Paramount Finance Australia 11/20/25 Paramount Finance Australia 11/20/25

5-year goal: 1-in-3 Gen Zs planning to buy a first home

Gen Z may be known for being tech savvy, but they’re also showing their smarts when it comes to home buying, with a surprisingly large number preparing to buy their first home before the end of the decade. Here’s how Gen Zs are making their home-buying plans happen.

They don’t call it the ‘great Australian dream’ for nothing.

Owning a home remains a leading goal for many Australians and a recent Westpac survey found more than one in three (35%) Gen Zs – that’s chiefly people aged in their 20s – plan to buy their first home in the next five years.

That’s a 5% increase since the start of the year, and signals a growing wave of confidence among Gen Z home buyers.

What’s driving the jump in home-buying optimism?

Let’s take a look.

Why more Gen Zs are determined to buy a home

First and foremost, almost two in five (37%) say they want to be more independent. Fair enough too – years of living in the family home, or answering to a landlord, can make a place of your own very attractive.

More than one in three (34%) Gen Zs are keen to buy a home as a way of feeling more financially secure.

About the same proportion (32%) simply want to get off the rental treadmill. Makes sense. Why pay rent when you could be paying off your own home?

What they’re doing to meet their goal

The overwhelming majority of Gen Z buyers – about eight in ten – are boosting their deposit by fine-tuning their lifestyle, making fuss-free changes such as cutting back on food deliveries and other non-essentials to save money.

Faced with a shortage of homes listed for sale, Gen Zs are also playing it smart by broadening their search. Four in five (80%) say they’re happy to consider suburbs they hadn’t previously thought of.

Gen Zs are also keeping their options open when it comes to the type of home they’ll buy.

Plans to buy an apartment, which can have an affordability edge, have jumped 2% since the start of the year, while interest in buying a house has cooled slightly.

More than half (55%) of Gen Z buyers are even considering rent-vesting – making their first property an investment, while choosing to rent where they want to live.

What deposit are Gen Zs aiming for?

There’s no getting around the fact that today’s high property prices can be a hurdle when it comes to saving the traditional 20% deposit.

So Gen Z buyers are leaning towards a different solution: buy with a smaller deposit.

Over half (53%) of 20-something first home buyers are moving ahead with plans for a deposit of 10% or less.

The good news is that this has become a lot easier thanks to the newly expanded Australian government 5% Deposit Scheme. It lets eligible buyers get into the market with as little as a 5% deposit and zero lenders mortgage insurance.

Let’s develop your first home strategy

Buying your first home doesn’t have to be a pipedream.

With a clear savings strategy, the backing of government support schemes, and a home loan that is a great match for your needs, home ownership can be achievable.

Contact us today to start the path forward to buying your first home. You could be in a place of your own sooner than you think!

Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to your circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

Paramount Finance Australia 11/13/25 Paramount Finance Australia 11/13/25

Australian home owners focus on paying down debt

To save or to pay down your home loan, that is the question. Ok, so it’s not Shakespearean levels of contemplation – but it’s still a big decision facing many Australian families right now. Let’s take a look at what the majority of home owners are leaning toward.

A growing number of home owners have given up waiting for rate cuts and are making home loan savings of their own – by knuckling down to reduce their mortgage balance.

A survey by Agile Market Intelligence found 69% of home owners – the highest percentage this year – are making it their top priority to get ahead with their home loan.

Let’s take a look at why so many are deciding to do so.

Interest rates

The interest rate you pay on a home loan will most likely be higher than the rate you’ll earn on a separate savings account.

No surprise there – charging loan interest is one of the key ways banks make money.

So, by paying down your loan sooner, you can typically save more in loan interest charges than the interest you could earn on personal savings.

Better still, the sooner you start paying down your loan, the more interest you can save over time, and the earlier you become debt-free.

That’s because every extra dollar that goes into your home loan comes straight off the loan balance. This in turn lowers the next month’s interest charge.

But as your regular repayments stay the same, more of the next month’s repayment goes towards reducing the loan balance.

In this way, the loan pendulum can start to swing more in your favour, and you can really get stuck into reducing your home loan balance.

Increased equity

When you reduce the amount owing on your loan, your home equity usually increases (so long as the value of your home doesn’t dip in value).

And the more equity you have, the more opportunity you could have to refinance to a lower interest rate loan (there’s more savings for you) or to tap into your home equity to achieve other goals, such as investing in a rental property.

Ways to pay down your home loan sooner

We understand that today’s high living costs mean home owners don’t always have a lot of spare cash to throw at their mortgage.

That’s okay.

It’s possible to pay off your loan sooner – and save on interest charges – even when cash is tight.

Here are some ideas to get you started.

1. Pay more often

Paying half your monthly repayments every fortnight (rather than monthly) means you’ll end up repaying the equivalent of 13 monthly instalments each year instead of 12.

This extra month’s worth of repayments can make further inroads on your home loan balance, and paying fortnightly may also be easier on your cash flow, especially if you can sync repayments up with paydays.

2. Add lump sums

Lump sum payments on your home loan can accelerate its reduction.

That can make it worth depositing tax refunds, end-of-year work bonuses, or other ‘windfalls’ straight into your home loan. Chances are you’ll never miss what you’ve never had.

3. Consider an offset account

An offset account can let you use spare cash to pay off your loan sooner.

The balance of the linked offset account is deducted from your loan balance when monthly interest is calculated. This reduces the monthly interest charge, so more of each repayment whittles away the loan principal.

Talk to us to know if an offset account is suitable for you.

4. Check the rate you’re paying

No matter how hard you work to pay off your home loan sooner, you could be behind the eight ball if you’re paying a higher interest rate than necessary.

For context, the Reserve Bank says the average variable rate is about 5.5%. But according to Mozo, there are plenty of lenders offering a lower rate.

That’s why it’s important not to assume you are paying a competitive rate.

Call us to organise a home loan review. We can confirm the rate you’re currently paying, and let you know if you could save by switching to a loan with a more competitive rate.

How to pay down your home loan sooner

Whether you signed up for a 25- or 30-year mortgage, you don’t have to chip away at your home loan for this amount of time.

And really, how good would it be to become mortgage-free sooner?

If paying down your loan is a personal goal, talk to us to find out more ways you could get ahead with your loan.

Paramount Finance Australia 11/6/25 Paramount Finance Australia 11/6/25

Time to buy? House prices tipped to heat up this summer

Property prices are running hot as we head into summer, and the market is tipped to dial up even further over the next 12 months. Here’s how it could shape your home-buying plans.

Property prices are running hot as we head into summer, and the market is tipped to dial up even further over the next 12 months. Here’s how it could shape your home-buying plans.

Aussie home values are sprinting into summer, with property price growth hitting the fastest pace in over two years in October.

The price hikes are unlikely to stop there.

A record nine out of ten (88%) respondents to a recent API Magazine survey expect home prices to climb higher.

It seems the experts agree.

PropTrack believes we could see further price rises over spring and summer, while the Commonwealth Bank says “we still expect further gains” this year.

If forecasts of rising home prices prove accurate – and as we’ll see, there’s a decent chance they could – now could be the time to bring forward your home-buying plans.

