Many of the larger lenders offer very competitive packages of products which are
available only to those borrowers who meet specific criteria. These products began
as 'professional packages' as lenders targeted specific professions which were seen as
high income and low risk. Professional packages were also a good marketing ploy as
lenders would do deals with professional bodies which would then let their membership know
of the special deals. Today most lenders focus more on specific home loan sizes and
earnings profiles in their targeting of these packages rather than targeting specific
professions.
Typically borrowers for these products will borrow over $125,000, but usually the
maximum benefits cut with home loans of around $250,000. Typically they will have at
least $50,000 per annum income (or $80,000 for a couple) and that can usually include
investment income.
Professional packages offer home loans with features at basic
variable rate prices. The features can include any or
all of the following:
Some professional packages are simply highly optioned home loans with lower interest rates
and (usually) slightly higher fees and some 'fringe benefits' like a free credit card and
cheap house insurance. Others are packaged
products in which the borrower typically pays a global package fee - usually around
$350 per year. For this the borrower gets a range of banking services including
several home loan accounts and personal accounts for themselves and their partners. This
approach looks expensive, but can make a lot of sense if the borrower requires multiple
accounts for convenience and tax purposes. This will generally be the case if one
home loan is financing the home and another is financing investment. |
