First Time Buyers Struggle to Qualify for a Loan

Many first-time buyers struggle to qualify for a loan. You’ve probably never had to borrow so much money before. And every lender wants to minimise their risk, which means they’re going to take a close look at your finances.

These 5 things will increase your chances of getting a loan:

1. Lenders want to see that you’ve saved your deposit yourself.
Unless you are lucky enough to have cash, you need to start getting started sooner rather than later.

2. Lenders usually look at the last three to six months of savings statements.
You must show consistent saving towards the deposit

3. BUT, if you’re renting right now, you might be in luck.
Some lenders consider your rent payments as part of your savings!

4. They also require you to declare all your expenses, and that means every regular expense. So get rid of that netflix, magazine subscription or gym membership if you are not using it.

5. Your credit score has a huge impact on your chances of approval. Every lender looks at it, which means you need to know what your credit file looks like.

Go to http://mycreditfile.com.au/ to grab a copy of your credit file or contact Investors Choice Mortgages

and we will get you a copy as part of what we do to assess how the lenders will assess your loan application

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