Low Doc Loan
Low doc loans, short for ‘low documentation loans,’ are specialized financial agreements that involve a reduced amount of paperwork when compared to conventional home loan applications. These loans utilize a self-verification method, requiring borrowers to submit a signed declaration certificate outlining their income.
Were you aware that a widespread misconception exists regarding low doc loans, suggesting they require less income verification compared to traditional loans? However, this is not always accurate; rather, the key lies in presenting varied forms of income evidence. Since not all lenders provide low doc loans, consulting with IGR Mortgage Solutions can be advantageous in pinpointing suitable lenders if you’re in search of this specific loan type.
Who might find low doc loans suitable?
Low doc loans are generally a suitable option for borrowers unable to provide the standard documentation, such as PAYG and Tax Return records, typically required by conventional loans. Individuals who are business owners or self-employed may find this type of loan particularly well-suited. If you belong to one of these categories or are uncertain about your eligibility for a low doc loan, it is recommended to seek personalized guidance from IGR Mortgage Solutions.
A low doc loan is appropriate for individuals who lack formal paperwork such as tax returns and salary slips but wish to buy a home, vehicles, personal loans and business purpose
When applying for a low doc loan, you might need to submit the following documentation. it’s important to note that the required documents may vary depending on the lender and the specific loan product.
- Australian Business Number (ABN)
- Business Activity Statements (BAS)
- Bank Statement
- GST registration information
- An income declaration form with self-verification
- A letter from a legal accountant confirming your finances.
- Documentation confirming a continuous 12 months of employment within the same industry.