Loans are designed for applicants that do not fit the Signature Series criteria.

This is a standard loan product with no on going fees and free, unlimited redraw.

100% LVR is now available.

Borrower pays LMI.

This program is primarily for borrowers that:

• have been self-employed or have been full-time investors for at least the past two years;
• are unable to provide extensive financial statements or taxation returns at the time of their application for a loan;
• have a reasonable level of net assets; and
• are permanent residents or Australian citizens.

Co-borrower(s) may be PAYG provided they:

• are mortgagors; and
• supply income verification documents.

The requirements of all these products apply except as noted otherwise in this Fact Sheet.

Genworth Financial

Refer to Genworth Financial ‘Security Location Guide’ for acceptable locations.

Metropolitan areas of New South Wales, Australian Capital Territory, Victoria and Queensland (category 1 locations) only.

• 80% LVR for loans up to $1,000,000

Metropolitan areas of South Australia, Western Australia, Northern Territory, Tasmania (category 1 locations) and Australia wide (category 2 locations) only.

• 80% LVR for loans up to $750,000

Australia wide (category 3 locations) only.

• 80% LVR for loans up to $500,000

Vacant land

Metropolitan areas of New South Wales (category 1 locations) only.

• 80% LVR for loans up to $550,000

Metropolitan areas Australian Capital Territory, Victoria, Queensland, South Australia, Western Australia, Northern Territory and Tasmania (category 1 locations) and Australia wide (category 2 locations) only.

• 80% LVR for loans up to $350,000

Where security property is vacant land, equity release loans are limited to category 1 locations only

PMI

Refer to PMI ‘Location Guide’ for acceptable locations or use online Location Wizard from the PMI Website.

Metropolitan areas of Australia only.

• 80% LVR for loans up to $1,000,000

Regional areas of Australia only.

• 80% LVR for loans up to $500,000

Vacant land

Metropolitan and regional areas of Australia only.

• 80% LVR for loans up to $500,000

General provisions

• No set exposure limit per applicant or associated entity.
• Exposure limits are subject to conditions set by applicable Lenders mortgage insurers.

Genworth Financial

• Maximum exposure per applicant $2,500,000.

PMI

• Maximum loan with one security is $1,000,000 and aggregate exposure for any one applicant with Lo Doc/No Doc70 is $2,500,000. Maximum total exposure for any one applicant is $3,000,000.

• Any loan will be considered for any worthwhile purpose.

General provisions

• Loans for the repayment of any tax related debt.
• Loans to repay Directors loans.
• Loans for the purchase of a new business that will employ the applicant.
• Loans that are for the refinance of any loan that is currently in arrears.
• Loans that are for working capital or payment of personal or business tax liabilities.
• Loans that are not arm’s length transactions.

Genworth Financial

• Loans for development finance.
• Vendor finance (WRAP finance).

PMI

• Loans above 70% LVR where loan purpose is equity release.

General provisions

• Required on all loans.
• LMI premium is payable by the borrower where the loan amount is greater than $300,000 (up to $500,000) and the LVR is greater than 70%. There is an option for the trustee to pay the LMI premium for loans up to $1,000,000 – Refer Ultra Pricing section.
• LMI premium is payable by the borrower where the loan amount is greater than $500,000 (up to $750,000). There is an option for the trustee to pay the LMI premium for loans up to $1,000,000 – Refer Ultra Pricing section.
• LMI premium is payable by the borrower where the loan amount is greater than $750,000. There is an option for the trustee to pay the LMI premium for loans up to $1,000,000 where the LVR is less than 70% – Refer Ultra Pricing section. Where the LVR is greater than 70% Ultra Pricing is not available.
• LMI premium can be capitalised to the loan facility.
• Lenders mortgage insurers are Genworth Financial and PMI.
• Some conditions may apply.
  

