Newtown mortgage broker
Newtown mortgage broker
A mortgage broker
who knows Newtown.
Terraces without parking, flats above shops on King Street, and studios under the size some lenders will touch. We compare 35+ lenders and it costs you nothing.
35+
Lenders
10+
Years experience
1,000+
Clients helped
$0
Cost to you
About Newtown
What the 2042 market actually looks like
History of Newtown
A working village that grew along the road to Parramatta and never lost the shape of it. King Street is still the spine, still lined with two and three storey shopfronts with living space above, and the terraces run off it in tight rows. Most of the suburb sits under heritage controls, which is why it looks much as it did a century ago.
Newtown property market
Terraces and semis in the side streets, apartments in small blocks and above the shops, and a good deal of stock that has been converted from something else. A large share is rented, drawn by the university and the hospital, so this behaves as an investment market as much as an owner occupier one. The postcode also takes in Enmore.
Newtown property prices
Houses sit well into the millions and apartments a long way below, which is why the first step here is nearly always a unit. Recent house sales in the suburb have run from the high one millions to the high twos depending on size and street. Published medians vary between sources, so treat any single figure as a guide rather than a price.
Borrowing in Newtown
Three things decide it here and none of them is your payslip. Whether the flat sits above a shop, because many lenders restrict residential over commercial. Whether the internal area clears a lender's minimum, since a lot of Newtown studios do not. And whether the terrace has parking and its own title. Send us the address before you offer and we will tell you which lenders suit it.
Newtown is one of 20 suburbs we cover across the Inner West, and the one where what is underneath the apartment matters most.
Looking at a flat
above a shop?
Plenty of lenders restrict residential over commercial, and some will not touch it. Send us the address before you offer.
Your broker
Meet Ali Hasani
Ali Hasani is the founder of Buyvest. He has worked in home loans for more than ten years, a lot of it at Commonwealth Bank. We meet clients face to face, or by phone, Zoom and Teams, at night and on weekends as well as work hours. We take your loan to 35+ lenders, compare the numbers, and show you the options. Ali is an MFAA accredited broker with a Diploma of Finance and Mortgage Broking Management and a Post Graduate in Accounting.
Think switching
is always the answer?
Sometimes it is not, and we will tell you. A rate negotiated with your existing lender costs nothing to arrange.
Client stories
How we helped
Three real situations, and what actually happened in each one.
Keeping it was the answer.
They assumed the place had to be sold to fund the next one. Once we ran the numbers it did not. We restructured the lending, used the equity already sitting in it as the deposit, and set the loans up so the two properties stayed separate rather than tied together. They moved into the new home and kept the first as an investment. Because holding a former home has tax consequences, they worked that side through with their accountant.
Switching made no sense.
They came to us wanting to refinance. We ordered valuations and the numbers did not support it, because there was not enough equity to move without paying mortgage insurance, which would have wiped out the saving. So we went back to their existing lender, put the market rates in front of them and negotiated the rate down instead. Same lender, lower repayments, no application and no costs.
Several debts became two.
Cash flow was the problem rather than income. They were carrying a home loan plus several personal loans, all at different rates and terms. We refinanced the lot into two: the existing home loan, and a second at a home loan rate over a deliberately shorter term rather than stretched across thirty years. Repayments came down by $780 a month, and that difference goes straight onto the second loan.
These are past client stories, with details changed for privacy. Your own result depends on your situation and what the lender decides.
Free guides
What to know before you buy
Three free guides covering how a Newtown purchase actually runs, from pre-approval to settlement.
Home loan pre-approval
What it covers, and how long it lasts.
Read the guide
Choosing a home loan
Fixed, variable, offset and redraw.
Read the guide
Settlement day
What has to be ready before then.
Read the guide
Read the free guides in the Loan Vault to know how the home buying process works in NSW.
What we do
Home loans for every Newtown plan
First home
Learn more
Next home
Learn more
Refinancing
Learn more
Construction loans
Learn more
Guarantor loans
Learn more
Self employed home loans
Learn more
Not sure where to start? See what a mortgage broker actually does.
When did you last
check your rate?
We compare your current home loan against 35+ lenders. If a refinance saves you money we will show you the numbers, and if it does not we will tell you that too.
Your job matters
Home loans by profession
Some lenders drop lenders mortgage insurance for certain jobs, and RPA and the university sit at the top of the street. The lists and the limits differ from one lender to the next, so it is worth checking where yours sits.
Home loans for
Doctors
Learn more
Home loans for
Dentists
Learn more
Home loans for
Accountants
Learn more
Home loans for
Lawyers
Learn more
Not sure if your job is on a list? See No LMI and waived LMI home loans, or ask us and we will check every lender on our panel.
