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Common questions

Everything you need
to know.

Answers to the most common questions about home loans, mortgage brokers and working with Lendology.

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HomeFAQs

Home loans

How much can I borrow for a home loan in Adelaide?

Your borrowing capacity depends on your income, living expenses, existing debts, and the lender's serviceability criteria. Most lenders apply a 3% buffer above the actual loan rate. Use our borrowing power calculator for a quick estimate, or book a chat and we will assess your full picture across 60+ lenders.

What deposit do I need to buy a home in South Australia?

Many buyers aim for 20% to avoid Lenders Mortgage Insurance. Eligible first home buyers can purchase with as little as 5% through the First Home Guarantee. Some professionals qualify for LMI waivers at 90% LVR. Lendology shows you every path available based on your savings and circumstances.

How long does home loan approval take?

A well-prepared application can reach conditional approval in 2 to 5 business days. Formal approval follows within 5 to 10 business days after valuation. Settlement is typically 4 to 6 weeks after signing contracts. Lendology manages the timeline and keeps you updated throughout.

What is the difference between pre-approval and formal approval?

Pre-approval is a conditional assessment of your borrowing capacity before you find a property. Formal approval is issued once a specific property has been valued and all conditions satisfied. Pre-approval lets you bid at auction with confidence. Formal approval allows settlement to proceed.

Do mortgage brokers charge fees?

No. Lendology's service is at no cost to you. We are paid a commission by the lender once your loan settles. Under Australian credit law we are legally required to act in your best interest - not the lender's.

First home buyers

What is the First Home Guarantee?

The First Home Guarantee allows eligible first home buyers to purchase with as little as 5% deposit without paying LMI. The government guarantees up to 15% of the property value. In SA the property price cap is $900,000. Income caps of $125,000 for singles and $200,000 for couples apply.

Am I eligible for the First Home Owner Grant in SA?

The SA First Home Owner Grant is available for new builds only. You must be an Australian citizen or permanent resident, purchasing or building your first home, and intend to live in it as your principal place of residence. Lendology confirms your eligibility as part of your application.

Do first home buyers pay stamp duty in South Australia?

First home buyers in SA may be eligible for stamp duty concessions that significantly reduce or eliminate the cost depending on the purchase price and property type. Lendology calculates the exact concession applicable to your purchase.

Should I get pre-approval before looking at properties?

Yes, strongly recommended. Pre-approval tells you your borrowing limit, gives you confidence at auction, and makes you a more credible buyer in negotiations. Lendology secures pre-approval typically within 1 to 3 business days.

Refinancing

When should I refinance my home loan?

Consider refinancing if your rate has not been reviewed in 12 to 18 months, your fixed rate is expiring, your property has increased in value, or your financial situation has improved. Lendology does the analysis and tells you honestly whether switching makes sense.

How much does it cost to refinance?

Lendology's service is at no cost to the borrower. Costs typically include a discharge fee ($150 to $400), government mortgage registration fees (around $186 in SA), and potentially a break cost on fixed rates. We show you the true net saving after all costs.

Can I refinance to access equity in my home?

Yes. If your property has increased in value or you have paid down your loan, you may be able to refinance to a higher amount to access equity for renovations, an investment deposit, or debt consolidation.

Will refinancing affect my credit score?

A loan application generates a credit enquiry which temporarily affects your score. Lendology minimises this by identifying the right lender before applying - we apply once, to the right lender.

Investment property

What deposit do I need for an investment property?

Most lenders require 10 to 20%. If you own your home you may be able to use equity as a deposit. Lendology structures the deposit and loan in the most tax-efficient way.

Should I use interest-only or P&I for my investment loan?

Interest-only maximises cash flow and the deductible interest expense. P&I reduces the balance over time and carries lower rates. The right structure depends on your income, tax position and strategy. Lendology works alongside your accountant.

What is negative gearing and how does it work?

Negative gearing occurs when your property's holding costs exceed rental income. The resulting loss is offset against your other income, reducing your tax liability. Lendology structures investment loans to maximise deductibility.

Separation and divorce

Can I keep the family home after separation?

Yes, in many cases - through a buyout where you refinance into your sole name and pay your former partner their equity share. Lendology assesses your sole borrowing capacity across 60+ lenders.

How do I remove my ex-partner from a joint mortgage?

Apply for a new loan in your name alone, demonstrate you can service the debt, and formally release your former partner. Lendology manages the entire process alongside your family lawyer.

Is stamp duty payable on a property transfer after separation in SA?

Transfers as part of a formal property settlement may be exempt from stamp duty in SA. This requires a Binding Financial Agreement or Consent Orders. Lendology coordinates with your conveyancer and lawyer.

Calculators and tools

How accurate are online mortgage calculators?

Online calculators are a useful starting point but use simplified assumptions. Your actual borrowing capacity and repayments depend on your specific income, expenses, debt profile and lender criteria. Lendology provides precise figures after a full assessment.

How is stamp duty calculated in South Australia?

Stamp duty in SA uses a progressive tiered rate scale based on purchase price. Use our stamp duty calculator for a precise estimate. First home buyer concessions may significantly reduce the amount payable.

What is a comparison rate?

A comparison rate combines the interest rate and most fees into a single percentage to help compare loans. It is based on a standard $150,000 loan over 25 years, so may not perfectly reflect larger loans. Lendology explains the full cost of any loan we recommend.

