Before you start viewing properties, it’s crucial to know your borrowing power and ensure you meet lender criteria. Without this knowledge, you risk wasting time on properties that may be out of reach or missing opportunities for the ideal mortgage.
​
At Equinox we conduct a detailed assessment of your financial situation and goals. This way, you’ll get a clear picture of what you can borrow, reducing surprises and smoothing the path to your new home.
​
Understanding Lender Criteria
​
Each lender has unique criteria when deciding who they lend to and how much they’re willing to offer. Here are some of the main factors lenders consider:
​
-
Income and Employment Type: Lenders assess your monthly income, whether you’re employed, self-employed, or a contractor. Some lenders prefer stable, long-term employment, while others may be more flexible with self-employed income.
-
Credit History: Your credit score is key. Lenders want to see a reliable repayment history on debts. Don’t worry if your credit isn’t perfect—there are options available for various credit situations.
-
Debt-to-Income Ratio: If you have existing debts, lenders will look at these to ensure you’re not over-extended financially. Lowering debts before applying can improve your borrowing power.
-
Deposit Amount: The size of your deposit affects eligibility, with larger deposits often opening the door to more lenders and better interest rates.
-
Age and Loan Term: Lenders may have age limits or specific loan terms based on your age. For example, some may limit terms past retirement age.
​
Common Criteria Challenges
​
Certain criteria can create challenges for mortgage applicants. These might include:
​
-
Irregular Income: Self-employed or contract workers may face more scrutiny. However, we can connect you with lenders who understand these income types.
-
Credit Issues: If you have a history of missed payments or defaults, we can help identify lenders more willing to consider applications with past credit issues.
-
Lower Deposit: For those with smaller deposits, we’ll guide you to lenders that cater to low-deposit options or government schemes that may work for you.
​
How Equinox Mortgages Can Help
​
At Equinox Mortgages, we use our whole-of-market access and nearly a decade of experience to explore all available options, no matter your financial profile. Here’s how we make sure your journey to eligibility is as smooth as possible:
-
Personalised Eligibility Assessment: Josh will review your individual situation to find the best matches for your financial profile.
-
Wide Lender Network: With access to the entire market, we have flexibility in finding a lender who fits your needs and financial circumstances.
-
Tailored Guidance: From deposit advice to resolving credit issues, we offer practical solutions to improve your chances of a successful application.
​
Ready to Check Your Eligibility?
​
Whether you’re starting out, have unique financial circumstances, or want peace of mind before you start viewing properties, Equinox Mortgages can help. Get in touch today for a friendly consultation, and let’s make sure you’re fully mortgage-ready.
​
