How to deal with your Deposit - 3. Deposit Bonds IOU

Deposit, Deposit, Deposit Part 3 Aaron from Diagnostics and Finance Mortgage Brokers. Just a quick snippet on deposit bonds. Now, deposit bonds are like a little IOU with an insurance company behind it. It has a cost to it. It's not a cost of like 10% of property value. It is a premium that you pay for the privilege of getting access to a promise or a deposit bond. A deposit bond is applied for and approved and then you pay for it. And it can be used for multiple reasons. People might have their money locked up in another property. People have money locked up in different investments or they might want to just hold onto their cash right up until the point of settlement. There's many different reasons why people would do it. So if you don't have the money right now, a deposit bond can be a great option for you. Similarly, if you are selling your home and you have no debt on it and you then go to buy another home, all your money and deposit is locked up in that property that you're selling and probably simultaneously settling at the same time. So deposit bonds come in very handy. So part one cash 10%, part two negotiate it down, part three deposit bonds. Jump in there and a mortgage broker can help you out with those. Alright, have a great day.