Home prices jump 6.1% in the past 12 months

It’s been a big year for property, with home prices nationally climbing 6.1% over the past 12 months.

Several factors have come together to push home values higher.

Lower interest rates have boosted home buyer demand.

Tight rental markets have fuelled investor activity, with investors now making up around their highest share of lending since 2017.

Further piling pressure on home prices is the additional demand created by the newly expanded 5% deposit first home buyer scheme.

On the flipside, supply remains tight. And supply doesn’t look like catching up to demand any time soon. New home completions are already 15.6% below average for the past decade.

The bottom line is that the potential for further price rises might be a compelling reason to bring forward home buying plans.

Home price growth is eating away at borrowing power

Buying a home is never a decision that should be rushed.

But with no end in sight to property price gains, now may be time to advance your buying plans.

Speak to us – we can let you know if you are home loan-ready right now.

This is not about sprinting in to buy the first home that comes along.

Rather, it’s a matter of making the most of the buying power you have today, because it could be lower tomorrow if home prices keep rising.

You see, while the Reserve Bank’s interest rate cuts have given households on the median income a $51,000 increase in borrowing power, median home values across our big cities have risen almost $54,000 since February.

Put simply, home prices are rising faster than home buyers’ borrowing power.

Call us to get the ball rolling

An unexpected jump in inflation has put a question mark over possible future rate cuts.

So home buyers can’t rely on future rate cuts for an uptick in personal borrowing power.

A better strategy is to talk to us today.

We can explain if you’re home loan-ready right now, and how to get the ball rolling on home finance before prices rise further.

Paramount Finance Australia 10/30/25 Paramount Finance Australia 10/30/25

Forget ‘The Block’, more homes are selling at auction

Season 21 of The Block may be over but the sales are not, with two homes failing to find buyers at auction. It’s a different story across the broader market though. As auction clearance rates heat up we explain how to get your auction game on.

Life may imitate art, but reality TV doesn’t always reflect reality.

The Block’s latest final episode is a case in point.

Two of the five homes failed to sell at auction. One didn’t even attract a bid.

But auction clearance rates in our capital cities are doing better.

Cotality reports auction clearance rates over the past two weeks are at about 72% – much higher than the clearance rate of 59.50% this time last year.

Notably, these high clearance rates are being achieved despite more homes being listed for sale at auction than any other time over the past 18 months

Now, auctions can be daunting because so much is uncertain – the number of bidders, the reserve price and, of course, the final selling price.

Below we’ve outlined five steps you can take to bring a bit more certainty to the auction.

1. Know your borrowing power

Having a firm idea of how much you can borrow can form the foundation of your buying plans.

Forget the online calculators that ask broad questions – and provide broad results that may not be accurate.

We’ll take the time to get to know you, your circumstances and your goals, and let you know for sure what your borrowing power looks like.

2. Set a buying budget

In the excitement of buying a home it’s easy to overlook other upfront costs – anything from stamp duty to mortgage transfer charges or loan application fees.

We can explain the upfront costs you should plan for.

This can help you set a buying budget, and reduce the risk of hidden costs that could derail your purchase.

3. Have your home loan pre-approved

Pre-approval means a lender has agreed to provide you with a home loan up to a certain limit, subject to certain conditions.

And that can be important when you’re buying at auction.

You’d either be very brave or very cashed up to consider bidding at an auction without the backing of home loan pre-approval.

The beauty of pre-approval is that it can help you set a firm upper bidding limit – and give you the confidence to bid up to that limit.

Talk to us about loan pre-approval as soon as you’re ready to start searching for your new home.

4. Get your legal rep to review the contract of sale

“It’s a standard contract” is an assumption that can easily catch buyers out.

If you’re the winning bidder at an auction, there’s no backing out. You don’t get a cooling off period.

So you need to be absolutely sure what you are agreeing to buy.

That’s why it’s important to have the sale contract reviewed by your solicitor or conveyancer before auction day rolls around.

5. Do all the normal pre-purchase checks

Don’t simply assume a property you’re interested in buying is in great condition.

Sure, a pre-purchase pest and building report, or a strata report (if you’re buying an apartment or townhouse) is another cost to wear.

However, it can be an investment that protects you from unexpected (and unwanted) future repair bills that could cost you a lot more.

**Call us before auction day arrives**

In today’s hot property market, sale by auction can be very attractive to sellers.

Paramount Finance Australia 10/23/25 Paramount Finance Australia 10/23/25

All aboard! The affordability of just one extra train stop

If you’ve just boarded the home buyer express, chances are ‘value’ is high on your list of neighbourhood must-haves. Well, it turns out that house hunters who are happy to stay on the train for just one more stop can be rewarded with savings totalling hundreds of thousands of dollars.

When you’re house hunting, it’s not uncommon to want to snag a bargain.

One possible solution? Check out the local rail map.

New research by PropTrack shows house hunters could save hundreds of thousands of dollars simply by looking at suburbs one extra train stop from the city.

Staying on track in the hunt for an affordable home

Steadily rising property prices mean one-in-three property markets across Australia now have median home values of $1 million plus.

But this doesn’t have to derail your home-buying plans.

PropTrack data reveals “dozens” of suburbs across our state capitals where buyers heading to the next station down the line can find more affordable houses.

How much more affordable?

In many areas, an extra train stop could result in six-figure savings – and in one case seven-figures – all for only a few more minutes on the daily commute.

Of course, the train station theory isn’t failsafe.

Some trains terminate in high-value suburbs. In other neighbourhoods, popular schools or nearby beaches can boost values.

But as we’ll explore below, there are many suburbs around the country where there are savings to be found.

Sydney

As the nation‘s most expensive market, finding value in Sydney is challenging. But the train station theory can help.

According to PropTrack, the biggest savings can be found in Sydney’s southern suburbs. Buyers can pay a median value of $1.75 million for a house in Como – and save a whopping $747,500 compared to neighbouring Oatley ($2,497,500).

In the city’s inner west, buying a house in Ashfield (median $2.2 million) can deliver a saving of $300,000 compared to adjacent Summer Hill ($2.5 million).

Melbourne

Across Melbourne, the biggest savings for an extra train stop are found in Caulfield, where the median house price of $1.87 million is a thumping $1,121,250 less than neighbouring Malvern’s median of $2,991,250.

Pascoe Vale buyers who pay the suburb’s median house value of $1.049 million, can save $519,000 compared with those looking one stop closer to the city in Strathmore (median $1.568 million).

Brisbane

The Brisbane suburb of Corinda (median house price $1.22 million) is only one station further along from Sherwood ($1.722 million). Yet for a few more minutes on the train, buyers can save around $502,000 on the average price of a house.

Or buyers could save $350,000 purchasing in Murarrie (median value $1,187,500) instead of Cannon Hill ($1.55 million).

Adelaide

Many of Adelaide’s beachside suburbs are on the city’s western train lines, and the waterfront appeal can see property prices rise despite being further from the CBD.

However, there are suburbs where a single train stop can reward home buyers with big savings.

The most significant price difference is found in Claren Park (median of $1.2 million), which is $311,000 cheaper than neighbouring Goodwood ($1.511 million).