• Where the loan amount and/or LVR exceed where the trustee pays the LMI premium, upon request the trustee can pay the premium for borrowers in the following circumstances only.
• Ultra Pricing must be added to the LoDoc Program Loading.

General provisions

• Properties must be of a residential nature and zoned accordingly.
• Properties with no more than one residence on title.
• Properties must be located in Australian cities or major regional centres as per relevant insurer Acceptable Location Listing.
• Vacant land comprising an area less than 2.2 hectares (5 acres).
• All standard services must be connected or readily available to the property.
• All properties must have legal and unrestricted road access.
• Rural residential (or similar zoned) properties
• Must have mains power.
• Properties (with a completed dwelling) must not comprise an area exceeding 10 hectares (25 acres).
• The property must not be of an income producing nature (properties producing rental income from tenants are accepted).

Units/flats/apartments

• Each must comprise an area of at least 50 square metres (excluding balconies).
• Each must have a separate Certificate of Title.

Genworth Financial

• Rural residential properties must be located in category 1, 2 or 3 postcode areas as per Genworth Financial ‘Security Location Guide’.
• 40 square metres (excluding balconies and car space) may be considered for good quality properties located in a desirable and high demand capital city metropolitan location.
• High density apartments (including inner city) may be considered up to 80% LVR as per Genworth Financial ‘Security Location Guide – High Density Postcodes’. High density apartments are located in developments comprising more than 35 apartments. A maximum of 50% gross rental income maybe considered for serviceability purposes.

PMI

• Refer to PMI Location Guide for acceptable property locations and applicable loan size and LVR limits.
• Properties that are less than 10 hectares (24.7 acres). Improvements must represent at least 50% of the market value in regional and national areas.
• High density securities may be considered. High density securities are ≥ 4 floors and > 30 units and must be a minimum of 50 square metres (including balconies and car space). Further conditions apply – refer to PMI.
• Vacant land (zoned residential with all services connected) is acceptable for one block of land up to 1,500 square metres.

General provisions

• Rural or similar zoned properties (including broad acre land holdings).
  Commercial zoned properties.
• Vacant land that is in excess of 2.2 hectares (5 acres) and/or loan facility is greater than $550,000.
• Properties (with a completed dwelling) that are in excess of 10 hectares (25 acres).
• Properties that have not been provided with town services.
• Owner-builder construction projects.
• Mobile and kit homes (i.e. transportable properties).
• Properties with more than one residence on title.
• Properties adversely affected by heritage, environmental or planning issues.
• Properties evidenced by stratum/company share titles.
• Properties that are unique or unusual in character or construction or with over-capitalised improvements.
• Properties affected by high-tension power lines, frequent flooding (or flood zoning), traffic abnormalities and industrial sites
• Properties in poor condition.
• Combination shop/residence.
• Inner city high rise conversions.
• Display homes.

Genworth Financial

• Serviced apartments.
• Leasehold properties, other than Crown land in Australian Capital Territory.
• Properties with Purple Title (Western Australia).
• Properties with Moitey Title (South Australia).
• Properties under a ‘time share’ arrangement.
• Land subject to a licence to occupy.
• Limited Title (any defects).
• Properties with ‘Lease for Life’ covenants on title.
• Crown land (excluding Australian Capital Territory).
• Properties under the Western Land Act.

PMI

• Vacant land that is in excess of 1,500 square metres.
• Serviced apartments.
• High density securities where the security size is less than 50 square metres (including balconies and car space).

General provisions

• A valuation report, prepared by a trustee approved panel valuer, must accompany each application.
• The valuation report must include comparable sales evidence within the last 90 days. This sales evidence must not be within the same complex.
  The valuation report must confirm that the property is readily saleable with no adverse features.
• The valuation report must be no more than 90 days old at settlement. Where the valuation is older than the required number of days, an updated report is required prior to settlement.
• The trustee requires the original copy of the valuation report, including colour photograph, prior to settlement.

