Answers
The questions everyone asks, answered properly
12 plain-English answers written by Sachin Mehta, a licensed Brisbane finance broker. No interest rates we can't stand behind, no lender names we were paid to mention — just how each of these things actually works in Australia.
Every first call covers roughly the same dozen questions: how much can I borrow, how much do I need saved, what is LMI, do I pay stamp duty, how long does pre-approval take, should I fix, and what does a broker cost me. They deserve a real answer in public rather than a sales conversation, so here they are — with the numbers, the thresholds and the conditions attached.
Each answer opens with a short summary you can quote, followed by a table of the key facts and then the detail. Government figures are attributed to the department that sets them, and where a threshold changes annually we say so rather than pretending it is fixed. None of it is personal advice — for that, the call is free.
3 answers
Borrowing power & deposit
What a lender will actually lend you, what you need saved, and the insurance that kicks in below 20%.
How much can I borrow for a house in Brisbane?
Most Brisbane households borrow roughly four to six times their gross annual income, but the real figure comes from your after-tax income less assessed living expenses, debts and commitments, tested at your rate plus a 3% buffer. Two families on identical pay can be assessed tens of thousands apart depending on which lender they apply to.
Updated September 2026How much deposit do I need to buy a house in Queensland?
In Queensland you can buy with a 5% deposit plus costs, and 20% is what avoids lenders mortgage insurance. On a $700,000 home that's $35,000 versus $140,000. First home buyer guarantees, a family guarantor or a gifted deposit can close the gap without waiting years to save.
Updated September 2026What is LMI and how much does it cost?
Lenders mortgage insurance protects the lender, not you, and it applies when you borrow more than 80% of a property's value. The premium is a one-off cost that rises steeply with your loan-to-value ratio and loan size — commonly a few thousand dollars, and well over ten thousand at 95%. Most borrowers capitalise it.
Updated September 2026
2 answers
Queensland first home buyers
Grants, transfer duty concessions and the schemes that exist specifically for a first purchase in Queensland.
How much can I borrow for a house in Brisbane?
Most Brisbane households borrow roughly four to six times their gross annual income, but the real figure comes from your after-tax income less assessed living expenses, debts and commitments, tested at your rate plus a 3% buffer. Two families on identical pay can be assessed tens of thousands apart depending on which lender they apply to.
Updated September 2026How much deposit do I need to buy a house in Queensland?
In Queensland you can buy with a 5% deposit plus costs, and 20% is what avoids lenders mortgage insurance. On a $700,000 home that's $35,000 versus $140,000. First home buyer guarantees, a family guarantor or a gifted deposit can close the gap without waiting years to save.
Updated September 2026What is LMI and how much does it cost?
Lenders mortgage insurance protects the lender, not you, and it applies when you borrow more than 80% of a property's value. The premium is a one-off cost that rises steeply with your loan-to-value ratio and loan size — commonly a few thousand dollars, and well over ten thousand at 95%. Most borrowers capitalise it.
Updated September 2026What grants can first home buyers get in Queensland?
Queensland first home buyers can access the First Home Owner Grant for a brand-new or substantially renovated home, the federal Home Guarantee Scheme to buy with a small deposit and no LMI, and transfer duty concessions. The grant amount and price caps change, so confirm the current figures before you sign.
Updated September 2026Do first home buyers pay stamp duty in Queensland?
Since 1 May 2025 Queensland first home buyers pay no transfer duty at all on a new home or vacant land they build on, with no price cap. On an established home the first home concession is full up to $700,000 and tapers to nil at $800,000, where the ordinary home concession takes over.
Updated September 2026How long does home loan pre-approval take?
A complete pre-approval application is usually assessed within two to ten business days, depending on the lender's queue and whether it's system-assessed or manually reviewed. Gathering payslips, statements and identification is what actually sets the timeline — files with everything attached are often decided in days, incomplete ones take weeks.
Updated September 2026Can I get a home loan if I'm self-employed?
Yes. Self-employed borrowers can access the same mainstream home loans and rates as employees, usually with two years of tax returns and notices of assessment. If your figures are newer or your accountant has been aggressive with deductions, one-year and alternative-documentation options exist at a modest rate premium.
Updated September 2026What credit score do I need for a home loan in Australia?
There is no minimum credit score for an Australian home loan. Mainstream lenders are comfortable from roughly the “good” band upward, but they read the report itself — repayment history, defaults, enquiries — not just the number. A thin file or a recent default matters far more than a mid-range score.
Updated September 2026Should I fix my home loan rate in 2026?
