How is red rock different from other lenders?

Red Rock is a non-bank finance company. In other words we are a non bank lender with our own access to funds for mortgage purposes as well as having access to a wide range of major bank & non back lenders. We are committed to putting customers needs first & keeping our overheads low in order to keep prices down. We believe that access is critical to customer satisfaction.

How secure is red rock?

Red Rock uses a funding process known as mortgage securitisation where "mortgage backed" bonds are issued on the money market for investors to buy. These mortgage bonds are rated AAA by independent rating agencies.

Mortgage securitisation requires the appointment of a trustee who supervises the mortgage process. The trustee holds all the mortgage documents in safe custody and delegates the day-to-day management of the mortgage investments to a fund manager.

What fees does red rock charge?

Red Rock Mortgages strives to maintain our FEE FREE guarantee. All our loan products have the following exceptional benefits, which means more money in your pocket.

• FREE Monthly Account Keeping Fees
• FREE Annual Fees
• FREE Unlimited Redraws
• Low ongoing interest rates

 Some fees & charges that you may incur -

• A small administrative fee if you loan does not proceed after an approval is obtained.
• Legal & Valuation Fees (We get billed for these)
• A deferred establishment fee if you pay out your loan within five years

Lenders Mortgage Insurance for loans over 80% of your property value or for loans over $800,000

What is lenders mortgage insurance?

Lender's mortgage insurance protects the lender in the event that you default on your loan and the outstanding value of your loan is greater than what they receive from selling the property.

In nearly all cases, if you borrow more than 80 percent of what the lender considers to be the value of the property they will ask you to pay their mortgage insurance. Some lenders require the borrower to pay the lender's mortgage insurance at loan to valuation ratios less than 80 per cent.

Lender's mortgage insurance is usually charged as a one-off premium and is calculated on a sliding scale. That is, the greater the percentage of the property value you borrow and the more money you borrow, the higher the mortgage insurance premium payable.

What kind of borrowers are acceptable?

Red Rock can arrange finance for a number of different borrowers and applicants of varying types, these include.

• PAYG employees
• Guarantors
• Self-employed individuals (inc contractors)
• Companies in their own right
• Trustee companies on behalf of trusts
• Non Australian Residents
• Owner builders
• Recently discharged bankrupts
• Borrowers with impaired credit history including judgements or defaults

How much money do I need?

Generally as borrower you need to contribute the difference between your loan amount and the purchase price of your property, plus costs, such as stamp duty, legal & valuation charges. As a general rule of thumb 5% of the purchase price is a good measure to allocate for these types of costs, but they can vary substantially depending on the nature of your transaction.

Your contribution to the transaction can come from a number of different sources including:

• Bank savings
• Term deposits
• Shares
• Existing equity in real estate.

If you don't' have funds available in any of these sources you can also use funds from sources such as gifts from family or friends or the First Home Owners Grant. 

Can I get the first home owners grant?

The First Home Owner's Grant is a payment to people buying their first home in which to live. To see if you are eligible for the grant and for further information you can visit http://www.firsthome.gov.au.

How much stamp duty will I pay?

The government requires stamp duty to be paid on your mortgage and on your property purchase. Please see our calculators section for an estimate of stamp duty. For Victorian purchases mortgage stamp duty was abolished on the 1 July 2004. Great News! To get an estimate on your stamp duty costs Click Here

How soon will I have access to the money?

How quickly we can settle your loan will depend on a number of different factors depending on the nature of your loan. The time between initial application and your settlement.

At Red Rock we do everything in our power to ensure that a settlement is arranged as quickly and efficiently as possible with minimal delay, sometimes however because of the different process & the number of people involved in the loan approval process such as valuers & solicitors, this process can take time and will vary significantly on each persons individual circumstances.

Same day approval-in-principle

Within 24 hours we can provide an approval-in-principle for your loan.

Conditional Approval

We can issue a conditional approval subject to a certain condition being acceptable or provided. These conditions are usually a satisfactory valuation of your property and necessary documentation such as a contract of sale.

Formal Approval

Formal approval can be issued when:

• Your credit report has been checked
• You have provided all necessary documentation
• Your property valuations are completed and satisfactory
• Mortgage insurance approval is obtained.

Again formal approval times can very but can generally be achieved in around five working days from receipt of the loan applications and all verification documentation. Our commitment to strong and prompt communication is key to achieve a quick and smooth settlement for your loan.

Settlement

Once we have issued a formal approval to you we will instruct our solicitors to issue you with your mortgage documents. This generally occurs within 48 hours of obtaining a formal approval. From here we can book in settlement once you have returned your documents (so the quicker you sign them and send them back, the better!) settlement can be within 48 hours after receipt of your fully completed loan documents.

How will my loan account work?

Our loans come with many features & benefits to allow you to manage your money on a day to day basis. Your can access to your loan over the Internet via our secure Account Access section. Alternatively you can access your account over the phone or withdraw cash from selected ATM's.

For more information on managing your loan please Click Here.