Preapproval assessment timeline

Discussion in 'Where to Buy' started by Liza28, 19th May, 2020.

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  1. MWI

    MWI Well-Known Member

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    Remember what lender is best fit for you for your circumstances, only you know that, and what is vital to you, what you wish to achieve?
    For example I am refinancing some and decided to go with ANZ (2.69%) for those loans (in addition $4K given to me to refinance), but re-fixed some loans with CBA as very good rates offered at 2.59% (will fix for next 3 years as this will make more of my IPs income/cashflow positive). Since have some IPs with CBA already I don't wish to be exposed with more IPs further with the same bank (concentration risk).
    Also, in our case we are self-employed hence business income can fluctuate so we do not wish to have business banking with same bank (why have that transparency, extra layer of buffer in uncertain times), so have LOC with another bank.
    For asset protection with a lender I don't hold any bank accounts.

    In addition in our circumstances we are after, cash-flow, liquidity, and timing, so prefer current lowest IO rates with largest $ amounts as we will have more money left over, we can pull out more funds too (for buffers or further investments - choice is ours).
    So many other reasons could exist why you would go with one lender over other? I am with many lenders just because of various reasons.
     
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  2. Terry_w

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

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    We generally use CBA and WBC in equal doses. Both have good points. I prefer CBA for companies and trusts and WBC for debt recycling for example.
     
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  3. Liza28

    Liza28 Active Member

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    NSW
    Hi @Lindsay_W. This is what our broker told us too. I guess we just have to trust them as they also did our first loan with Suncorp 2 years ago which was smoothly done. I just got surprised and shocked upon reading posts and news that WBC takes up to 34 business days to finish the assessment of preapproval applications. Fingers crossed we'll get it soon. Thanks a lot for all your inputs. Much appreciated.
     
  4. Liza28

    Liza28 Active Member

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    Thank you @MWI. This gives me so much to think about.
     
  5. Liza28

    Liza28 Active Member

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    NSW
    Hi @Peter_Tersteeg. Thank you for your input. I prefer to have a preapproval with credit oversight as this gives me extra confidence once we're all set to apply for a formal approval.