Home buyers looking at more affordable locations can save $217,000 buying in Tonsley (median $675,500) compared to adjacent Mitchell Park ($892,500).

Perth

Okay, Mosman Park (median house value of $2.4 million) is at the higher end of the price range. But it’s separated by just one train stop – and $662,500 – from neighbouring Cottesloe (median $3,062,500).

For more affordable homes, buyers opting for Clarkson ($730,000) could save $220,000 compared to jumping off the train at Currambine ($950,000).

Talk to us when you’re ready to buy

PropTrack’s research shows you don’t have to buy a train wreck of a home to score great value.

What matters is that you research the prices of areas you’d like to buy in – and maybe cast your net a little wider.

When you’re ready to buy, we’ll cast our net far and wide to find a mortgage that matches your needs.

Paramount Finance Australia 10/16/25 Paramount Finance Australia 10/16/25

Bank of Mum and Dad stumps up $40,000

They say there’s nothing quite like a parent’s love. Well, perhaps except for a parent’s love plus an extra $40,000 to help buy your first home. Today we’ll look at the pros and cons of family support – plus other ways to buy a first home that give mum and dad a break.

Saving a first home deposit can be an endurance test.

Nationally, it takes an average of 5.6 years to save a 20% deposit.

The catch is that deposits tend to grow slowly, while property prices can rise quickly. In the past 12 months alone, home values have climbed 4.8%.

For first home buyers, the goal posts can seem to be constantly shifting outwards.

Enter the Bank of Mum and Dad.

Research shows close to one in three (29%) home owners with a mortgage received financial help from their parents – about $40,000 on average.

But without careful planning, the generosity of parents won’t always get first home buyers over the line for a home loan.

Here’s what else you need to know.

Even a modest helping hand makes a difference

Of course, not every family has a spare $40,000 to hand out.

And that’s okay.

Even small sums – for parents who can afford it – can give first home buyers a valuable edge.

That said, it’s worth talking to us at an early stage about the type of support families can provide first home buyers.

Because not every well-meaning offer of help will fast-track a first home.

Hidden traps of the Bank of Mum and Dad

Parents can help first home buyers in a variety of ways – something as simple as letting adult kids live at home for longer can make a significant difference.

When cash payments are part of the picture, three points are worth noting:

A ‘gift’ may need to be declared in writing: a lender may ask for written evidence that a cash gift is exactly that – a no-strings-attached payment that mum and dad don’t expect to be repaid.
A loan from parents could reduce borrowing power: some parents may prefer to loan their adult child money to help with a first home purchase. If that sounds like you or your parents, it’s important to speak with us first. Some lenders may look on a loan from parents as an informal personal loan, and the required repayments could lower a first home buyer’s borrowing power.
Evidence of regular saving is still essential: support from the Bank of Mum and Dad doesn’t eliminate the need to save for a deposit. Lenders typically want to see evidence of regular saving, often spanning three to six months. This savings track record shows a first home buyer has the discipline to manage home loan repayments.

Helping hands that don’t involve mum and dad

Parents always want the best for their kids.

However, no one benefits if parents jeopardise their own financial wellbeing to give their adult children a leg-up into the property market.

If parents cannot, or choose not to, offer children financial support buying a first home, there are other options to consider:

– The 5% deposit Home Guarantee Scheme: this scheme lets first home buyers get into the market with just a 5% deposit and zero lenders mortgage insurance. Recent changes to the scheme mean it now comes with unlimited places and increased property price caps.

– The First Home Super Saver Scheme: this allows first home buyers use their super to grow a first home deposit. It’s estimated the scheme can see first home buyers save a deposit around 30% faster than a standard savings account.

– Co-buy with siblings or friends: sure, it’s not for everyone. However, by teaming up with a sibling or mate you can boost your buying power and share costs. We can explain the home loan options if co-buying is something you’re thinking of.

Talk to us to get the ball rolling

Buying a first home may not be easy. And not everyone has parents who can help give them a leg-up into the property market. But there are many different strategies that can help first home buyers.

Contact us to understand all the options open to you – you could be ready for your first home loan sooner than you think.

Paramount Finance Australia 10/9/25 Paramount Finance Australia 10/9/25

What are the chances of another rate cut this year?

The Reserve Bank has the cash rate in a holding pattern, and several of the big banks have scaled back their predictions of another cash rate cut in 2025. Here’s what it could mean for your home loan.

It looks like the rate cut party may have come to an end – for 2025 at least.

After leaving rates on hold in September, the Reserve Bank of Australia (RBA) is taking a wait-and-see approach, taking the time to gauge how the earlier rate cuts in February, May and August are flowing through the economy.

The RBA’s strategy, coupled with a return to higher inflation in October, has seen plenty of economists talk down prospects of further rate cuts this year.

Let’s unpack what’s happening and how your home loan could be impacted.

The big banks push back predictions of rate cuts

There’s a growing view that we’ve seen the last of rate cuts for 2025.

NAB has backtracked on earlier predictions of possible rate cuts in November and February, and now expects the cash rate to stay on hold until May 2026.

The Commonwealth Bank has also shelved expectations of a November rate cut. It says we’re unlikely to see a drop in the cash rate before February next year.

ANZ no longer expects further rate cuts in 2025, instead pointing to February as the “next plausible option”.

Westpac alone is holding the flag for a possible 0.25% rate cut in December (just in time for Christmas – wouldn’t that be good!).

Why wait ‘til 2026?

These forecasts may be a bit of a downer for homeowners hoping to land a lower rate for the festive season.

But here’s the thing.

We’ve seen plenty of action in the mortgage market lately, and it may not be necessary to wait until the New Year to save with a lower home loan rate.

You may be able to make a rate cut of your own a lot sooner.

Lenders cut rates in a competitive market

According to Mozo, September saw several lenders cut their variable rates despite no change to the cash rate that month.

Mozo says the average borrower with a $660,000 loan could save around $100 per month, or $1,195 annually, by switching from a home loan with a rate of 6.10% to one costing 5.85%.

It’s a strong cue to check the rate you’re currently paying.

Especially as Canstar says a competitive rate for owner occupiers right now is 5.25%.

Could you give yourself a rate cut?

If you’ve had your hopes pinned on more rate cuts this year, it could be time for a rethink.

Instead of holding out for the RBA to cut rates again, another possible strategy is to take control of your own home loan rate.

Paramount Finance Australia 10/2/25 Paramount Finance Australia 10/2/25

Separating? Understand your home loan options

Nicole Kidman and Keith Urban are making headlines, having reportedly called time on their 19-year marriage. If you’re also facing a relationship break-up, it’s important to know where you stand on practical issues, such as how to hold onto the family home, if that’s your goal.

While Keith and Nicole are likely to have a multi-million dollar property portfolio to divvy up, most Australians have just one family home.

That doesn’t necessarily make matters less complicated, especially as our home tends to be the jewel in the crown of household assets.

Some couples choose to sell their home, pay off the mortgage and go their separate ways.

However, if you want to hold onto the family home, the situation may be more complex.