Plan ahead
Run the numbers
Free tools that show you where you stand right now.
How it works
Three steps to your loan
1
Financial health check
2
Get pre-approved
3
Settle, then stay in touch
Client reviews
5.0 ★★★★★ on Google
Reviews from clients across Sydney.
★★★★★
"Cannot recommend Ali highly enough. He made a complicated and daunting process incredibly easy, and continually went above and beyond. Would absolutely recommend him to everyone."
★★★★★
"Ali is super knowledgeable, reasonable and personable! He will be realistic with what is possible but always find you the best deal whilst making you feel looked after."
★★★★★
"Ali is a maestro with a wealth of experience in home lending business, mixed with excellent people skills. His professional and supportive approach is a safe pair of hands to work with to get the required funds for your goal in the property market."
FAQ
Newtown questions, answered
Why use a mortgage broker in Newtown?
Because the stock here trips up lenders more than borrowers. Flats above shops, studios under a lender's minimum size, terraces with no parking, and buildings converted from something else. Each of those narrows the field, and your bank has one policy on all of them that you only discover after you apply. Brokers also have a legal duty called the Best Interests Duty, which means we have to put you first.
Can I get a loan on a flat above a shop?
Sometimes, and it is the single most useful thing to check before you offer on King Street or Enmore Road. Many lenders restrict residential property above commercial premises, lending a smaller share of the value or declining outright, and their concern is how readily the flat would sell again. What is underneath matters too, since a quiet office is read differently from a late night venue. Some lenders are perfectly comfortable, so the panel is what decides it.
Is there a minimum apartment size lenders will accept?
Most set one, and Newtown has a lot of stock that sits close to the line. It is usually measured on internal living area rather than the whole title, so a balcony and a car space do not count towards it. When a studio falls under, some lenders decline and others lend a much smaller share of the price, meaning a bigger deposit. Every lender draws the line in a different place, which is why the floor plan is worth checking before you offer.
Does a terrace with no parking value differently?
It can. A valuer notes off street parking the way they note land area and frontage, and a great many Newtown terraces have none. That does not make them poor security, because the market has priced it in for a very long time. What it means is that the valuation carries more judgement than it would on a uniform block, and two lenders using different panels can come back with different numbers on the same house.
What about a converted pub, warehouse or boarding house?
Conversions are common here and each one is its own question. A strata converted warehouse is usually straightforward. Where a building has a boarding house history or the lot is part of a managed arrangement, many lenders treat it as specialised security, lend far less against it or decline. Company title also appears in older blocks and narrows the field again. Confirm the title type and what the strata scheme allows before you get attached to the price.
Does the heritage listing affect my loan?
Not for a straightforward purchase. Where it matters is renovating, because most of Newtown sits in a conservation area and that changes what council will approve and how long approval takes. A construction loan is written against approved plans and a fixed price contract, so delays on the council side hold up the finance rather than the other way round. The period character is generally part of the value here rather than a deduction from it.
Can I buy my first home in Newtown with a 5% deposit?
If you are an eligible first home buyer, often yes, and at that deposit it will be an apartment rather than a terrace. The Australian Government 5% Deposit Scheme lets you buy with a 5% deposit and pay no lenders mortgage insurance, with Housing Australia guaranteeing the gap between your deposit and 20%. It is a guarantee, not a grant. The property still has to suit the lender, and in Newtown that is the part that decides it more often than your income.
How much deposit do I need in Newtown?
A 20% deposit avoids lenders mortgage insurance. On an apartment here that is within reach for a lot of buyers, and on a terrace it is considerably more. Plenty of people get in with 5 or 10% and pay the insurance instead, some professions can skip it, and a family guarantor loan can cut the deposit further again. Where the flat sits above a shop or under a size threshold, the lender may want more, so work the number against the address.
How does a guarantor loan work?
A family member, usually a parent, offers part of the equity in their property as extra security for your loan. They do not make your repayments and no cash changes hands. Most are set up as a limited guarantee, so only a defined portion of their home is at risk. One thing worth knowing in Newtown is that a guarantee does not rescue a property the lender will not fund, so the building still has to pass on its own.
What is the difference between a guarantor and a co-borrower?
A guarantor supports the loan with their property but is not on the title or the debt. A co-borrower is on both, so the whole loan sits on their credit file and counts against anything they want to borrow later. Co-borrowing lifts what you can afford because both incomes count. Where friends buy a Newtown terrace together, that choice also decides whether either of them can borrow again on their own, so settle it before you apply.
What is an offset account and is it worth having?
