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How A Single Woman In Her 50s Bought A Home With A Small Deposit · That Home Loan Hub

• 0:10
  SPEAKER_01: We promised you a case study on a very, very, very cool, exciting, first-on-bias story.
• 0:18
  SPEAKER_01: Often people come to us with a mindset of, I don't think I can do this, but a lot of my friends told me to come and talk to you.
• 0:26
  SPEAKER_01: So here I am.
• 0:28
  SPEAKER_01: And please tell me that I can't do it.
• 0:30
  SPEAKER_01: And often we turn around and we go, All right, well, let's dive into your numbers and have a look.
• 0:35
  SPEAKER_01: I've got James with me today.
• 0:36
  SPEAKER_01: Hello, James.
• 0:37
  SPEAKER_00: Aloha.
• 0:38
  SPEAKER_01: You were my lead detective on this case.
• 0:40
  SPEAKER_00: Did you say elite or lead?
• 0:42
  SPEAKER_01: Lead.
• 0:43
  SPEAKER_01: L-E-A-D.
• 0:46
  SPEAKER_00: Sad face.
• 0:46
  SPEAKER_01: Okay, you can be elite too.
• 0:49
  SPEAKER_01: So this particular person, let's dive into their numbers.
• 0:53
  SPEAKER_01: It was a female.
• 0:55
  SPEAKER_01: Yep.
• 0:55
  SPEAKER_01: A solar person, right?
• 0:57
  SPEAKER_01: Doesn't have a partner.
• 0:58
  SPEAKER_01: Yep.
• 0:58
  SPEAKER_01: And I always get excited about those cases because often, you know, we women are the ones that don't like to take risks.
• 1:05
  SPEAKER_01: So a woman in her 50s, single.
• 1:08
  SPEAKER_01: Yep.
• 1:09
  SPEAKER_01: On a very average salary and very, very small deposit.
• 1:13
  SPEAKER_00: Yep.
• 1:14
  SPEAKER_01: And this person came to us not having much hope.
• 1:18
  SPEAKER_00: Absolutely.
• 1:19
  SPEAKER_01: And we had to turn around the situation and show this person what's possible.
• 1:25
  SPEAKER_01: What were the pros in this case?
• 1:28
  SPEAKER_00: Well, the I mean the pros are is that I don't Okay, let's go cons.
• 1:33
  SPEAKER_01: Wait.
• 1:33
  SPEAKER_01: Okay.
• 1:34
  SPEAKER_01: The other way.
• 1:34
  SPEAKER_01: What were the cons in this case?
• 1:36
  SPEAKER_00: Well, I think the main con was maybe the the person just had a real lack of confidence in what she thought she could do.
• 1:45
  SPEAKER_00: And maybe could have spoken if she if she was more confident about coming and talking to us, we could have probably done something a bit sooner.
• 1:57
  SPEAKER_00: But other than that, most of the things in in her favor, really, if you look one if you look at the five percent deposit that you can do with Kayanga Aura.
• 2:08
  SPEAKER_01: Let's call her Sarah.
• 2:10
  SPEAKER_00: Yeah.
• 2:10
  SPEAKER_01: Let's call her Sarah.
• 2:11
  SPEAKER_01: Sarah didn't know that you could get in with 5%.
• 2:14
  SPEAKER_00: Yeah.
• 2:14
  SPEAKER_01: Sarah thought you needed 20%.
• 2:17
  SPEAKER_01: And that's where I think it started to unpick for me, where I realized that Sarah was losing hope because Sarah thought, oh my God, I'm in my 50s.
• 2:26
  SPEAKER_01: How long is it going to take me to save up to 100K to buy a house at 500,000?
• 2:32
  SPEAKER_00: Yeah, and that's just something that we know, you know, like we because we're in it every day, right?
• 2:38
  SPEAKER_00: But I'm constantly surprised that people don't know about that and that they don't know that they don't have to pay us.
• 2:44
  SPEAKER_00: You know, that we get paid by the lenders when the when the loan goes through.
• 2:48
  SPEAKER_00: They often people think that they've got to pay for our time.
• 2:51
  SPEAKER_01: Wait, they don't pay you?
• 2:52
  SPEAKER_01: They pay me.
• 2:52
  SPEAKER_01: No, James.
• 2:56
  SPEAKER_01: But you're right, you're absolutely right.
• 2:58
  SPEAKER_01: We are free for people to use our services.
• 3:01
  SPEAKER_01: And a lot of people have no idea.
• 3:03
  SPEAKER_01: And they're just worried that they will come to us and walk away with a giant bill.
• 3:07
  SPEAKER_01: We're not lawyers.
• 3:08
  SPEAKER_01: We don't charge you.
• 3:10
  SPEAKER_00: Who's the other ones that do that?