Determining your home’s value

Unless you and your ex plan to sell your home to a third party as part of your separation (which will very quickly tell you exactly what the place is worth), the first step is to get a clear idea of the property’s value.

Knowing the current market value of your home can let you know how much you owe your ex if you plan to buy them out. Or alternatively, it can clarify how much you are owed if your former spouse wants to buy out your stake in the family home.

A local real estate agent can provide a market appraisal. But the figure you’re quoted has no legal standing, and the agent may bump up the value if they believe a listing could be on the cards.

There are websites that offer free valuations. However, these may not be entirely accurate as they are based on past property sales, which may not reflect your home’s value.

The most accurate way to know what your home is worth is by arranging a formal valuation by a licensed valuer.

This will likely come at a cost but the upside is an independent and accurate valuation of your home.

Funding your home if it’s still under mortgage

If you’re keen to hold onto your home, you’ll need to work out how to fund it if the property is still under mortgage.

You can’t normally just take over the repayments on a mortgage if the loan is held in your former spouse or partner’s name. And frankly, this would involve a leap of faith by your ex as any missed repayments could impact their credit score.

So it may be necessary to apply for a loan of your own.

As your broker, we will walk you through the process. A key factor that lenders will consider is: will you be able to manage regular loan repayments?

If you are earning a wage or salary, or relying on Centrelink benefits, spousal maintenance or even child support payments to help meet the mortgage, you’ll likely be asked to provide evidence of this income.

Alternatively, you may be able to refinance your current home loan so that it is held in your name only.

There are a variety of options available – speaking to us at an early stage can help you select the option for your situation.

Separation is a time for support and guidance

Amid the raw emotions of a break-up, it’s important to have support and guidance from trusted professionals.

In some areas, a lawyer may be your first port of call. In others, such as finance, we’re here to help.

So if you’re facing the end of a relationship, get in touch today for a clearer idea of your home loan options. It could help you start the next phase of your life.

Paramount Finance Australia 9/25/25 Paramount Finance Australia 9/25/25

99% of brokers have helped their clients secure a lower rate

Switching to a new home loan might sound like a hassle. But new research shows brokers don’t just make refinancing easier, they can also help home owners secure a lower interest rate – and much more.

A string of rate cuts this year has helped drive a sizeable uptick in the number of Australians refinancing their home or investment loan.

The June quarter saw a 24% jump in the number of home owners refinancing to a new lender compared to the same quarter last year, according to the ABS. And the number of investment loans refinanced rose by 15%.

Switching to a new loan could see you enjoy a raft of benefits – from a lower loan rate through to improved loan features.

And the benefits of refinancing can really ramp up when home owners partner with a broker, new research from the Mortgage and Finance Association of Australia (MFAA) shows.

99% of brokers have secured a discount for borrowers

Who doesn’t love paying less for things?

When it comes to your home loan rate, even a small discount can add up to serious savings on your home loan repayments and long-term interest costs.

The good news is that a recent MFAA survey found a whopping 99% of brokers have recently helped their clients secure a discount.

That’s no surprise to us. As brokers, we work hard to help you land a competitive rate.

And, as brokers work with an average of 23 different lenders, you can be confident we have conducted a thorough search to identify the loans that tick the boxes for your home loan needs.

92% of brokers have helped clients refinance for the first time

Like anything in life, if you’re thinking of refinancing for the first time, the process can seem daunting.

We aim to make it as streamlined as possible.

According to the MFAA, 92% of brokers have helped first-time refinancers. If that sounds like you, rest assured, we take the time to explain how refinancing works, the potential savings in interest you could make, and the timeframe for your new loan to be in place.

Better still, we can liaise with your old – and new – lender to help ease the burden of the whole refinancing process.

97% of brokers have clients who return year after year

Nothing says “customer satisfaction” like a repeat client.

97% of brokers have numerous home owners who keep coming back to them each time they need home loan help, the MFAA survey found.

It’s a testament to the difference brokers can make to your home loan journey – from your first home loan, to your next, right through to an investment property loan and/or refinancing.

So if you’d like to start your journey with us – or take the next step – contact us today and we’ll be happy to help you out.

Paramount Finance Australia 9/18/25 Paramount Finance Australia 9/18/25

Countdown to be in your new home by Christmas

The clock is ticking towards the festive season, and home buyers still have a small window of opportunity to be settled in their new place by Christmas Day. The good news is that a broker can help you get there.

A quick visit to the supermarket shows that shelves are already stocked with festive fare (believe it or not!).

It’s a sure sign Christmas is getting closer. Just 14 weeks away, in fact.

As it can usually take anywhere from four to 12 weeks to settle on a new home, time is of the essence for home buyers hoping to celebrate the holiday season in their new home.

Of course, a home purchase should never be rushed.

But having all your ducks in a row can be the difference between waking up on Christmas morning in your new place, or facing settlement delays because key service providers have shut up shop for the summer holidays.

Here are five ways a broker can help you be in your new home by Christmas.

1. We’ll explain your borrowing power to get the ball rolling

Before heading out to open home inspections, set a date to talk to us first.

We can give you a clear idea of your borrowing power.

This is an important first step.

It tells you how much you can borrow, so you can focus on properties within your price range.

2. We’ll help you find a loan and lender for your needs

A home loan is a major financial commitment, and you need to be confident your loan is suitable for you, your budget and your lifestyle.

That’s why we take the time to understand you and your goals.

From there, you can leave the home loan search to us, confident in the knowledge that we’ll only look at loans that tick the boxes for your needs.

Of course you always have the final say in your choice of home loan, but by narrowing down the loan selection for you, we can give you more time to find your dream home.

3. We can arrange home loan pre-approval to help avoid settlement delays

There are good reasons to have your home loan pre-approved – especially at this time of year.

Pre-approval helps set a buying budget. It gives you serious clout when it comes to price negotiations.

And pre-approval is also helpful if you’re buying at auction.

It lets you bid with confidence up to a known limit, and that’s especially valuable in the current market, with Cotality reporting the highest levels of homes going to auction since June 2025.

Importantly, pre-approval can help speed up the pathway to unconditional loan approval. That’s because your lender has already done most of the groundwork involved in your loan application.

Long story short, having your loan pre-approved can be a strategy to help avoid unwanted delays.

4. We can help you put together a team of experts

Along with a broker and a lender, you’re likely going to need the support of other experts, in particular, a solicitor or conveyancer, who will review the contract of sale and complete the settlement process.

It can be a good idea to have your legal team lined up before you sign a contract. That way, the settlement process can kick off from the date of exchange of contracts without delay.

We can tap into our professional network to put you in touch with reputable service providers.

This can save you the hassle of phoning around trying to line up different professionals when the countdown has begun for the festive season.

5. We’ll manage your loan application right up to the finish line

Preparing for Christmas can be stressful enough. Let alone moving house during the festive season.

So it’s reassuring to know we can remove an extra layer of stress by liaising with your home loan lender all the way to loan settlement.

As we work closely with a variety of lenders, we’re well-placed to manage the mortgage process.

We know the decision-makers to speak with, and we will monitor your loan application from start to finish.

Is a new home on your Christmas wishlist?

Completing a home purchase in time for Christmas is a great feeling.