Genworth Financial

• High density apartment (including inner city) valuations must include comparable sales outside of the development and details of any re-sales within the development.

PMI

• High density security valuations must contain two recent comparable sales outside of the development and one recent comparable sale within the development.

General provisions primary applicants

• Applicants must be self-employed or full time investors, which have been in business for at least two years. This includes family trusts, property holding and trading companies.
• Any applicant who derives income as a salaried employee is not deemed to be self-employed.
• Self-employed borrowers must disclose ABN or ACN number(s) on declaration form evidencing at least two years self-employment; or
  Borrower’s accountant/tax agent must complete declaration form confirming self-employment for at least two financial years.
• Third party mortgages are specifically excluded. Exceptions apply in the instance of married couples or current defacto relationships.
• General provisions joint applicants (co-borrowers)
• The number of PAYG applicants must not exceed the number of self-employed applicants.
• Any PAYG co-borrower must provide income verification documents.
• Applicants drawing a salary from their own company are not considered PAYG.

Genworth Financial

• Applicants must have existing equity in real estate. If applicants have recently sold property and are in the process of purchasing another, this requirement may be waived, or
• Applicants without existing equity in real estate must be able to demonstrate genuine personal savings of at least 20% equity of the property purchase (excluding First Home Owner Grant).
• Co-borrowers must have a minimum of 12 months employment with current employer or a minimum of two years continuous employment within the same industry.

PMI

• A minimum 20% acceptable equity from personal contribution is required via cash, shares or investments (being sold to complete the purchase and net of any tax due).
• Borrowed funds, gifted equity, advantageous purchases, repayable gifts and builder/vendor discounts or finance are not an acceptable source of equity.
• The maximum number of borrowers is restricted to four with only two self employed incomes allowed in the servicing of the loan.
• Co-borrowers must be six months in current position or occupation, provided any probationary period in current position has been met.
  Verification of business status within ABN/ACN number to be disclosed.

General provisions

• A copy of the Contract of Sale (executed by all parties) must be provided.

PMI

• Where proceeds of the loan are to purchase a new or existing property, PMI require evidence of the equity proposed to complete the sale.

General provisions

• Consumer and commercial credit reports are required for all parties to any transaction.
• Credit reports and ASIC online reports must also be provided for all corporate entities or proprietorships as listed on any consumer or commercial credit report.
• Unpaid defaults, judgements, companies under external administration, petitions or winding up action will automatically disqualify the application.
• Credit reports must be current at the time of application and be no older than 21 days at submission.

Genworth Financial

• Genworth Financial may consider applicants who have one paid default of not more than $500. The default must have been paid six months prior to the loan application and confirmation of payment is listed on the credit report.

Documents to be completed by the applicant(s)

• Application form containing:
  • Completed asset and liability statement, including equity to complete this transaction;
  • Stated self-employed, business or investment income (income verification documents not required);
  • Stated PAYG income for co-applicants (income verification documents must be provided);
  • Loan Purpose Checklist – which advises the intended use of the funds;
  • Lo Doc Declaration of Financial Position – declaring that the loan amount applied for is within the applicants’ ability and capacity to meet their repayments;
  • Declaration of Purpose (non-UCCC regulated only);
  • 100 Point Identification form;
  • Privacy Act Consent form (in the trustee’s approved format).
• Loan applications showing income levels that appear to be inappropriate, having regard to the applicant’s assets position, are likely to be declined (e.g. a stated rental income of $40,000 from a property valued at $200,000).

Documents to be provided with all applications

• Completed Application form;
• Lo Doc Declaration of Financial Position;
• Declaration of Purpose (non-UCCC regulated only);
• Lo Doc Program Credit Package Checklist;
• Income verification for PAYG applicants;
• Income and Employment Verification form;
• Purchases – Copy of executed Contract of Sale or Certificate of Title;
• Refinances – Satisfactory conduct of any loan being refinanced;
• Refinances – Executed Discharge Authority;