First Home Buyers Got Loan Approved After Declined By Bank
First Home Loan Success Story
Mortgage Corp helped two first home buyers get their dream home after the bank declined their home loan application. Following Mortgage Corp loan strategies, the couple bought an investment property 3 years after they purchased their first home.
Client Profile: Dayna (Teacher) & Trent (Carpenter)
Dayna and Trent just bought their dream home but when they went to their bank to get finance, they got knocked back.
This was the bank they had been doing their everyday banking with and it’s the same bank that had pre approved their loan application.
With a signed property purchase contract and set settlement date, they need to get their loan approved asap! A friend suggested them to call Mortgage Corp!
Mortgage Corp Loan Specialist’s Comments
It’s quite normal for average property buyers who get a pre approved and then get declined later by the same bank when they’ve bought a property.
Every conditional approval/pre approval letter has certain conditions attached to it, as explained in the blog post The One Mistake Many Property Buyers Make After Pre Approval.
At Mortgage Corp, we always make sure our clients understand the conditions and bank policies so they only look at properties that meet those conditions and policies.
Some of these conditions are not always listed on the pre-approval letter, eg: size of the apartment (if it’s an apartment), apartment usage, eg student accommodation , whether it’s near any main power lines, zoning of land, and other polices that lenders have, these may not be outlined in the pre-approval letter.
Get the RIGHT loan for their first home that meets their individual needs (when their bank declined to lend them money)
How the objectives were achieved
We sat down with them, asked a few questions and worked out why their bank didn’t want to lend them money. We then asked more questions to get a full understanding of their current situations, future plan before we explored a few lending options.
We needed to get their loan approved ASAP as they’d signed the contract with the vendor. We quickly came back with the right loan solution and they got their loan approved and settled in time! They were over the moon!
Knowing their future plan, we keep reviewing their loan to make sure it still suits their needs.
Overtime, we also showed them how to use offset facility, redraw, and how to pay extra off their home loan, which they did, they got into a position where they had more equity. About 3 years later, we helped them bought their first investment property in a good area with high rental return and potential for growth.
- They moved into their dream home and bought an investment property 3 years later
- Dayna was able to take a year off to look after the new born baby and enjoy the wonderful first year together without having to worry about work or money
Dayna and Trent were able to buy an investment property and still have enough money in the bank to hold Dayna off working for at least a whole year so they can dedicate their time to the baby and not worrying about going back to work.
“Thanks to Mortgage Corp’s long-term, strategic approach, we were able to setup our loan for maximum investment results”
When Dayna goes back to work, then we’ll review their loans again and look at getting 1 or 2 more investment properties in the next 2 years.
This is a perfect example of why the lowest interest rate may not be the most suitable product for your individual circumstances.
Discover How To Get Access To Discounted Rates And Fast Loan Approval (Without All The Red-Tape), And Solid Advice On How To Structure Your Loans For Long-Term Investment Success, Schedule Your FREE Consultation Session Today