Knowing you have your new home sorted and your loan in place can let you relax and enjoy the festive season, pop the cork on a few bubbles, and look forward to 2026 in your new home.

Paramount Finance Australia 9/11/25 Paramount Finance Australia 9/11/25

Jump into the market up to 4 years sooner with 5% deposit scheme

If you’re like most first home buyers, you’ve probably realised by now that saving up for a 20% deposit can be a real slog. But what if we told you that you now only need a 5% deposit? And better yet, you could already have that amount ready to go now.

Saving up a deposit to buy a first home can be the equivalent of running a financial marathon.

It takes around 5.6 years for the average Australian family to save a 20% deposit, according to PropTrack (and potentially even longer, depending on where you want to buy).

But here’s the rub.

Home prices don’t stand still while you’re growing that all-important deposit.

Rising property prices can push the goal posts further out of reach no matter how hard you save.

The good news is that the recent expansion of the popular Home Guarantee Scheme (HGS) is expected to reduce the time taken to save a deposit by up to four years, says Housing Industry Association (HIA) Senior Economist Tom Devitt.

Our back-of-the-napkin maths says that means it could now take first home owners just over 18 months to save for a first home deposit – and many on their savings journey might already be there.

What is the Home Guarantee Scheme?

The HGS is designed to help first home buyers buy a place of their own sooner.

Unlike, say, the First Home Owner Grant, which sees eligible first home buyers receive a one-off payment, no money changes hands with the HGS.

Instead, it works by letting first home buyers purchase a place with just a 5% deposit, while the federal government guarantees the remaining 15%.

This provides lenders with security equal to a 20% deposit, meaning home buyers don’t need to pay lenders mortgage insurance (LMI) – which is usually not a small amount.

“First home buyers pay between $25,000 and $30,000 in LMI to purchase an average home,” explains the HIA’s Mr Devitt.

In this way, first home buyers can now get into the market with a smaller deposit while also saving on upfront costs.

Unlimited places, higher home price caps from 1 October 2025

The federal government recently announced important changes to the HGS.

From 1 October 2025, the scheme will be open to all Australian first home buyers.

There will be no limit on the number of people who can apply each year.

Income caps will be scrapped, allowing first home buyers with higher incomes to access the scheme. And property price thresholds will be raised to help home buyers where home values have increased.

The bottom line, according to the HIA, is that these changes to the HGS could see first home buyers buy a place of their own four years sooner on average.

How we can help you buy your first home

If you’re a first home buyer, the stars may finally be aligning.

Our job is to help you make the most of every opportunity to buy a home of your own.

Not all lenders have signed up to the HGS.

So talk to us to find out which loans and lenders are part of scheme and get the ball rolling on your first home.

Paramount Finance Australia 9/4/25 Paramount Finance Australia 9/4/25

5 steps to help you find a competitive edge this home-buying season

Spring is traditionally the peak season for property, and three rate cuts this year could further fuel buyer competition. Check out five steps that can give you a valuable head start this spring.

Spring is traditionally the peak season for property, and three rate cuts this year could further fuel buyer competition. Check out five steps that can give you a valuable head start this spring.

The combination of warmer weather, blooming gardens and the chance for buyers to be settled in their new home by Christmas makes spring one of the most popular periods for home buyers.

This spring is set to be no different.

Some experts are even predicting that the August rate cut could ignite the spring property market and intensify buyer competition.

Here’s how you could give yourself a competitive advantage this spring.

1. Set a date to talk with us

No matter whether you are a first-home buyer or upgrading to your next home, recent months have seen plenty of changes in the mortgage market.

Three rate cuts in 2025 have likely changed your borrowing power, and it is critical to know how much you could borrow so that you can establish a home buying budget.

Wasting time looking at homes you cannot afford can mean missing out on your ideal property.

Bottom line: set a date to meet with us to know where you stand in terms of your home loan readiness and personal borrowing power.

2. Consider home loan pre-approval

Having your home loan pre-approved before you even start heading off to open home inspections can give you a real edge.

Pre-approval provides reassurance that you can secure funding up to a set limit.

This means you’re well-placed to make a strong initial offer, or bid at an auction, knowing exactly what your upper price limit looks like.

Loan pre-approval also lets you act quickly when you see a place you want to buy. This alone can put you in pole position ahead of less organised buyers.

3. Look beyond open homes

In a fast-moving spring market, some homes will be sold before they’re even publicly advertised.

That’s why it can pay to connect with local real estate agents or a buyer’s agent and let them know your buying budget (home loan pre-approval will clarify this).

That way, they can let you know about any off-market opportunities – homes that haven’t yet been openly listed for sale.

Hot tip: don’t be afraid to let selling agents know you have loan pre-approval. It shows you are a serious buyer.

4. Understand the buying process

No matter whether you’re a first-time buyer or a seasoned home owner, the home buying process can seem confusing.

We can give you a clear understanding of how it all works and the steps involved.

The more you know, the better placed you can be to act quickly when the right property comes along.

5. Build your team of specialists

They say it takes a village to raise a child.

But it can take a team of specialists to buy a home.

Along with an experienced mortgage broker, you’ll likely need a lawyer or conveyancer for the legal aspects of your property purchase, maybe a buyer’s agent to track down suitably priced properties, and a building/pest inspection service that can act fast to examine a property when you’re ready to make an offer.

Having all your team members ready to go can shave valuable time off the buying process, and let you beat other buyers to the finish line.

We can help put you in touch with our trusted network of specialists if you wish.

Moving fast could mean price savings

While no property purchase should be rushed, being organised – and bringing forward your home buying plans – could see you save on price.

Analysis by PropTrack shows that September home buyers typically pay 0.23% less for a home than the average price throughout the year.

Delay buying until November, and you could pay 0.78% above the average price.

It’s a great incentive to follow our five steps and head into the spring market ready to go, and bursting with confidence.

Paramount Finance Australia 8/28/25 Paramount Finance Australia 8/28/25

5% deposit scheme expands early – will it increase house prices?

The popular Home Guarantee Scheme that lets first home buyers get into the market with just a 5% deposit has been expanded sooner than expected. But an unexpected twist means first home buyers may want to bring forward their buying plans.

The Home Guarantee Scheme (HGS) allows first home buyers to buy with just a 5% deposit – and not pay lenders mortgage insurance.

At present, the HGS is only available to first time buyers who meet various conditions around personal income and the price they pay for their home. There are also annual limits on the number of buyers who can access the scheme.

The HGS was due to be expanded in 2026 to allow all first home buyers to buy a home with as little as a 5% deposit.

This week saw these changes brought forward to 1 October 2025.

It’s great news for first home buyers who may not previously have been eligible for the HGS. However, as we’ll see, it could also be the cue to bring forward your buying plans.

How the 5% deposit scheme works

As home prices rise, it’s no mean feat pulling together the funds needed for a 20% deposit.

So it’s no surprise the HGS has proven very popular.

Since launching in 2020, the scheme has helped more than 230,000 first home buyers enjoy the rewards of home ownership with a deposit as low as 5%.

While the HGS doesn’t involve a cash payment to first home buyers, it can help you save in other ways.