What is the difference between a redraw and an offset account?

A redraw facility lets you withdraw extra repayments you have made on your loan, while an offset account is a transaction account linked to your loan that reduces the interest charged. Both save you interest, but an offset gives you everyday access without touching your loan balance. Lendology helps you choose the right feature based on how you manage your money.

Loan types and features

What is the difference between fixed and variable rates?

A fixed rate locks in your interest rate for a set period, usually 1 to 5 years, giving you certainty over repayments. A variable rate moves with the market, so your repayments may go up or down. Many Adelaide borrowers use a combination of both - Lendology models the scenarios so you can compare with confidence.

What is a split loan?

A split loan divides your mortgage into a fixed portion and a variable portion. This gives you the repayment certainty of a fixed rate on part of your loan while keeping the flexibility of a variable rate on the rest. Lendology can structure the split ratio to match your risk tolerance and cash flow needs.

What is an interest-only loan and when does it make sense?

An interest-only loan means you only pay the interest for a set period, typically 1 to 5 years, without reducing the principal balance. This lowers your repayments in the short term and is commonly used by property investors to maximise cash flow and tax deductions. Lendology assesses whether interest-only suits your strategy.

What is a line of credit home loan?

A line of credit home loan gives you access to a pre-approved limit secured against your property, similar to a credit card but at home loan rates. You can draw and repay funds as needed, making it useful for renovations or investment. Lendology ensures you understand the risks and structure it responsibly.

What is a guarantor loan?

A guarantor loan allows a family member, usually a parent, to use the equity in their own property to help secure your home loan. This can help you buy sooner without a full deposit and avoid paying LMI. Lendology structures guarantor loans to protect both parties and explains the obligations clearly.

Can I pay off my home loan early without penalties?

Variable rate loans generally have no penalties for early repayment. Fixed rate loans may incur break costs if you pay them off before the fixed term ends. Lendology checks the fine print and helps you choose a loan that matches your plans - whether you intend to pay it down fast or hold it long term.

How does a construction loan work in stages?

A construction loan releases funds in progressive drawdowns that match the stages of your build - typically slab, frame, lock-up, fit-out, and completion. You only pay interest on the amount drawn so far. Lendology coordinates the drawdown process with your builder and lender to keep your project on track.

What is a bridging loan and when would I need one?

A bridging loan covers the gap when you buy your next home before selling your current one. It lets you avoid the pressure of selling first, but interest costs can add up quickly. Lendology maps out the timeline and costs so you know exactly where you stand before committing.

Credit and eligibility

Can I get a home loan with bad credit?

Yes, it is possible. Some lenders specialise in borrowers with credit impairments such as defaults, judgements or Part IX agreements. The rate may be higher initially, but you can often refinance to a standard lender once your credit improves. Lendology knows which lenders are realistic options for your situation.

How does my credit score affect my home loan options?

Your credit score influences which lenders will approve you and what interest rate you receive. A strong score opens access to the most competitive rates, while a lower score may limit your options or require a larger deposit. Lendology reviews your credit file and recommends steps to strengthen your position before applying.

Can I get a home loan as a casual employee?

Yes, many lenders will consider casual income if you have been in the same role for at least 12 months. Some lenders are more flexible than others on this. Lendology identifies the lenders most likely to accept your employment type and income structure.

Can I get a home loan if I recently changed jobs?

In most cases yes, especially if you are in a permanent role and still within the same industry. Lenders generally want to see you have passed probation, though some are flexible if your track record is strong. Lendology matches you with a lender whose policy fits your employment history.

What if my partner has bad credit?

If you are applying jointly and your partner has bad credit, it can affect the entire application. In some cases it may be better to apply as a sole borrower. Lendology assesses both options and recommends the structure that gives you the best chance of approval at the best rate.

The buying process

What happens at settlement?

Settlement is when ownership of the property officially transfers to you. Your lender releases the funds, your conveyancer handles the legal documents, and the title is registered in your name. In South Australia settlement typically takes 4 to 6 weeks after contracts are signed. Lendology ensures your loan is ready well before settlement day.

How do I make an offer on a house?

In SA you can make a verbal or written offer through the selling agent. If accepted, the agent prepares a Form 1 (vendor's statement) and a contract for sale. Having pre-approval from Lendology strengthens your offer because the seller knows your finance is likely to be approved.

What is a cooling-off period?

In South Australia there is a 2 business day cooling-off period after you receive the Form 1 on a private treaty sale. During this time you can withdraw from the contract. There is no cooling-off period for properties purchased at auction, which is why having pre-approval is essential before bidding.

Do I need a building inspection before buying?

It is strongly recommended. A building and pest inspection can uncover structural issues, termite damage or other costly problems before you commit. In Adelaide, inspections typically cost $400 to $700 and can save you from expensive surprises. Lendology can recommend trusted local inspectors.

What is conveyancing?

Conveyancing is the legal process of transferring property ownership from seller to buyer. A conveyancer or solicitor handles the contract, searches, stamp duty lodgement and settlement coordination. In SA you will need a licensed conveyancer - Lendology works closely with several and can make an introduction.

What are the ongoing costs of owning a home?

Beyond your mortgage repayments, expect to budget for council rates, water rates, building insurance, contents insurance, and general maintenance. In Adelaide, council rates vary by area but typically range from $1,200 to $2,500 per year. Lendology factors these costs into your borrowing assessment so there are no surprises after you move in.

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