Fixed gives you a known repayment for one to five years but limits extra repayments, offset accounts and cheap exits. Variable gives you flexibility and full offset benefit while carrying rate risk. Most borrowers in 2026 who want both split the loan, sizing the fixed portion to the repayment they need to protect.
Updated September 2026When should I refinance my home loan?
Refinance when the maths clears the costs: usually a meaningful rate gap, a fixed term ending, equity you want to use, debts worth consolidating, or a loan structure that no longer fits. Switching costs a few hundred to about a thousand dollars, so a saving that repays that within a year is worth doing.
Updated September 2026How do mortgage brokers get paid in Australia?
Mortgage brokers in Australia are paid by the lender, not by you. The lender pays an upfront commission when your loan settles and a smaller monthly trail while it stays open. Both amounts are disclosed to you in writing in your Credit Proposal, and Best Interests Duty makes commission legally irrelevant to the recommendation.
Updated September 2026How much does a mortgage broker cost?
For a standard home loan a mortgage broker costs you nothing — the lender pays the commission when your loan settles. Fees only appear in specialised work such as complex commercial, development or short-term finance, and any fee must be quoted and agreed in writing before you proceed.
Updated September 2026
3 answers
Getting approved
How long approval takes, what lenders read in your credit file, and how it works when you're self-employed.
How long does home loan pre-approval take?
A complete pre-approval application is usually assessed within two to ten business days, depending on the lender's queue and whether it's system-assessed or manually reviewed. Gathering payslips, statements and identification is what actually sets the timeline — files with everything attached are often decided in days, incomplete ones take weeks.
Updated September 2026Can I get a home loan if I'm self-employed?
Yes. Self-employed borrowers can access the same mainstream home loans and rates as employees, usually with two years of tax returns and notices of assessment. If your figures are newer or your accountant has been aggressive with deductions, one-year and alternative-documentation options exist at a modest rate premium.
Updated September 2026What credit score do I need for a home loan in Australia?
There is no minimum credit score for an Australian home loan. Mainstream lenders are comfortable from roughly the “good” band upward, but they read the report itself — repayment history, defaults, enquiries — not just the number. A thin file or a recent default matters far more than a mid-range score.
Updated September 2026
2 answers
Rates & refinancing
Fixing versus staying variable, and how to tell whether switching lenders is worth the paperwork.
Should I fix my home loan rate in 2026?
Fixed gives you a known repayment for one to five years but limits extra repayments, offset accounts and cheap exits. Variable gives you flexibility and full offset benefit while carrying rate risk. Most borrowers in 2026 who want both split the loan, sizing the fixed portion to the repayment they need to protect.
Updated September 2026When should I refinance my home loan?
Refinance when the maths clears the costs: usually a meaningful rate gap, a fixed term ending, equity you want to use, debts worth consolidating, or a loan structure that no longer fits. Switching costs a few hundred to about a thousand dollars, so a saving that repays that within a year is worth doing.
Updated September 2026
2 answers
Working with a broker
Exactly how brokers are paid, what it costs you, and the duty we legally owe you.
How do mortgage brokers get paid in Australia?
Mortgage brokers in Australia are paid by the lender, not by you. The lender pays an upfront commission when your loan settles and a smaller monthly trail while it stays open. Both amounts are disclosed to you in writing in your Credit Proposal, and Best Interests Duty makes commission legally irrelevant to the recommendation.
Updated September 2026How much does a mortgage broker cost?
For a standard home loan a mortgage broker costs you nothing — the lender pays the commission when your loan settles. Fees only appear in specialised work such as complex commercial, development or short-term finance, and any fee must be quoted and agreed in writing before you proceed.
Updated September 2026
Every question, one list
All answers
Use your browser's find (Ctrl+F or ⌘F) to jump straight to a phrase.
- How much can I borrow for a house in Brisbane?
- How much deposit do I need to buy a house in Queensland?
- What is LMI and how much does it cost?
- What grants can first home buyers get in Queensland?
- Do first home buyers pay stamp duty in Queensland?
- How long does home loan pre-approval take?
- Can I get a home loan if I'm self-employed?
- What credit score do I need for a home loan in Australia?
- Should I fix my home loan rate in 2026?
- When should I refinance my home loan?
- How do mortgage brokers get paid in Australia?
- How much does a mortgage broker cost?
Want the longer reads instead? Insights & guides goes deeper, and the calculators do the arithmetic for your own numbers.
Your situation, specifically
These answers are general. Yours won't be.
Book a free 30-minute call with Sachin and get the version of these answers that applies to your income, your deposit and the property you're looking at.