• 3:11
  SPEAKER_00: Oh, it's lawyers, yeah.
• 3:13
  SPEAKER_01: But for Sarah, I think that was the pivotal moment where she suddenly realized, and I remember seeing the light went on in her eyes, going, Wait, what?
• 3:22
  SPEAKER_01: You're telling me I can get on the letter with 5% deposit and with my income and my age.
• 3:28
  SPEAKER_01: And I think age was a big one for her as well.
• 3:31
  SPEAKER_00: Yeah, so mid-50s approximately.
• 3:33
  SPEAKER_01: So she's got about 10 years for her retirement.
• 3:36
  SPEAKER_01: Okay, now let's look at how we shaped her loan.
• 3:40
  SPEAKER_01: So she managed to find a property.
• 3:42
  SPEAKER_01: Yep.
• 3:42
  SPEAKER_01: Now, this is where it gets really interesting for a lot of buyers, right?
• 3:46
  SPEAKER_01: A lot of buyers may get stuck in their head that they have to buy in the area that they live in.
• 3:52
  SPEAKER_01: Unfortunately, sometimes you cannot afford in that area, and you just really have to broaden your horizons.
• 3:59
  SPEAKER_01: You have to look outside just a little bit.
• 4:02
  SPEAKER_00: Yeah.
• 4:03
  SPEAKER_01: And yes, it will be extra cost for travel, but I'm sure Sarah managed to negotiate extra days working from home.
• 4:10
  SPEAKER_01: And I think once we reshaped a potential purchase price and potential lending, and we started looking at things, she suddenly saw a property jump at her.
• 4:21
  SPEAKER_00: Yep, absolutely.
• 4:22
  SPEAKER_00: And the key thing was, you know, being a three-bedroom property, you know, she was able to top up her income by uh having borders or put in uh put in rental income.
• 4:36
  SPEAKER_00: And that's what sort of allowed that that put her at the the level where she is able to service the lending.
• 4:44
  SPEAKER_00: Uh certainly in the initial for the initial part of the lending.
• 4:48
  SPEAKER_00: Once we get a bit further on, because she's got a a few debts that are nearly paid off, like a car loan and a student loan on those sort of things.
• 4:56
  SPEAKER_00: Once she's got those things paid off, she's gonna have a lot more income or discretionary income that she can put onto her loan.
• 5:04
  SPEAKER_00: And she might not need those borders.
• 5:05
  SPEAKER_00: But initially the borders is a key part of the application.
• 5:10
  SPEAKER_01: Which was really interesting again.
• 5:12
  SPEAKER_01: You know, initially she was only willing to take one border, was the conversation that we had.
• 5:16
  SPEAKER_01: But then she realized the property had a separate garage.
• 5:20
  SPEAKER_01: Because the reason she needed the other bedroom is to work from home, and she didn't want her office to be her bedroom or to be her living room, she wanted a separate room, and then she realized the property had a garage and she could convert that into an office.
• 5:33
  SPEAKER_01: And she went for a second viewing of the property and she was like, Oh my god, that's gonna be so easy to do that.
• 5:38
  SPEAKER_01: It's already got windows, it's already got doors.
• 5:40
  SPEAKER_01: So there isn't much work for her to be done for her to convert that garage into an office.
• 5:45
  SPEAKER_01: And then she got really excited and she went, Oh my god, I can have two borders.
• 5:49
  SPEAKER_00: Absolutely.
• 5:50
  SPEAKER_01: And she shifted her own mindset, which was awesome to see because you know, often people think, Oh, the brokers or the bankers are really bad because they're forcing you to do things.
• 6:01
  SPEAKER_01: The right advisor will never force you to do anything.
• 6:04
  SPEAKER_01: We will, you know, you can only lead the horse to a border, you can't make the horse drink that water.
• 6:10
  SPEAKER_01: And for me, it was awesome to see that journey with Sarah where she went from no, no, no, I can't have two borders, I can only have one, to go, oh my god, I can actually have two.
• 6:19
  SPEAKER_01: And in the in the area that she's buying as well, there is a real shortage for people wanting to just have a room.
• 6:27
  SPEAKER_00: Yeah.
• 6:27
  SPEAKER_01: And they don't want to potentially rent a whole house on their own.
• 6:31
  SPEAKER_01: You know, there might be older people as well that don't want to live alone.
• 6:35
  SPEAKER_01: And something like that has messed them perfectly.
• 6:39
  SPEAKER_00: Yeah, absolutely.
• 6:40
  SPEAKER_00: And and the other thing as well, which people for forget about is that they you often get you're getting a cash back these days, which helps you pay for those costs that come up, like your lawyer fees and uh you know, costs to do with the registered valuation that you end up paying.