An offset is a transaction account linked to your loan. Every dollar in it reduces the balance interest is charged on, without being locked away. On a Newtown apartment the loan is often modest, so a package fee is a larger share of the benefit than it would be on a terrace. Check it against the balance you actually hold, because on a smaller loan a basic product with no fee can be the better answer.
Offset or redraw. What is the difference?
Redraw means paying extra off the loan and taking it back later. Offset means the money sits beside the loan in its own account. The interest effect is similar. What differs is access and treatment, because redraw can be restricted by the lender and money you redraw counts as new borrowing rather than your own savings returning. Newtown owners very often keep the first place and rent it out, so offset is usually the cleaner structure. Your accountant can explain why.
Should I fix my rate or stay variable?
Fixed gives certainty for a set period, usually one to five years. Variable gives flexibility, an offset account and unlimited extra repayments. Most fixed loans do not come with a usable offset. Breaking a fixed loan early can be expensive, which matters in a suburb where people often move up within the Inner West after a few years rather than staying put. The term you pick matters more than the rate on day one.
Can I split the loan between fixed and variable?
Yes, though on a smaller Newtown loan the fee is worth checking first. You fix a portion for repayment certainty and leave the rest variable so the offset still works against it. A good rule is to leave at least as much variable as the balance you typically keep in offset. Some lenders charge for each split, which matters more when the loan is modest than when it is large, so do the arithmetic before setting it up.
Interest only or principal and interest?
On a home you live in, principal and interest is almost always the answer, because interest only means you owe the same at the end of the period as at the start. On an investment it is a genuine question, and Newtown has a very large rental market. The catch is that lenders assess an interest only loan on what the repayment becomes when it reverts, not what you pay now, so it reduces what you can borrow next time. Worth discussing with your accountant as well as us.
How much of the rent will a lender count?
Not all of it. Lenders count a portion of the expected rent as income, commonly around eighty per cent, to allow for vacancy, management and costs, and they differ on the figure. They also assess the new loan at a rate well above the actual one. Newtown rents well because of the university and the hospital, so the rent does real work here, just not as much as the rental appraisal suggests.
Should I sell first or buy first?
Sell first and you know your number, though renting in Newtown while you search is neither cheap nor easy. Buy first and the finance carries both for a period, usually through bridging, where the lender funds the new purchase before the old one sells. The third route people forget is keeping the terrace and letting it, which the rental market here supports well. Your equity and whether your income holds both loans decide which is open to you.
When I refinance, does my loan term reset?
Only if you let it. Most refinances default to a fresh thirty year term, which makes the monthly repayment look better and quietly adds years of interest. Ask for the remaining term instead, so a loan with twenty two years left stays a twenty two year loan. The saving is smaller that way and it is a real saving rather than a longer road. Nobody volunteers this, so it is worth asking every time.
How much does it cost to refinance a home loan?
Usually a few hundred dollars to around a thousand. Your current lender charges a discharge fee, there are government fees to move the mortgage, and the new lender may charge a settlement or valuation fee, though plenty waive them. On an unusual Newtown security, a flat above a shop or a converted building, the new lender is more likely to want a full valuation rather than a desktop one, so allow a little more time.
Do I have to change lenders to get a better rate?
Not always. Lenders price new business more sharply than existing loans, so long standing customers drift, but many will move on rate if you ask properly and can show them what the market is doing. That avoids a discharge fee and a new application, and it also avoids a fresh valuation, which matters if your security is one lenders are fussy about. Sometimes the gap is too wide and moving wins. We check both.
I live in Newtown but want to buy elsewhere. Does that matter?
Far less than people expect. A lender assesses you, then it assesses the property you are buying. Where you currently live barely features. What does matter is the postcode and property type you are buying into, because lender restrictions attach to the security rather than to your address. Plenty of Newtown owners keep the terrace and buy further out where the land is bigger, and that lending is straightforward once the structure is right.
Should I use my bank or a mortgage broker?
A bank can only offer its own loans, its own valuation panel and its own rules. In a suburb this full of unusual security, the odds that one lender is comfortable with your particular property are not good, and you usually find out after you have applied and paid for a valuation. A broker checks it against many lenders first, and will tell you when staying put wins. Buyvest compares 35+ lenders at $0 cost to you.
Your Newtown mortgage broker
Your home loan.
Made simple.
Free check. No pressure. 35+ lenders compared at $0 cost to you.
Newtown sits at the middle of the Inner West, so everything is close. Stanmore and Petersham run west along the line, with Marrickville south and Mascot beyond it. Annandale, Glebe, Leichhardt and Lilyfield head north towards the water. Dulwich Hill, Summer Hill and Haberfield continue west, and Kensington sits east. We cover all of them, so if your search shifts a suburb or two, you are not starting from scratch.