Excellence Finance

Documentation

Each state and lender is slightly different, but the following is pretty much what you will need to have ready when you are applying for most standard home loans. When your mortgage broker comes to see you, the whole process will be quicker if you have your documents ready. All borrowers are required to provide:

Bank statements showing your saving history for the past six months (including term deposits)
Originals (and a copy) of 100 points ID check
1. Passport with photo (70 points)
2. Current drivers licence (40 points)
3. Credit card or Medicare or utilities bills in your name (25 points)
Evidence of shares and other investments
Contract of sale/purchase for the property if available

In addition, the following is required, dependent upon your category as a borrower:

PAYG employee

Two most recent pay slips or group certificates for the past two years.

Self-employed

Past two years business figures
Personal and business tax returns (some lenders also require personal tax assessment)

Within the residential lending market, there are of course a range of reasons why you might be looking for a home loan beyond your primary residence. In some cases, you will find you may need different or additional documentation.

Investment Property

Copy of lease, rent appraisal or rental statement

Re-financing

Past 6-12 months loan(s) statements
Rates notices
Insurance policy

Building Loans
For building loans there are two stages: the loan approval, and the draw-down (payments to builder):

Loan approval
Fixed-price building contract (which includes the copy of the plan and specific actions)
Draw-down commence progress payments to builder
Council approved plans and building permits

If you are an owner builder, you will be required to provide detailed costings including quotes and relevant insurances.

Low-document Loans

Both low and no-documentation loans really should be discussed with your mortgage broker, as the different lender requirements are inconsistent. What is consistent is that lenders do not require the standard 2-3 years financials/tax returns that a typical self-employed person would provide. You would probably be required to provide all or some of the following:

Evidence of ABN
GST registration (Confirms gross income over $75, 000)
Self Certification of income Declaration or Loan Affordability Declaration, dependent upon the lender.
Employment confirmation (PAYG)

No-document

You aren’t required to present any income documentation for no-document loans. You may however be required to provide a signed Self Certification of Income Declaration or loan Affordability Declaration, dependent upon the lender.

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