As the federal government guarantees part of your home loan, this waives the need for lenders mortgage insurance – a saving that can be worth tens of thousands of dollars.

How the 5% deposit scheme is changing

From 1 October, all first home buyers will have access to apply for the HGS.

The current caps on the number of places, and income limits, will be scrapped.

The scheme’s property price limits will also be set higher, providing access to a greater variety of homes.

In addition, the Regional First Home Buyer Guarantee will be replaced by the First Home Guarantee.

Minister for Housing Clare O’Neil says these changes are all about getting more people into their first home sooner.

Why consider bringing forward buying plans?

The early expansion of the HGS may provide a valid reason to bring forward your buying plans.

The Insurance Council of Australia says the expansion of the scheme could see house prices rise up to 10% in the first year alone in markets preferred by first home buyers.

Nationally, it predicts prices could rise 3.5-6.6%.

The logic here is that the expanded scheme may create more buyer demand in Australia’s already undersupplied housing market, thereby pushing up prices.

Talk to us to find out if you’re home loan ready

The reality is that no one can say for sure how home prices will rise in the future.

What we can say, though, is that most people find it more rewarding to pay off their own home than they do their rent.

Remember too, you can still apply for the HGS before 1 October, as long as you meet the income caps and current property price limits.

Talk to us today to see if you could buy with a 5% deposit. You could be home loan ready right now!

Paramount Finance Australia 8/21/25 Paramount Finance Australia 8/21/25

Surge in switching: 1,000 home loans refinanced every day

Three rate cuts since February have spurred home owners to take a closer look at their home loan. Turns out plenty have found a loan better suited to their needs elsewhere, with 100,000 home loans refinanced in the past quarter.

It’s not every day we do a double-take looking at lending numbers.

But it happened this week, with the latest ABS data revealing an astonishing 1.26 million home loans have been refinanced over the past three years.

A rise in refinancing kicked off when the Reserve Bank of Australia (RBA) hiked rates across 2022 and 2023.

Now that rates are on the way down, home owners are just as eager to switch.

Almost 100,000 mortgages were refinanced in the June 2025 quarter. That’s just over 1,000 home loans daily – the highest level since September 2023.

Here’s why Australians are refinancing in such large numbers.

The potential to save on loan interest, lower repayments

The RBA has handed home owners savings on a platter in recent times, with three rate cuts totalling 0.75% so far this year.

But home owners hungry for more have the potential to unlock extra savings.

Canstar has crunched the numbers, finding that a borrower with a $600,000 loan could save more than $12,000 over the next two years by switching to a lower-rate loan.

This assumes the borrower hasn’t renegotiated their rate in the last three years. But that’s not unreasonable.

Meanwhile, a Finder survey shows more than one-in-two home owners have no idea what rate they’re currently paying.

A chance to access home equity

Refinancing may offer more than rate savings.

Switching to a new loan could be an opportunity to tap into the equity built up in your home. And you could have a lot more equity than you realise.

Home values nationally have risen 45% in the last five years, and are 65% higher than they were a decade ago.

So if you need funds for a variety of purposes – from renovating your home, to paying for the kids’ education, to investing in a rental property – refinancing may offer a lower-rate solution.

A loan better suited to your needs

Switching to a new home loan may also be a chance to access improved loan features.

Maybe you’re keen to take advantage of an offset account or split your loan between fixed and variable rates.

If your current loan doesn’t offer these or other features such as a redraw facility, it could be worth looking into refinancing.

Leave the legwork to us

More than a hundred thousand families have benefited from refinancing in the last quarter alone.

The longer you put it off, the longer you may keep paying your old rate.

Paramount Finance Australia 8/15/25 Paramount Finance Australia 8/15/25

Skipping pre-approval sees 1-in-10 first home buyers miss out

Buying a first home isn’t always easy, and first-timers sometimes miss out on a place they’ve set their heart on. But more than one-in-ten first-time buyers have missed out simply because they didn’t have home loan pre-approval.

Buying a first home can be an emotional roller coaster. It’s not unusual to find a property you love, only to lose out.

A Finder survey shows three-in-five first home buyers have been beaten to homes – usually because they’ve been outbid by a competing buyer.

There’s not a lot you can do about another buyer having deeper pockets.

But there are steps you can take to potentially give yourself a strategic advantage.

One of them is having home loan pre-approval.

Yet Finder reports more than one-in-ten (11%) first home buyers lost out on a home because they didn’t have pre-approval in place.

Here’s why pre-approval can give you a competitive edge.

What is home loan pre-approval?

Home loan pre-approval involves applying for a home loan before you begin house-hunting.

It’s a chance for a lender to check out your details (such as your income, deposit and savings record), and give you the thumbs-up for a loan to a certain price limit.

Think of it as you and your lender both swiping right on each other.

Pre-approval shouldn’t cost you anything. And you’re not committed to take out the loan.

But it can be very reassuring to know you’re good for finance when the right property comes along.

As the lender specifies how much you can borrow, pre-approval also helps set a buying budget, and lets you confidently negotiate on price or bid at auction.

The risks of skipping loan pre-approval

Of course, you can choose to apply for a loan after you’ve found a home to buy.

It can be a more high-stakes approach, and leaving things this late can put you at a disadvantage.

Lenders usually need time to review your application and decide if you qualify for a loan – and how much you can borrow.

That time gap could see a more organised buyer jump in and beat you to the finish line if time is a factor for the vendor.

There’s also the risk of overestimating your borrowing power (that said, we can help you work that out without going through formal home loan pre-approval).

Long story short, while loan pre-approval is not compulsory, it can be a smart step that lets you act fast – and with confidence – and it tells sellers you’re a serious contender for the property.

The fine print on home loan pre-approval

A few finer points of home loan pre-approval are worth knowing:

1. Pre-approval comes with a time limit: loan pre-approval doesn’t last indefinitely. In most cases, pre-approval extends for three to six months depending on the lender. Don’t let this rush you. We can help you reapply for pre-approval if that time lapses.

2. Pre-approval is based on your circumstances when you apply: life doesn’t stand still for long. If your circumstances change after receiving home loan pre-approval, let us know and we can talk to your lender to update your pre-approval.

3. Not all lenders offer home loan pre-approval: every lender is different. And some choose not to offer loan pre-approval. We can save you time by explaining the lenders that offer pre-approved home loans.

Get in touch for more information

If you’re not sure where to begin with home loan pre-approval, contact us today.

We can guide you through the steps involved, and explain how home loan pre-approval could help you beat other buyers to the punch.

Paramount Finance Australia 8/12/25 Paramount Finance Australia 8/12/25

Third rate cut delivered this year as RBA trims cash rate to 3.60%

Borrowers around the country have been delivered a sunnier financial outlook this month after the Reserve Bank of Australia (RBA) today trimmed the cash rate by another 25 basis points to 3.60%. How much could your monthly mortgage repayments decrease?

After last month’s unexpected hold, the RBA this month went with market expectations and delivered its third cash rate cut in 2025 in an attempt to ease cost-of-living pressures on Australian families.

