Mortgage loans are important to most people in Australia. We interviewed Steve Sell.
Free Credit Report provide a free credit report for you but they also assist with mortgage loans whether you’re buying your first house or investment or any other purpose.
We know it’s one of the big decisions of people’s lives to get a mortgage for the house.
Can you just give me an idea to sort of mortgage types that there are?
Okay we’ll start off by one of the first steps in the process is checking out your credit file, see what’s on there, if there’s anything that needs to be rectified.
Just seeing what’s there can then determine the track we go down, whether it’s a mainstream bank or a second-tier lender that has slightly different requirements. But it all comes back to your affordability to pay and the deposit amount.
Okay so maybe if you couldn’t get a loan with it with a mainstream bank you’ve got non-bank lenders whose criteria aren’t as strict.
They may not be as strict or they may be a bit more flexible.
Definitely more flexible some of them are, but as a minimum you’re looking at a 10% deposit.
What’s the maximum loan amount you can get?
In most cases is going to depend on the client’s ability to afford the repayments and the type of property the valuation of the property so depending on the property there’s no real maximum that just comes back to the individual.
That’s what the free credit report will help determine whether there’s any problems you know also obviously whether they have got a job and how much they’re getting paid and that kind of information.
Exactly. So, there’s no one type of answer. It depends.
So, if you’ve got good credit and you’ve got stability and you work and you own you’re home, well then your chances of getting a mortgage are improved but you still need a deposit?
So, if you change your address every two months that might not look so good?
Well that’s going to impact your credit file and doesn’t look as good no.
So, basically you can do anything from refinancing to just a normal first home-buying loan?
Are there any types of loans that banks are restricting?
Well there’s a lot of instances at the moment where inner-city apartments and some suburbs, the banks are asking for 30 or 40 percent deposit to finance apartments. In those areas where we’ve got lenders and we’ll look at them on you know 15 or 20 percent deposit.
So, it just really depends on your details, what you buying and interest rates.
So, if you’ve been to a bank and they’ve told you that you need 30% deposit and you don’t have 30% there’s an option for that?
There can be options depending on your personal circumstances.
So, if I’ve got no deposit can I do anything?
No, you’re going to need some deposit and be able to demonstrate a savings history. It may be a situation where you could have a gift from parents towards a deposit and a lot of mainstream banks won’t allow that but there’s other lenders that will.
Okay so even if they have no deposit there might be some ways that they could either get the money from their parents?
Hustle their parent a bit. Exactly.
There may be some non-bank lenders who might be able to organize it?
You’re still going to need some money going in.
You’re going to need some money?
Yes. But at least there may be some options there. Tat’s great because I know a lot of people can’t get a loan and they’ve just given up, so that’s really good to know that there are options and lenders who might be able to find a solution for it.
If they want to get a free credit report or want to know about mortgages whatever what do they do?
They can get a www.Freecreditreport.com.au, get a copy of their credit file which is going to then determine the direction we take as far as helping them with the loan.
Or call us on 1-800-100-100 and there’s no obligation to take our loan you get a free credit report.