Seven ridiculous reasons you could be rejected for a home loan

  • 📰 brisbanetimes
  • ⏱ Reading Time:
  • 69 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 31%
  • Publisher: 67%

Loans Loans Headlines News

Loans Loans Latest News,Loans Loans Headlines

I’m almost starting to regret adding my signature to an open letter to the previous federal government, urging it not to relax responsible lending laws.

My quest for a new mortgage – to retain my children’s home after sadly separating with their wonderful dad – continues.

However, the test is not just for now. They also assess you for if official interest rates rise by a further 3 percentage points. Until the end of last year, it was only 2.5 percentage points. That is on top of a mortgage interest rate that has probably already lifted 2.25 percentage points in the past five months alone, as the Reserve Bank of Australia strikes to combat inflation, and your repayment capacity shrinks.

Most lenders favour earned, employed income. Casual income may not come into the equation until it has been consistent for an entire year. Even then, a month will likely be chopped off annual income on the assumption that you will likely take a holiday for at least that long each year.What about child support from an ex-partner? You need to have a formal agreement and a faultless payment pattern – and not a cent above the required amount counts.

As a separated applicant who earns income through a long-established but COVID-hit small business, I am hit by almost all of the above.Many people had their earnings cut after being laid-off or had their hours reduced by COVID-19 conditions in the past two years. Some received fortnightly JobKeeper payments to help keep them financially afloat.

Whatever your credit card limit, it will typically rule out seven-to-eight times that amount of your borrowing capacity.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Ignoring Inv Income=joke. It’s probably more resistant than your income. The banks stereo-typing your spending and not actually examining your specific spending habits is just as bad. There was an advantage to having lending specialists who would deal with you personally.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 13. in LOANS

Loans Loans Latest News, Loans Loans Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Seven ridiculous reasons you could be rejected for a home loanI’m almost starting to regret adding my signature to an open letter to the previous federal government, urging it not to relax responsible lending laws. NicolePedMcK And I thought it was bad that I couldn’t qualify to get a loan to buy an air conditioner.
Source: smh - 🏆 6. / 80 Read more »

Seven ridiculous reasons you could be rejected for a home loanI’m almost starting to regret adding my signature to an open letter to the previous Federal government, urging it not to relax responsible lending laws, writes Nicole Pedersen-McKinnon | OPINION If the responsible lending laws had been scrapped, as Frydenberg attempted, how would those borrowers handle the current rate rises? This article is utter horse 💩!
Source: theage - 🏆 8. / 77 Read more »