A recent report has shown that an overwhelming majority of those who used a broker for a previous home loan have either already used or plan to use one again when moving into a subsequent home.
ING’s Upgraders Homeownership Survey Report revealed the returning customer figure sits at 81%.
When asked about her upgrading plans, a home buyer at the ING event confirmed, “I will be using the broker that helped me buy my first house. It’s just a trust issue.”
“I engaged with a few brokers for my first house and the one I chose simplified concepts for me that were very complicated. I’m not even going to shop around this time, which is probably bad advice, but I just trust him. And I want the process to be quick,” she continued.
Head of retail banking at ING, Melanie Evans, said: “Probably the biggest difference between purchasing a first home and upgrading into the next one is that, in most instances you’re not just buying a home, you’re selling one too. Managing your finances between those events weighs on the mind of Australians.
“Taking on a larger mortgage and having to consider the needs of others such as a spouse or children that may not have been in the equation during the last purchase are additional things that upgraders may have to contend with.”
The ING data also showed that 82% of mortgage holders pay down more than what’s required most years, with 45% expecting to pay the whole thing off five or more years early.
“What this research suggests is that Aussie upgraders are thinking carefully about their next purchase and not rushing their decisions. They’re taking on inventive measures to upgrade and this is enabling them continue doing the things that matter to them – like date nights and spending time with friends,” concluded Evans.