? (do most charge a fee for this or do it for free?)

Interesting what you say about the parents thing cheraul, my parents fully own their own home outright, but they may be looking at selling it within the next two years. Does this affect it?

Does this mean that the lender would put a hold on 20% of their home, or say if I purchased for 180k, put 15k towards but needed 21k to make the LVR 80%, or would they just value my parents house, and say if it was worth 200k, they would just have a 10.5% hold on their house to match the 21k short I was rather than 20%?

I think my parents would be reluctant to put their house up as security incase we missed a payment could they lose their house (they dont like risk & i dont think they love me that much!!)? They'd have the money to bail out of the 21k stake they guaranteed if we defaulted (which it wont) if that is the way it works?

any idea of companies or further info on this type of approach?

thanks again for ur helps:)  

The town is Goulburn NSW, there are a few project home builders operating in the area- Beechwood Homes, Huxley Homes, Eagle Homes, Allworth homes is about all I think.

I have looked at the cost of brand new houses in the town, there are some 4brm DLUG/ens for $295,000, & Huxley homes was recently advertising house&land 3brm ens in a new estate for $240,000.

I am trying to do the sums on a new vs established home, you can get a basic 3brm established home in a good area for about 260k, but I don’t think it will be possible to build for that $ if the land is 100k once you take the site costs into account.

With the site costs, does anyone know roughly what it costs to go from a vacant block of land to getting the site ready for the slab to be poured? I spose it depends how level the block is to begin with, but do they need to put piping/sewerage etc to a different spot? Any books or resources/sites anyone knows for building a home with FAQ’s / tips etc would be appreciated. Thanks again for your help!!