So… your loan application was declined and you think that owning your own home/investment property is just a long lost dream? Think again… Now more than ever banks are tightening up their policies and delving deeper into your financial situation BUT as experienced Mortgage Brokers we understand that everyone’s situation different and we use our knowledge and know-how to find the best possible solution for you and your uniquely ‘special’ set of circumstances.
1. YOU WANT TO BORROW 95%
Loans that are 95% of the property value are seen as higher risk by the banks so your application will need to be bulletproof.
Did you know? – you can borrow 100% of the property value if you have a suitable guarantor.
2. YOU HAVE BAD CREDIT
Most lenders see bad credit as an instant decline however, some will consider your application if you’re discharged from bankruptcy or have paid your defaults
3. YOU’VE APPLIED MULTIPLE TIMES BEFORE
Having too many inquiries on your credit file can make it tough to get a home loan, luckily some lenders will take a common sense approach and don’t credit score.
4. YOU’VE BEEN IN YOUR JOB FOR LESS THAN 6 MONTHS
In an ideal world the bank wants you to stay in your job role long term, in reality we understand this isn’t always the case AND we know the lenders who feel the same as us!
5. YOUR SPENDING HABITS AREN’T THE BEST
Now, more than ever the banks are looking at what you spend your money on. So beware, these days your Netflix, SportsBet and Deliveroo will impact your ability to service a loan.
6. YOU’VE BEEN SELF-EMPLOYED FOR LESS THAN 2 YEARS
This is one of the harder policies to overcome when applying for credit however, clients within certain industries can still overcome this.
7. YOU’RE COMING UP TO RETIREMENT AGE
Banks can’t discriminate against your age but they may require you to demonstrate your exit strategy.
8. YOU WANT TO BUY A UNIQUE PROPERTY
Properties such as small studios and rural retreats might float your boat, but banks only care about the resale value in case you default on your loan. Thankfully some lenders will make exceptions.
9. YOU’RE UNEMPLOYED
You don’t have a job but you want to borrow a substantial sum of money…?
We’d love to help you BUT you’re right about this one. Lenders cannot approve your application unless you can prove your source of income
IF THIS APPLIES TO YOUR OR SOMEONE YOU KNOW, GET IN TOUCH WITH US TODAY TO DISCUSS THE BEST SOLUTIONS