Non-Conforming Home Loans Offer an Alternative
When it comes to home loans not everyone fits into the ‘ideal situation’ category in the eyes of the lender.
There are many people that can tick off the majority of the necessary boxes to secure a mortgage – but still do not qualify for typical kinds of home loans.
For example, it is often more difficult for the following groups to obtain a loan: credit-impaired, self-employed, non-residents, new residents, security-impaired, casual or seasonal workers, older borrowers and those with low or no deposit.
A mortgage broker can help these groups by examining the ins-and-outs of their personal situation and working towards the best solution with all factors considered.
One option that is frequently used in these situations is called a non-conforming home loan.
These kinds of home loans are a lot more flexible than in the past and are available as a variable, fixed or split rate loans. They also have many of the features of a more traditional loan, such as offset accounts.
The interest rate or fees on non-conforming home loans may be slightly higher, but they are a good way to repair your credit rating.
And some lenders will allow you to refinance into a more traditional style home loan after a period of time if you can demonstrate a good repayment history.
To get more detailed information on your situation, talk to a Loan Market mortgage broker today.