When the time comes to apply for a home loan in Australia, it’s important to understand that lenders consider a range of factors relating to your situation that can impact your ability to borrow – one of these being your level of income.
As home loan experts, we at Compare the Market want to break that down and explain how your income can impact your borrowing power, and why that’s particularly important for single people.
When applying for a home loan as a single person, it can seem difficult to secure the loan amount that you would like. This could be due to a few factors, including:
- Double income. If there are two persons applying for a loan and both work, there is usually double the amount of income being received. Showing evidence of savings is a crucial requirement of a home loan application and having a single income will typically take longer to save for a deposit in comparison to couples, depending on their circumstances.
- Living expenses. Applicants that are a couple are generally viewed by lenders as having some shared living expenses, which could be lower than the living expenses of two applicants that were each applying as singles.
But you shouldn’t let being a single person dissuade you from looking for a home loan – there are plenty of singles that are able to secure a home loan by showing their ability to save and maintain a steady income, among other qualifying factors. Whatever it is that you are looking for in a home loan, it’s important that you compare a range of options to find the right one for you and your personal situation.
As a woman, you may also be interested in not just securing a home loan of your desired amount, but also finding a home in a location that is in line with factors important to you, whether that be locally or overseas. Relocating abroad can be daunting as a woman living alone, and it can be difficult to know which countries are best for your budget and lifestyle.
For example, many women consider the safety of an area and women’s rights progression to be key factors that influence where they to reside. But, it’s easy to overlook how different some things are in other countries. From restaurant menus to bank accounts and securing home loans, it’s essential to consider the details of living alone as a woman.
To take the guesswork out of your decision, we compiled a list of every country in the Organization for Economic Co-operation and Development (OECD). Ranking each destination based on living costs, safety and women’s rights, we found what we consider to be the best countries for women to own a home.