First Home Buyers: Using A Finance App To Prove Savings Habits To A Broker

If you are preparing to buy a first home, your deposit is only one part of the picture.

Moneysmart says the main things lenders check when assessing a home loan application are your savings history, credit report, income and expenses, employment, and whether you have a guarantor. Separately, Moneysmart notes that if your loan-to-value ratio (LVR) is above 80 per cent, you may need to pay lenders mortgage insurance. A guarantor is legally responsible for repaying the loan if the borrower cannot.

Make savings behaviour visible

Start by keeping a clear record of:

• regular savings transfers
• account balances over time
• income coming in
• regular expenses
• debts and repayments
• large one-off costs

This is not about making your finances look perfect. It is about making the real picture easier to review before you speak with a broker, lender, or adviser.

Review expenses before the conversation

Moneysmart suggests looking back over bank statements or app transactions for the past few months to see regular and occasional costs.

That review can help you answer questions about spending patterns, bills, subscriptions, and savings capacity.

How Cove Money can help

Cove Money can bring connected accounts, transactions, bills, cashflow, and spending insights into one place using read-only bank connections through the Consumer Data Right.

This may make it easier to prepare for conversations with a broker or lender because your account activity is easier to review.

Important limitation

Cove Money cannot prove loan eligibility, improve your approval chances, or tell you what loan is right for you. Cove Money is a personal finance information and tracking service, not a provider of credit advice, personal financial advice, legal advice, tax advice, or accounting advice.

---

This article is general information only and does not constitute personal financial advice. Consider seeking advice from a licensed adviser before acting.