Loan approval with 1 year ABN income

Discussion in 'Loans & Mortgage Brokers' started by RichardN, 29th Aug, 2020.

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  1. RichardN

    RichardN Well-Known Member

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    I am looking to refinance my PPOR to release the equity. We are using income from business and ABN is opened as backdated to 2 years old and i have only one year tax assessment document, no bank statements.

    can someone suggest what is the best appoach to apply for the loan with ANZ so that less questions/ documentation asked.

    Should I go through direct bank or mortgage brokers. Does it make difference based on your experience.

    Appreciate responses from non- mortgage brokers.
     
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Don't think you will have much luck
     
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  3. Redom

    Redom Mortgage Broker Business Plus Member

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    Sounds like low-doc may be your best fit in terms of meeting income verification documents (BAS's perhaps or accountant letter confirming your income).
    Most full doc lenders will want to see statements of the income coming into your account as part of their verification process.
     
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  4. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    It's achievable, but you'll need a larger deposit and will have to compromise on rates an perhaps features.

    There might be some good options if you can show a transition from PAYG employment to self employed in the same field.
     
  5. Hari Yellina

    Hari Yellina Well-Known Member

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    1) ANZ is the toughest bank. un conditional approval is very hard to achieve.
    2) Can you go 69% LVR or 50% LVR

    3) Try Latrobe or liberty. higher interest rate, but very flexible.
     
  6. Lindsay_W

    Lindsay_W Well-Known Member

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    ANZ is not the hardest lender per se, however any mainstream lender on a full doc basis with this scenario is going to be tough to convince, especially without bank statements showing the income for the business.
     
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  7. gach2

    gach2 Well-Known Member

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    Out of curiosity what type of rates and deposit are we talking? Any lenders in particular?
     
  8. Hari Yellina

    Hari Yellina Well-Known Member

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    I used to have 8 properties with ANZ, we have moved away from them. I think they are the toughest.

    some of the silly questions.

    1) Can you guarantee the exact rental of $500 per week on the new property purchase?. Once you bought the property it can $480 or $520. and they can be very silly in their process.

    I invest every year. So, my experience is different.
     
  9. euro73

    euro73 Well-Known Member Business Member

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    The respondent writes loans every day.... I think his experience is different again ;)
     
  10. Hari Yellina

    Hari Yellina Well-Known Member

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    That's what I said. My experience is different. I only took 6 loans in the last 8 months. The next one is through Westpac private lending.

    If you are writing loans every day, around 356 loans or a year. I would definitely look for an experienced person.
     
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  11. RichardN

    RichardN Well-Known Member

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    Thanks everyone for your responses. I have a specific question. Appreciate if someone can respond based on your experience or viewpoint.

    can someone suggest what is the best approach to apply for the loan with ANZ so that less questions/ documentation asked.

    Should I go through direct bank or mortgage brokers. Does it make a difference based on your experience.
     
  12. euro73

    euro73 Well-Known Member Business Member

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    6 loans in 8 months is busy work.... what I was saying is that the respondent is a broker who deals with lots of different scenarios all the time, so when he said ANZ isnt particularly difficult , he was coming it from that vast experience. . ANZ , like all majors... has its niches and has its moments in the sun. Right now isnt a very good time to be dealing with them.... they are in a bad place with processing times and to be avoided in my view Westpac were horrible earlier this year...have caught up somewhat .
     
  13. Hari Yellina

    Hari Yellina Well-Known Member

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    No problem,

    I am constructing 6 townhouses in different areas, and 2 cashout loans. 1 Property purchase.

    and Just applied for one more loan.

    Out of all, ANZ was bad for me.

    He might get a better outcome. Approval will be quick, the conditions might be bad.

    Anyway, good luck.
     
  14. Pash81

    Pash81 Well-Known Member

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    ANZ has been the best for us (medico) so far in terms of time frame and documentation etc. Got loan approved in less than two weeks from application to approval letter. Didn't ask for a tax return etc for a new (less than a year) old business as well
     
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  15. RichardN

    RichardN Well-Known Member

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    Thanks @Pash81. When was your loan approved and did you apply for the loan directly or through the mortgage broker?
     
  16. Pash81

    Pash81 Well-Known Member

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    We applied directly with the bank through ANZ health Manager. Loan applied on 6th August and approved on 19th August. Settlement happened on 27th
     
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  17. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Is the business similar to what you used to do before becoming SE ?

    Got a 5 mill transaction away 18 mths ago with a 8 mth ABN, but with full complement of supp docs, standard LVRs and rates

    Why no bank statements ?

    ta
    rolf
     
  18. Lindsay_W

    Lindsay_W Well-Known Member

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    ANZ Health is fantastic - if you qualify for it
    Don't expect the same level of service or processing times if you need to go through the normal ANZ channel though, takes much longer than via ANZ Health.
     
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  19. Marty McDonald

    Marty McDonald Mortgage broker Business Member

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    Youd be better off trying cba and getting 1 months of business income going into a bank account at least. ANZ will want 3 months on both biz and personal so you are barking up the wrong tree I feel if nothing to show them.
     
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  20. Marty McDonald

    Marty McDonald Mortgage broker Business Member

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    Pash81 not really relevenat to anyone besides medicos
     
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