How long will I be financed a property on Vendor Terms for?
All contracts facilitated by AHB have an element of flexibility and are catered the best way possible to suit the individuals needs so some transactions may vary, however generally an instalment contract will be set up for a maximum term of 30 years with the opportunity to re-finance to a bank lender at any point after the first year.
What is the AHB Home Ownership Program ?
The AHB Home Ownership Program is a dedicated business model that assists potential buyers in achieving their dream of Home Ownership.
In most cases the service is offered to clients who are currently not in a position to obtain conventional mortgage products due to limited financial documentation, not enough equity or cash for a deposit, new migrants to Australia who are not yet permanent residents or maybe there are some minor credit defaults listed on a CRA* In most cases the AHB Home Ownership Program can help.
What is Vendor Finance and how does it work?
Vendor Finance is an instalment contract on the entire, or part of an asset where credit is being provided to the purchaser by the Vendor/Owner.
The instalment contract is made up of weekly/fortnightly/monthly payments that include a principal and Interest component payable over a specified period of time.
What is the Qualifying Criteria for the AHB Home Ownership Program ?
As an administrator of Vendor Finance transactions AHB has an obligation to protect the interests of both the Purchaser and the Investor, therefore all reasonable steps are taken to ensure both parties are adequately secured.
Applicants must have proof of income, be eligible to work in Australia, be 18 years of age or older and must not be financially incapacitated or bankrupt.
In addition to this criteria each applicant must undergo the AHB Groups internal qualifying program before any form of Vendor Finance will be offered, please contact an AHB consultant for further informatioin on our internal qualifying program and relevant services provided.
How Does the AHB Home Ownership Program work ?
Depending on the personal situation of the applicant AHB bridges the gap between purchaser and an Investor who either has a property or has finance for a property that can be on sold using Vendor Finance.
In certain circumstances where an applicant is eligible for a Bank Loan, however does not have the total deposit required plus funds to complete the purchase, a component of the contract price may be offered on an Instalment Contract.
Do I get to choose the House ?
Once the applicant has successfully completed the Terms of the qualifying program, during the final consultation AHB will take all resonable steps to ensure that you will be matched with an available property within the stock list that will best suit your criteria, The time period an applicant should allow to be sourced a property is around 8-12* weeks from date of qualifying and all requests are subject to availability.
What are the benefits of buying on an Instalment Contract ?
With Bank lending currently being very conservative and continual strong growth in most Real Estate markets across Australia forcing prices up, it is becoming significantly more difficult to get in to the property market, this is certainly the case for First Home Buyers.
By getting into a property with very minimal deposit and locking in the price today, you will not only have the stability of owning your own home but alse reap the benefits of all the capital growth that occurs in the future without having to wait!
For any further information or questions you may have about AHB's services simply give us a call on 1300 184 130
