When you speak with lenders, place yourself in the position that you want to understand as much as possible. This will help you to seek full understanding of what they are offering.

Afterall, you are responsible for choosing the best loan for your situation.

Don’t let them talk you into a home loan you don’t want. You need to understand as much as you can and to choose the loan that is right for you.

Ask lots of questions and keep in mind that there are no right or wrong questions, as long as you gain as much information and understanding as possible about your home loan product before you decide which loan and which lender to go with.

It is important to gain a full understanding before you sign any contracts. When you get a home loan you are committing yourself to many years of debt.

It takes a long time to pay your home loan off and it costs a lot of money. This may include time away from your family, friends, the things you enjoy, and making sacrifices so you can pay your home loan off.

When speaking with home loan providers, be upfront. Let them know you are seeking competitive quotes to find the best value loan for your situation and ask them which loan products they can offer you.

Don’t take what they are saying for granted

You have to do your own research and calculations.

If it sounds like a good deal, calculate it for yourself – numbers don’t lie.

Well, technically people can lie with numbers and numbers can be fudged… but in this case, if you’re being realistic about your timeline and repayments when you calculate the numbers yourself—your maximum loan amount, repayments, total interest etc—then numbers don’t lie.

But be warned, the numbers may shock you!

It is important for you as a borrower to know exactly what your loan will involve. In particular, how long you will be paying it off for, what your repayments will be, and how much interest you will be paying on the full life of your loan.

Want 5 top tips for meeting with your lender? Coming right up in the next blog post.