• 6:56
  SPEAKER_01: And the builders' report and stuff like that.
• 6:58
  SPEAKER_01: Yeah, that's right.
• 6:58
  SPEAKER_01: Yeah, so unfortunately you do have to have some funds up front first to pay for the registered valuation to pay for builders.
• 7:05
  SPEAKER_01: But upon settlement, if you do proceed with this property, a lot of banks willing to give you five thousand dollars cash back.
• 7:12
  SPEAKER_00: Yeah, and that makes a big difference.
• 7:14
  SPEAKER_00: Yeah, it's money that you don't have to come up with.
• 7:17
  SPEAKER_00: Yeah, you know, add to your loan if you ride on the cusp of that five percent.
• 7:21
  SPEAKER_01: Yeah.
• 7:21
  SPEAKER_00: Uh so yeah, it's a pretty cool, it's a pretty cool outcome.
• 7:26
  SPEAKER_01: I think it's a really empowering story and a reminder that whatever you put your mind to is really possible.
• 7:34
  SPEAKER_01: Like you don't have to live by someone else's narrative and someone else's story.
• 7:39
  SPEAKER_01: You can create your own story, you can take charge.
• 7:42
  SPEAKER_01: And I think watching Sarah's journey go from oh, I don't think I can ever get on a letter, you know, being so sad and negative, and then suddenly turning it around and realizing what's possible and what's out there and what she can control, and what she could control was the area that she was searching and the price that she was searching for.
• 8:03
  SPEAKER_00: And the thing is, uh often people come to us and they've already spoken to somebody else and they've been turned down like another advisor, and they just bec because they're not an easy one to do or an easy lending to get an application to do, a lot of advisors won't work with clients like this.
• 8:22
  SPEAKER_00: Whereas we take anything.
• 8:25
  SPEAKER_00: We're desperate.
• 8:26
  SPEAKER_01: No, I think we just don't take no for an hour.
• 8:28
  SPEAKER_00: We just keep we' well why would we give up?
• 8:29
  SPEAKER_00: You know, we've got more than one that's like this.
• 8:32
  SPEAKER_00: Well, certainly in my own case, I've probably got two or three that are just I'm just gonna keep going until we get them across the line.
• 8:39
  SPEAKER_00: It we'll we'll get there eventually with them, as long as the client doesn't give up.
• 8:44
  SPEAKER_00: Because that's just that's what our role is, right?
• 8:47
  SPEAKER_00: We're not we're not just working with the million dollar the million dollar loans.
• 8:52
  SPEAKER_01: Yeah, exactly.
• 8:54
  SPEAKER_01: So a message to those that are listening: don't give up hope.
• 8:58
  SPEAKER_01: Come to us.
• 8:59
  SPEAKER_01: And my policy is always if it's not now, then when, you know, and what sort of steps you gotta take for us to make it happen for you.
• 9:07
  SPEAKER_00: Absolutely.
• 9:08
  SPEAKER_01: And again, just a friendly reminder, we do not cost anything.
• 9:12
  SPEAKER_01: Yeah, even though sometimes I feel like we should be charging for our time.
• 9:17
  SPEAKER_01: Because sometimes people come and they just do all sorts of funny things.
• 9:20
  SPEAKER_01: But most of the time, most of the time, we are free.
• 9:24
  SPEAKER_01: 99% of the time we are free.
• 9:26
  SPEAKER_01: The only time we charge is if it's an open, closed breach situation where we know we're not going to get paid for the deal.
• 9:32
  SPEAKER_01: Yeah.
• 9:32
  SPEAKER_01: So the lenders usually charge a fee to pay us.
• 9:35
  SPEAKER_00: Yep, absolutely.
• 9:36
  SPEAKER_01: That's usually one of the times.
• 9:38
  SPEAKER_00: And we'll be upfront about that when that happens.
• 9:40
  SPEAKER_00: Yeah.
• 9:40
  SPEAKER_01: And that's the thing.
• 9:40
  SPEAKER_01: We usually are well, usually, we always upfront.
• 9:45
  SPEAKER_01: It's just the reason I say usually is just sometimes we don't know which way the deal would turn.
• 9:50
  SPEAKER_01: If we can find a solution for it to be a long term deal where you don't have to pay us and it all works, then it works.
• 9:56
  SPEAKER_00: That's right, because we don't necessarily know that first conversation that we have with you, whether you're going to be able to go with a main bank or a a non bank, and that's what can change the situation a wee bit.
• 10:06
  SPEAKER_01: Yeah, correct.
• 10:07
  SPEAKER_01: Beautiful.
• 10:08
  SPEAKER_01: James, thank you so much, and I look forward to our next episode.
• 10:11
  SPEAKER_01: Absolutely.