Private Lending – Low Doc Loans

Low Doc Loans (Low documentation loans) are designed for these self-employed people who do not have up to date financial statements and tax returns which are required for a prime mortgage. These types of mortgages are long term compared to no doc loans and need to meet servicing requirements set out under ASIC requirements as they are coded loans (Residential Owner Occupied or Investment Property).

Generally the same features and facilities are available on prime loan are also available on a Low Doc Home Loan as the name indicates the difference is in the documentation. If you are self-employed or have a small business and can’t provide lodged returns then it is the way to apply for a home loan.

Although financial statements and tax returns are not required for these loans, lenders will require some form of proof that you can service these loans. For these low doc loans, you may need to provide the lender with a statement confirming your income generally certified by your accountant or Business Bank Statements or BAS Statements or a combination of above.

Specifications on Low Doc Loans

Applicant type	Companies, Trusts, Individuals
Location	Capital City and Major Regional Population Areas over 10,000 population.
Income: required proofs	Self Declaration of Income plus one of the below documents to support your declaration: An Accountants Letter verifying your income. 6 months of Lodged BAS Statements from the ATO Portal. 6 months of Business Bank Statements.
Loan amounts	Residential Zoned Property (case by case and subject to location) $1,000,000 between 85% > 90% of Property Value. $1,500,000 between 80% > 85% of Property Value. $2,000,000 between 75% > 80% of Property Value. $7,500,000 between 70% > 75% of Property Value $10,000,000 between 65% > 70% of Property Value $15,000,000 up to 65% of Property Value Vacant Residential Zoned Land (up to 5 acres case by case and subject to location) $5,000,000 to 70% of Property Value $3,000,000 to 75% of Property Value $1,000,000 to 85% of Property Value Residential Construction (case by case and subject to location) $2,000,000 to 70% of Completed Costs $1,750,000 to 75% of Completed Costs $1,500,000 to 80% of Completed Costs $1,000,000 to 85% of Completed Costs Commercial Zoned Property (case by case and subject to location) Low Doc Commercial Property Loans: We can lend up to $8 million to 70% LVR, $3 million from 70% to 75% LVR and to $2.5 million from 75% to 80% LVR. Lease Doc Commercial Property Loans: Are designed for investors with rental producing commercial properties. The Lease Doc product is where servicing is established by income from a quality third party lease servicing the debt. No need to provide financials or tax returns or confirmation of other assets or other liabilities. We can lend up to $5 million to 65% LVR, $4 million to 70% LVR and to $3 million to 80% LVR.
Purpose	The purpose of the loan is to purchase or refinance Residential, Commercial Property or Vacant Land
LVR	High LVR’s are only available in high population areas (Capital Cities or Major Regional Cities and Towns). You can have lower loan values in regional areas and for vacant land.
Acceptable securities	Residential Zoned Property. Vacant Land. Retail Shops. Commercial Offices. Industrial Units. Factories. Shopping Centres. Office Buildings. Warehouses and Workshops. Mixed Residential & Commercial Use. Medical / Professional Suites. Residential Unit Blocks.
Credit related issues	Considered case by case
Variable, fixed or bothVariable	Variable
Minimum Requirements	Length of ABN / GST registration: You need to have an ABN that has been registered. GST registered is required if sales are over $75,000. Most Lenders require ABN to be registered for at least 12 months. We have lenders who may accept an ABN registered only 3 months old.
Loan Term	> 30 years
Establishment Fee	TBA (depending on lender)
Brokers Fee	Yes
Lenders Legals	At Cost
Valuations	At Cost