There are many paths to successfully financing a property purchase. Recently, an MFAA-accredited finance manager helped a young couple, who had nearly given up hope, realise their dream.
If at first you don’t succeed, ask more questions. That’s the motto of FinanceCorp finance managers , who doesn’t let a history of refusals stand in the way of securing the right loan.
Recently, James and Gemma Champion*, who were keen to buy their first home but had had their loan application rejected twice already, were referred to him.
“They didn’t think they had a chance of getting the amount they wanted, and I wasn’t sure I could get them approval either, but I started asking questions,” says the finance manager.
“It’s not enough to gather only the information required to submit an application; it’s important finance managers know what borrowers’ plans for the future are, whether they plan to renovate or rebuild, for example, and what their background is.”
He discovered, through his thorough work, that Gemma’s parents were open to the idea of a helping their daughter and her partner by acting as guarantor, using the equity in their own home.
“This started a whole new way of helping James and Gemma get the loan they required,” the finance manager says. “And there was another benefit that came out of this: it showed the parents that their own mortgage was not structured ideally for their financial situation.”
After discussions with both parties, he was able to organise a situation in which both the Champions and Gemma’s parents got the results they wanted.
He recommends that any potential borrowers considering this kind of arrangement speak to an MFAA Approved Finance manager. With his knowledge of the industry and a wide range of lenders and products, James and Gemma’s property dreams were realised, and Gemma’s parents were able to restructure their own mortgage.
Just as importantly, both parties went into the arrangement with a thorough understanding of the conditions and exit strategies, so there are no surprises in store.
A FinanceCorp Finance Manager will help you overcome hurdles to realise your property dreams.
*Client names have been changed*