RBA Governor Michele Bullock said in a statement that the Board unanimously decided to cut the cash rate by 25 basis points as underlying inflation continued to decline back towards the midpoint of the 2-3% target range.

How much could you now save on your mortgage repayments?

Unless you’re on a fixed-rate mortgage, hopefully your bank will soon follow the RBA’s lead and decrease the interest rate on your variable home loan.

For an owner-occupier with a 25-year loan of $500,000 paying principal and interest, this month’s 25 basis point rate cut means your monthly repayments could decrease by about $76 a month.

That would put $912 a year back into your household budget.

If you have a $750,000 loan, your monthly repayments will likely decrease by about $114 a month – or $1368 per year.

Meanwhile, a $1 million loan could decrease by about $152 a month – or $1824 a year.

This all assumes that your lender automatically passes on the full 25 basis point cut to your home loan.

Another thing to consider is that not all lenders automatically reduce variable home loan repayment amounts in line with rate cuts.

Some lenders simply maintain your repayment amount at the old level. It’s just that more of your money goes towards paying off the principal (rather than the interest) each month. But you can ask them to reduce your repayments in line with their cuts.

To find out what your lender is doing with your loan, get in touch with us in a few days once the dust has settled.

Still feeling stress from your mortgage?

Even with this latest rate cut, many Australian families are still grappling with living costs and interest rates that are higher than when they first took out their home loan.

If that includes you, now could be a good time to check in with us for a home loan health check.

You might be able to improve your situation by either renegotiating with your current lender, refinancing to another lender, or through debt consolidation.

Whatever your situation, we’re here to help you explore your options.

Paramount Finance Australia 7/31/25 Paramount Finance Australia 7/31/25

How your home can help your kids get a great education

Location, location, location. Or should we say: education, education, education. New research shows homes in the catchment areas of sought-after public schools can command six-figure price premiums. Here’s why.

Your home can be much more than a roof over your head. It’s also an investment that may build personal wealth and serve as a form of disciplined saving.

And a new analysis by Cotality (formerly CoreLogic) shows our homes can also play an unexpected role, such as helping our kids enjoy a decent education.

Families pay 6-figure premiums for homes in popular catchment zones

Cotality recently looked at property values inside high-performing public high school catchment zones in Sydney and Melbourne.

It found what families around Australia have probably long suspected – that homes located inside catchment areas for popular public schools can command 6-figure premiums compared to similar properties outside the school zone.

The willingness of families to pay more isn’t just about the kids being able to walk to school.

Cotality says that while the price premium within popular public school zones can top $100,000, this can still see families saving money when compared to paying for private schooling over many years.

Better still, unlike school fees, which tend to rise over time, mortgage repayments often decrease in real terms due to inflation.

3 ways your home (and home loan) could help with school costs

Pulling up stumps and moving to a new home within a particular school catchment isn’t for everyone.

Fortunately, there are other ways your home and mortgage could help fund a quality education.

Here are three strategies you could consider.

1. Pay for school fees using an offset account

An offset account is an at-call account linked to your home loan.

Instead of earning separate interest on the offset account, the balance is deducted from (or ‘offset’ against) the value of your home loan when loan interest is calculated.

If you have, say, $50,000 in the offset account, and a mortgage of $600,000, loan interest will be based on a balance of $550,000 instead of $600,000.

In this way, an offset account can help you achieve two goals – providing a secure place to grow savings for your child’s education, while also helping you get ahead with your home loan.

2. Tap into home equity

Home equity – the difference between the current market value of your home and your loan balance – can be put to work to achieve a variety of personal goals.

With almost half (44.8%) of all suburbs across Australia now at record high values, you could have more home equity than you realise.

One way to use equity is to request a loan top-up from your lender. We can explain what’s involved for your specific circumstances

In general though, the decision to tap into home equity should be a cue to review your home loan.

Refinancing to a new loan could see you save with a lower rate or access improved loan features – all while freeing up equity to pay for a place in the school of your choice.

3. Invest in a rental property

A rental property may also help pay for your child’s education.

Your tax advisor or accountant can explain if an investment property is a suitable choice for you.

Broadly speaking though, the regular rent you receive, plus possible tax savings from negative gearing, and a rise in the property’s value over time (which can generate more equity to use) all have the potential to help you fund school costs down the track.

Alternatively, you could also consider rentvesting.

This can allow you to buy a more affordable property that’s outside your desired school’s catchment area, while renting a home to live in inside the catchment area.

Keen to learn more?

Paying education expenses can be challenging. But let’s face it, so can a mortgage if you overextend yourself.

That’s why it can be important to assess your borrowing capacity before you go house hunting.

We can help you work out how much you can comfortably borrow, which in turn, can help you buy a home in the catchment area of a school that you’d like to send your kids to.

Paramount Finance Australia 7/25/25 Paramount Finance Australia 7/25/25

Newly built homes notch up strongest sales in 3 years

There’s a lot to love about buying a brand new home, and sales of recently constructed homes have increased 19% over the last quarter. We look at the pros and cons of buying a new home – and the financial incentives available to new home buyers.

Fresh paint, spotless floor coverings and shiny new appliances. It’s easy to see the appeal of newly-built homes.

And it turns out a growing number of Australians are choosing new homes.

The Housing Industry Association says sales of new detached homes rose 18.8% in the three months to June 2025 compared to the previous quarter.

It’s the strongest new home sales in almost three years.

Despite new homes having loads of appeal, they can come with downsides.

Here’s what to weigh up.

The pluses of buying a newly built home

The word ‘new’ says it all.

As a new home buyer, everything in your property is squeaky clean – no outdated appliances, no dodgy décor – just a shiny new home built with modern lifestyles in mind.

That’s not the only upside.

A new home can offer other advantages:

– Energy efficiency: new homes must be built to a high standard of energy efficiency. It can make a new home more comfortable, and provide savings on utility bills.

– Lower repair/maintenance costs: buy a new home, and you can be fairly confident that repair and maintenance bills aren’t going to burn a hole in your wallet – in the early years at least. If repairs are required, the cost may be covered by the builder’s warranty.

– Opportunities to customise: if you build a new home, you may have the opportunity to alter the layout, fittings, finishes and colour palette to suit your personal preferences. It can cost a lot less to make these changes during construction compared to renovating an older home to your taste.

– High depreciation for investors: if you’re buying as an investor, a newly-built home can offer depreciation benefits, which could translate to tax savings.

Possible drawbacks of new homes

Property is usually a major purchase in your life. So it’s important to look beyond the appeal of a newly-minted home to decide if it’s right for you.

Points to weigh up include:

– The possibility of an outer suburban location: unless you decide to build on an in-fill site in an established suburb, newly built homes are most often found in outer suburbs.

This sort of location won’t suit everyone.

But if you can push past the growing pains of a new suburb (such as less established infrastructure), a freshly-built home may be more affordable than an established home in an inner suburb.

– You may have a stressful wait: with an older home, you can usually move straight in after settlement. Buying a new home can mean waiting for construction to be completed and signed off by council.

Anyone who’s watched Grand Designs can tell you the process can be extremely stressful, with building costs and timeline blowouts commonplace. You may also face delays and disputes when it comes to getting the builder to fix any defects.

