Blue Fox Finance - Mortgage Broker Brisbane Blue Fox Finance - Mortgage Broker Brisbane
Mortgage Broker Mobile Menu Call our Mortgage Broker Brisbane now!

Find out the best interest rates available:

Owner-occupied Home Loan
3.59% p.a.      3.96% p.a. CR*
The fine print...
The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy. Whilst we aim to update our site frequently, interest rates change frequently, please contact us to confirm the latest offers. *Note: the home loan with the lowest current interest rate is not necessarily the most suitable for your circumstances, you may not qualify for that particular product, and not all products are available in all states and territories. The comparison rate provided is based on a loan amount of $150,000 and a term of 25 years secured by an owner-occupied residential property. Warning: This Comparison Rate applies only to the example or examples given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan. Whilst we endevour to keep the information on this website up-to-date at all times, interest rates change daily - always confirm the current interest by calling 07 3354 4576 before making any decisions.
Investment Home Loan
3.83% p.a.      4.06% p.a. CR*
The fine print...
The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy. Whilst we aim to update our site frequently, interest rates change frequently, please contact us to confirm the latest offers. *Note: the home loan with the lowest current interest rate is not necessarily the most suitable for your circumstances, you may not qualify for that particular product, and not all products are available in all states and territories. The comparison rate provided is based on a loan amount of $150,000 and a term of 25 years secured by an investment residential property. Warning: This Comparison Rate applies only to the example or examples given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan. Whilst we endevour to keep the information on this website up-to-date at all times, interest rates change daily - always confirm the current interest by calling 07 3354 4576 before making any decisions.
Car Loan
7.25% p.a.      9.05% p.a. CR*
The fine print...
The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy. Whilst we aim to update our site frequently, interest rates change frequently, please contact us to confirm the latest offers. *The interest rate is available to approved applicants financing a motor vehicle on a secured consumer fixed rate loan over 60 months. The comparison rate is based on a 5 year secured fixed rate loan of $30,000. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Applications for finance are subject to normal credit assessment. Conditions, fees & charges apply. Whilst we endevour to keep the information on this website up-to-date at all times, interest rates change daily - always confirm the current interest by calling 07 3354 4576 before making any decisions.
Personal Loan
10.99% p.a.      11.87% p.a. CR*
The fine print...
The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy. Whilst we aim to update our site frequently, interest rates change frequently, please contact us to confirm the latest offers. *The interest rate is available to approved applicants getting a fixed rate personal loan over 60 months. The comparison rate is based on a 5 year secured fixed rate loan of $30,000. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Applications for finance are subject to normal credit assessment. Brokerage not included. Conditions, fees & charges apply.
Refinances available from:
3.59% p.a.      3.96% p.a. CR*
The fine print...
The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy. Whilst we aim to update our site frequently, interest rates change frequently, please contact us to confirm the latest offers. *Note: the home loan with the lowest current interest rate is not necessarily the most suitable for your circumstances, you may not qualify for that particular product, and not all products are available in all states and territories. The comparison rate provided is based on a loan amount of $150,000 and a term of 25 years secured by an owner-occupied residential property. Warning: This Comparison Rate applies only to the example or examples given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan. Whilst we endevour to keep the information on this website up-to-date at all times, interest rates change daily - always confirm the current interest by calling 07 3354 4576 before making any decisions.
Pre-approvals available from:
3.59% p.a.      3.96% p.a. CR*
The fine print...
The information provided in this website is for general education purposes only and does not constitute specialist advice. It should not be relied upon for the purposes of entering into any legal or financial commitments. Specific investment advice should be obtained from a suitably qualified professional before adopting any investment strategy. Whilst we aim to update our site frequently, interest rates change frequently, please contact us to confirm the latest offers. *Note: the home loan with the lowest current interest rate is not necessarily the most suitable for your circumstances, you may not qualify for that particular product, and not all products are available in all states and territories. The comparison rate provided is based on a loan amount of $150,000 and a term of 25 years secured by an owner-occupied residential property. Warning: This Comparison Rate applies only to the example or examples given. Different amounts and terms will result in different Comparison Rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the Comparison Rate but may influence the cost of the loan. Whilst we endevour to keep the information on this website up-to-date at all times, interest rates change daily - always confirm the current interest by calling 07 3354 4576 before making any decisions.

Is Housing Affordability in Brisbane Really a Problem?

Housing affordability in Brisbane is a hot topic of late, with prices at an all-time high and first home buyers requiring using their parents’ assistance more than ever before. Here’s the figures.

House Prices vs Gross Income

Based on information collected from Peter Abelson and Demi Chung’s Paper on Housing Prices, the Australian Bureau of Statistics Residential Property Prices Indexes and The Queensland Governments Statistician’s Office Report, a clear picture of the differences in household income and property prices since 1983 can be shown: House affordability in Brisbane - Mean house price vs average weekly earnings

Between 1993 and 2015, property prices have risen from $55,525 to $500,000 (+800.50%); whereas income has only risen from $319.60 to $1,453.50 (+354.79%). Simply put, property prices have risen at more than double the rate of income in this time frame.

Mortgage Repayments vs Gross Income

Based on historical lending rates published by The Reserve Bank of Australia, a comparison of mortgage repayments on a home loan over 30 years, based on a lending value of 80% of the purchase price can also be shown:

Housing affordability in Brisbane - Mortgage Repayments vs Average Weekly Earnings

The average mortgage repayments have increased from $109.40 per week, to $518.34 per week (+373.79%), compared with the before mentioned increase in income of 354.79%. Mortgage repayments and income trend closely together due to the massive reductions in interest rates (and therefore mortgage repayments) over the years. Average standard variable interest rates for banks were 12.5% in 1983, compared with 5.4% in 2015, with a peak of 17% in 1989.

This indicates that mortgage repayments may not be the current problem in housing affordability, as the increase in payments has risen proportionally to household income.

What about the deposit required?

Whilst there is no historical data readily available for the deposit required to purchase a property over the years, it would be safe to assume it correlates closely with the trends of House Prices vs Income.  Therefore it could be proposed that while income has increased by ~373.8%, the deposit could likely have increased by ~800%, making it harder than ever before to save for a deposit. This then is the likely cause of difficulty entering the property market.

So, what are the current options?

Using the First Home Owners' Grant

You will generally need some savings in this case, but with a good savings history, culminating in a sufficient amount of capital, you can look at applying for a loan, and use the $20,000 First Home Owners’ Grant as your funds to complete the loan. Based on a purchase of $500,000, the FHOG amounts is almost your entire deposit!

Parents

Using the equity in a parent’s home is becoming a very popular method of getting into the market as deposits become harder to save. For a full explanation, please see how a guarantor loan works.

Savings

There are entry level houses available in the outer suburbs of Brisbane for around $350,000. In this case, you would need a 5% deposit ($17,500), and about $3,000 to cover additional costs; resulting in a total cost of $20,500 (For a full breakdown of costs, please click here or talk to a Mortgage Broker). It may be a little slow and painful, but saving $100 a week over 4 to 5 years will get you into your first home.

Last updated: 
06 January, 2018
       Author: 
Zak Avery