For those that are keen to maximise their chances of being approved on a home loan, take a look at these three tips below.
Tip one – your appearance can speak volumes
Although it’s considered unprofessional for a lender to reject a mortgage application based on the applicant’s appearance – it can still happen. Whether you’re visiting a bank, or if you have an appointment with a broker, the way that you dress can work wonders. Be sure to adorn your best suit or other similar clothing for all meetings, as this extra attention to detail can help to create an opinion of reliability from the offset.
Tip two – document all of your finances
Whether you keep your own books, employ an accountant, or utilise another method of documentation – this is one of the first things that your lender will ask to see. They will use this information to gauge your likelihood of being able to repay what you borrow. If your finances are all over the place, request professional help from an accountant to get things in order. The easier your income is to follow the greater your chance of being approved will be – as it will be pretty clear whether or not you will be able to pay back what you owe.
Tip three – maximise your chances and keep your options open
When applying for a loan on a home, there are no protocols that dictate the amount of institutions that can be applied to. Although many people prefer to apply to one bank or broker; it can be very beneficial to compare several at the same time. You can use the competition to your advantage (as your lender will undoubtedly want to obtain your business), or you can keep your applications to yourself and then decide on the best option if you are approved.