All this can mean paying rent longer than expected – or living in a tiny trailer onsite, as so often happens on Grand Designs.

Government incentives for buying a new home

Buyers of new homes may benefit from savings on stamp duty and government incentives.

– First Home Owner Grant: this changes from state to state, so do your research here. But it is typically only available if you buy/build a new home (or in some states, a substantially renovated home).

– Stamp duty incentives: stamp duty is usually based on the value of a property at the time of purchase. This being the case, buying land first and building later can mean savings on stamp duty.

As home prices push higher, most Australian states including New South Wales, Victoria, Tasmania, Queensland and Western Australia, have made stamp duty concessions available to first home buyers, no matter whether you buy a new or established home.

First home buyers in South Australia still need to buy/build a new home to be eligible for stamp duty savings.

We can help explain your home loan options

Finding a loan that matches your needs depends on whether you are buying land to build on later, opting for a house and land package, or purchasing a newly constructed home.

Get in touch with us today to discuss your plans and we can run you through some funding options that could help you enjoy the benefits of owning a brand new home.

Paramount Finance Australia 7/17/25 Paramount Finance Australia 7/17/25

Has your borrowing power increased in 2025?

If you haven’t checked your borrowing power recently, it might be worth another look. A lot has happened in 2025, and your borrowing capacity could be higher than you realise.

If you haven’t checked your borrowing power recently, it might be worth another look. A lot has happened in 2025, and your borrowing capacity could be higher than you realise.

It’s been a busy year on the money front.

Tax cuts, a couple of rate cuts, and reductions in HECS debts have all potentially been a plus for our financial wellbeing.

That’s not all that’s improved.

There’s a decent chance your borrowing power has enjoyed a boost, which could make now a good time to revisit your borrowing capacity.

What shapes your borrowing power?

Your borrowing power, or as lenders like to call it – your borrowing capacity – is the amount a lender will let you borrow to buy a home.

Each lender has their own way of calculating borrowing power.

But it mainly boils down to three things: your income, your household expenses, and any other debts you may have that’ll need to be repaid alongside a home loan.

The important thing to know is that your borrowing power isn’t set in cement.

It can change over time, and recent months have seen several events that are likely to have increased your borrowing capacity.

Here are 4 reasons why your borrowing power could be on the rise.

1. Interest rates have fallen

Two official rate cuts this year have helped to lower home loan interest rates.

This time a year ago, the average variable rate on new loans was about 6.3%. Today it’s closer to 5.8%.

Lower rates mean lower monthly home loan repayments. This flows through to higher borrowing power.

How much higher?

Canstar says the February and May rate cuts could have added $23,000 to the borrowing power of a single person on the average wage. A couple may have seen their borrowing power increase by $40,000-$45,000.

2. Tax cuts have kicked in

A year ago we were celebrating the arrival of Stage 3 tax cuts that put money back in our hip pockets.

Tax cuts can have another happy side effect.

Paying less tax can mean more after-tax income. This converts to higher borrowing power.

The uptick can be surprisingly generous.

According to Compare the Market, the Stage 3 tax cuts could mean a couple with no kids has seen a $47,000 increase in their borrowing capacity.

3. Wages are up

Around 2.9 million Australians received a pay rise from the start of July thanks to a 3.5% increase in the National Minimum Wage and award wages.

Even if you’re not covered by these wage rises, the boss may have agreed to give you a pay rise from 1 July.

Or a new job could see you earning more.

Talk to us to know how a bigger pay packet may have impacted your borrowing power.

4. Lenders are treating HECS-HELP debts differently

In the past, lenders have typically included student debt – that’s HECS-HELP loans – in their loan serviceability calculations.

In 2025 however, lenders have been given the flexibility to overlook HECS-HELP repayments as long as the outstanding student debt is close to being paid off.

If this sounds like you, your borrowing power may now be higher than you expect.

Steps you can take to potentially lift your borrowing power

Keen to boost your borrowing capacity further? It may be done by following some, or all, of the steps below:

Reduce regular expenses: lenders take household expenses into account when deciding how much you can borrow. Trimming back a few regular bills can make a difference to your borrowing power. Consider cutting back subscriptions for apps and streaming services, the gym, or shop around for cheaper power or phone plans.

Cut your credit card limit: lenders assess your borrowing capacity based on your card’s credit limit, not the outstanding balance. As a rough guide, every $10,000 of credit card limit can reduce your borrowing power by about $50,000. If you’re not keen on cancelling a card altogether, consider contacting the card issuer to lower the credit limit.

Keep a lid on other debts: the more you can cut back other debts, such as personal loans or car loans, the higher your borrowing power can be. Sure, it’s not easy paying down debt. But keep your eyes on the prize – it could take you closer to buying your first, or next, home.

Get to know your number

Just because you can borrow more, doesn’t mean you should borrow more.

Even so, it’s always worth knowing your personal borrowing capacity – it’s a key number that can help you achieve your property goals.

Get in touch if you’d like to find out your current borrowing power.

We can share ways you can improve your borrowing capacity, and explain how you can make the most of it to apply for a loan that matches your needs.

Paramount Finance Australia 7/11/25 Paramount Finance Australia 7/11/25

Two-thirds of borrowers could save by refinancing: report

Home owners hoping for rate relief in July may be disappointed, but it’s still possible to score a rate cut of your own by refinancing. Despite this, plenty of borrowers are sticking to an old loan – and it could be costing them.

When it comes to rate cuts, nothing is certain until the Reserve Bank of Australia (RBA) wraps up its board meetings.

We saw this in July, when a long line of pundits predicted a rate cut was almost a sure thing, only to see the RBA keep rates on hold due to concerns about an uncertain economic outlook.

The good news is this hasn’t stopped tens of thousands of home owners negotiate a personal rate cut by refinancing.

Refinancing ramps up in 2025

Recent figures from property settlement firm PEXA, show refinance volumes have rebounded, rising 12.5% over the year to March 2025 as borrowers chase lower rates.

That’s seen thousands of home owners land a rate cut of their own, with the Australian Bureau of Statistics reporting over 65,000 home loans were refinanced in the first three months of 2025 alone.

But it seems many are still missing out.

A survey by Compare the Market shows 65% people who’ve had the same home loan for 3-plus years haven’t refinanced.

And in today’s home loan market, a loan that was competitive back in the day may no longer be such a great match for your needs.

Why think about switching?

As we saw this month, there are no guarantees the RBA will bring future rate relief.

That’s why it can be important to take a front-foot approach by getting in touch with us to compare your home loan options.

This especially applies if you’ve had the same loan for several years, because there’s been plenty of action in the mortgage market lately.

Mozo reports that some lenders have introduced rate cuts on their own, others have held back on official rate cuts, and a growing number are offering fixed-rate options starting with a ‘4’ (now there’s something we haven’t seen for a while!).

Is refinancing right for you?

Loyalty is a great quality – just perhaps not when it comes to home loans.

Sticking with an old home loan can mean paying a higher interest rate than necessary, or missing out on improved loan features.

If you and your loan have been together a while, call us to see if your home loan is still suitable for your needs – and if not, we can help you find one that is.