ALTERNATIVE HOME LOANS

The Right Loan for You

All the major banks have a standard set of rules they use to decide if a loan application is acceptable, or not. A ‘non-conforming’ home loan is simply a term used for home loans designed for people that don’t fit those rules.
Loans like these can also be called ‘specialist’ or ‘alternative’ loans (alt doc). Non-conforming may not be a common term, but you might be surprised how many Australians have been declined for a home loan because they fall into this category, and why. For example, people who are:
•    Self-employed
•    Have recently started a business or a new job
•    Don’t have a perfect credit history
•    Been previously bankrupt
•    Have an ATO debt to pay-out
•    Have a solid income, but not much of a deposit
•    Have a deposit but it’s an inheritance or a gift
•    Work means they regularly change jobs, it looks like instability but it’s just the nature of the industry
•    Need to consolidate debts such as personal loans, credit cards or business debt
•    A new Australian resident, and therefore the previous credit history can’t be established.
That’s a lot of Aussies. The good news is that in today’s world there are lots of options.