Is your lender causing you unnecessary stress?  

4 minutes

A recent independent survey conducted by PureProfile with industry insights from CoreLogic has revealed that home buyers continue to wait weeks for home loan approval, causing unnecessary anxiety, and the fear of missing out on purchasing their dream property.

CoreLogic data revealed that after reaching an all-time low of 20 days in November 2021, the median time in market for Australian properties rose to 28 days in May 2022, however, still sits below the rolling five year average that peaked at almost 45 days. Sydney postcodes that spent less than 10 days on the market include Glenmore Park, Castlereagh, Blaxland, Eagle Vale and Erskine Park, and Melbourne postcodes include Coldstream and Baxter.

More than 70% of buyers stated that they waited more than one week to secure home loan approval, with 1 in 5 saying it took over three weeks. This means that for up to 30% of borrowers, securing home loan approval takes more time than properties spend on the market. Considering the lengthy approval processes, 75% admitted they did not wait until they had an offer accepted before applying for a loan.

While affordability remains the top reason why Australians believe it’s difficult to enter the property market, slow approval processes are contributing to home buyer anxiety, and despite borrowers believing pre-approval gave them confidence to buy, it did not alleviate settlement stress, and 1 in 3 were worried about losing their deposit after their lender was taking too long to approve them.

Take Nano’s recent customer, Francois Guilbert as an example. Francois was left in the lurch and risked losing his deposit and missing out on his dream home when his lender of 25 years said they couldn’t process his loan fast enough to meet the 21-day settlement clause. Thankfully, Francois found Nano, who approved his loan well before the settlement day clause.

The reality is that customers like Francois are not alone, as 1 in 5 say they missed out on a property due to the delay in securing financing, and 1 in 10 say they missed out more than once.

While the home loan approval process can be very stressful, there are lenders out there that can help to make the buying process as seamless as possible – such as Nano, who can help make the process faster, and easier.

Here are three tips to help you find the right home loan lender:

1. Look for a lender with fast approvals

Many traditional banks have long, convoluted applications that often require lots of paperwork. At Nano, we provide buyers with the confidence to purchase fast, with full home loan approval in minutes – not weeks, with no paperwork required. There is no need to mess around with ‘pre-approvals’ either, Nano can give you full approval to help you have a stress-free settlement.

2. Find a lender who is with you every step of the way

Even though Nano is digital, we are always with you every step of the way, helping to make your buying journey stress free. Our excellent customer service is evident through our positive customer reviews. We do all the checks upfront and digitally, including checking your credit score, assessing your income and expenses, completing a property valuation and verifying your ID, so you can bid, offer, and buy with confidence.

3. Look for a transparent lender

Finally, it’s important to look for a lender that is transparent – from their processes, rates and any fees they charge.

At Nano, we believe in full transparency; and you will always know where you stand. Unlike other lenders, we don’t charge any hidden fees (only government charges that are unavoidable such as stamp duty apply), and new and existing customers are always charged the same rate, meaning you’ll never be charged a loyalty tax.

Nano provides buyers with the confidence to purchase quickly, with full home loan approval in minutes, not weeks, bypassing the need for a pre-approval.

Nano offers a low rate, fee free, full feature home loan at no extra cost. Every home loan comes with the added benefit of a free offset sub-account, which typically comes at an additional cost with other lenders. Nano enables you to bid, offer, and buy with confidence. We give buyers flexibility, transparency, and confidence for one of the biggest investments in their lives – without the anxiety.

Apply with Nano today

* Report is based on the analysis of data from an online survey with PureProfile of 1,005 Australians. Respondents had purchased a property in the last 5 years, are 30+ years old, with an annual household income over $100,000. Additional data included from a report published by CoreLogic May 2022.