hits counter

Full Doc Bad Credit Home Loans

/Full Doc Bad Credit Home Loans
Full Doc Bad Credit Home Loans2018-07-24T07:29:55+00:00

Bad Credit Home Loans for Applicants that can fully verify their incomes.

If you’ve been rejected for a home loan – or fear rejection – you aren’t alone. Over 600,000 Australians carry a “high to extreme risk” of credit default, according to credit rating agency Equifax.

Unlike other mortgage providers, we specialise in assisting borrowers with a bad credit history which can vary from very minor credit impairments to discharged bankruptcy. We have access to niche and rarely available funding sources, ideally suited to assisting borrowers seeking a bad credit mortgage for investment or owner-occupier purposes.

What are my options with Bad Credit?

(Click on a heading for more information)

Finding out that your home loan has been declined is never a good feeling, but don’t despair – all lenders are not equal, and just because one bank has said “no deal” it doesn’t mean you should give up just yet. Many loan declines are caused by low credit score or too many credit enquiries on your credit file.

The mortgage insurance in particular have been almost ruthless in their scrutiny of applications. Knowing what lenders and the insurers are looking for before you apply is now vital to avoid having your loan declined. It has never been more important to use the services of an expert Broker

We have Funders that will look at each application and base the loan on merit and other factors up to 95% LVR.

Lenders like to see a borrowers’ history of savings – normally the minimum is 3% – 5% of property value and they like to see this saved over a minimum of 3 months for loans above 85% of property Value.

The following types of savings are considered to be genuine savings.

  • Savings held or accumulated over 3 months.
  • Term deposits held for 3 months.
  • Shares or managed funds held for 3 months.
  • Some funders will consider rental history as part of genuine savings.

We have options for low deposit loans up to 95% lvr without Genuine Savings

Minor paid defaults up to $500 can usually be accepted by some banks and lenders / mortgage insurance up to 95% of property value e.g Telcos and non financial defaults.

Some funders that have delegated authority with mortgage insurers may accept paid defaults up to 80% of property value as long as they have not been recent and you can provide a reasonable explanation.

For Paid or Unpaid defaults, Judgments, Writs & Summons that do not fit the above criteria generally you will need to obtain finance from a Specialist Lender.

We have many of these lenders on our panel and each case needs to be analysed to find the best and lowest rate option for you with the easiest exit strategy for you to refinance to a lower rate lender when your credit report is clear. All these Funders require a detailed account of how and when the impairments occurred; as well as an explanation on how and why the event is no longer an ongoing concern with little likelihood of reoccurrence.

We have specialist lenders that can lend you up to 95% of the property Value on a purchase and 90% of a refinance.

Discharged Bankrupts / Part 9 or 10 can apply for a home loan from day 1 of discharge.

Rates are dependent on LVR and time since filing for and discharge time frame and can go to a maximum of 95% of property value on a purchase and 90% lvr on a refinance. If you are currently in a Part 9 Agreement then you can refinance your current mortgage to pay out your agreement or if currently Bankrupt you can borrow to Annul Bankruptcy.

Most metropolitan and major regional centres for higher lvr – (post code specific – please ring or email to check).

General acceptable Security includes:

Zoning of a Residential nature that permits residential usage House or Unit.

Most Banks and other lenders will not allow cash out to pay tax debts and releasing cash out of equity is considered by the banks to be very risky and they generally want to control cash out. We have funders that will allow unlimited cash out up to 90% of property value without controlling disbursements.

Home loan arrears are a very serious business that could result in the funder re-possessing your house and selling it to recover their money so any funder refinancing this loan will want to be certain that there will be no re-occurrence. People find themselves in this financial situation due to one off life circumstances such as illness, loss of employment, divorce etc. –  and now have the capability to pay the repayments of your loan on time but can not catch up.

  1. Minor arrears due to a one off event (sickness, Unemployment etc) can be dealt with directly with your lender usually without the need to refinance especially if you are not too highly geared.
  2. Up to 2 Arrears can be refinanced by a specialist lender up to 85% LVR
  3. Over 2 Arrears can be refinanced by a specialist lender up to 75% LVR

It is important that you are proactive as the longer you leave it the more bank fees, default interest rate, lawyer fees and real estate fees will eat into your equity that you have in your home. If you can’t make the repayments on your home loan due to ongoing income restrictions it then may be better to sell your home rather than refinance and just end up in the same situation again.
It can be stressful if you find yourself unable to meet your mortgage repayments and you’re in danger defaulting. But you’re not the first person to face difficulties, and there is almost always a solution. You just need to talk to the right people at the first sign of difficulty.

Firstly Talk to your lender

You probably won’t want to talk about your mortgage situation. But the problem won’t solve itself and avoiding matters won’t help. Remember: your lender doesn’t want to foreclose your loan – it’s no fun for them either. So call and let them know what’s happening.

If you have multiple debts from various sources or institutions such as a home loan, personal loan, credit card or other high interest loans, and you are having trouble paying these off, then it could make sense to roll these debts together with your home loan.

We can lend to 90% on Debt Consolidation with bad credit including late payments.

Bad Credit Home Loans for Purchasing Vacant Land to 90% LVR. Generally due to the higher risk factor on construction loans any default paid or unpaid would need to be lodged more than 2 years from application except for minor defaults up to $1,000.
Most metropolitan and major regional centres only with population over 10,000 (post code specific – please ring or email to check).

General acceptable Security includes:

Zoning of a Residential nature that permits residential usage House or Unit.

Bad Credit Home Loans for Construction to 90% LVR. Generally due to the higher risk factor on construction loans any default paid or unpaid would need to be lodged more than 2 years from application except for minor defaults up to $1,000.

Most metropolitan and major regional centres only with population over 10,000 (post code specific – please ring or email to check

To apply for a Construction Loan you will require:
  • Council approved Plans
  • Fixed price quote from Licensed Builder

Best rates are to a maximum of 70% LVR. Each loan has to be treated as an individual basis so it is important to deal with a broker that has several options and is experienced in this category of lending.

Available for Purchase or Refinance to 75% of property value.

  • Up to 75% loan to value ratio (LVR) on residential investment properties (60% for off the plan)
  • No minimum balance in the super fund. We recommend that you seek independent financial advice
  • Credit impairment accepted (on the guarantor members credit report)

Available for Purchase or Refinance to 75% of property value for acreage up to 100 acres.

The land must have easy access using an all weather road and the property must be connected to the electricity grid or can be connected without excessive costs. Town water and sewerage services are not required as many Australian properties have tank water or septic tanks instead. Land can be zoned rural or rural residential that is legally allowed to have a dwelling for occupation.

We have mortgage brokers that specialise in Bad Credit Home Loans. Please complete our Express Enquiry Form or Phone Direct and you can discuss your situation with an expert.

If you wish to proceed, then we will help you to complete all the necessary paperwork and liaise with the lender on your behalf. This will include the completion and submission of your loan application and the on-going communication between all parties until your loan is settled.

APPLY NOW

Online Enquiry Form

Fill out our express enquiry form now to find out how we can help
APPLY NOW