LOW DOC CONSTRUCTION LOAN TO 75% LVR

View product matrix below then click on apply if you wish to qualify for this loan and receive a detailed assessment and full cost proposal.

latrobe
Low Doc Loans for the Construction of Residential Property.
If you are self employed and you do not have up to date company or personal tax returns then a low doc  loan may be the right solution for your lending needs if you are purchasing a residential property.

  • Low Doc Residential loans available to Self Employed Borrowers
  • Borrow up to 75% of the completed value depending on location and Lender
  • Standard Residential Property (must be zoned residential)
  • Terms up to 40 years with up to 5 years interest only
  • Owner occupied and Investment
  • Individuals, companies and trusts
  • Large range of lenders to find a suitable low doc loan solution for your new purchase.

The main documents that we will accept that can be used to verify your income are:

  • An Accountants Letter verifying your income.
  • 6 months of Lodged BAS Statements from ATO Portal
  • 6 months of Business bank statements

Most construction finance applications are assessed according to the standard process and many of the same documents are required, along with a fully completed documentation which includes:

  • Signed fixed-price building contract between borrower and a licensed builder Tender
  • Stamped, council-approved building plans
  • Copy of builder’s insurance policy

With a construction loan, you can break up the drawdown of the loan amount into five progressive draws, which parallel the construction phases. As one phase of the construction is complete, you are able to draw down the next portion of the loan. If you did not borrow 100% of the cost of construction, the lender will request that you pay all the funds you are required to contribute, before they release any payment to the builder.

  • Purchase of the land
  • The Slab / pad (floor – also known as ‘bearers and joists’ for wooden floors)
  • Roof (usually including frames)
  • Lock up
  • Final

The fact that payment is delivered to the builder in stages means that cash is not paid out until the builder’s work can be inspected and approved by the borrower.

You must have an ABN that has been registered (and possibly GST registered if income is over $75,000) Most Lenders require ABN to be registered for 2 years. We have lenders that will accept an ABN registered for only 6 months.

Loan purpose Construction of Residential Property (up to 25 acres)
Loan term 1 > 30 years.
Interest type Variable rate.
Repayment type Principal & interest, or interest-only up to 5 years then principal & interest.
Repayment options Monthly, fortnightly or weekly.
Repayment method Direct debit only.
Maximum Loan to 75% in high population areas (capital Cities and Major Regional Towns Only)
Credit history Past credit impairment can be considered if over 2 years at higher rates and fees
Minimum loan size $100,000
Maximum loan sizes NSW & Victoria up to $1,000,000

Other States and Territories up to $800,000

Acceptable Applicants Individuals, Companies and Trusts
Discharged Bankrupts or Part 9 or 10 Yes at higher rate from 1 Day discharged
Cash Out Unlimted Cash out to maximum LVR for all acceptable purposes including usiness purposes including payout ATO debts, workingcapital and purchasing business equipment.
Current Mortgage Arrears in last 6 months NO
Debt Consolidation Unlimited to Maximum LVR
APPLY FOR THIS LOAN

*Interest Rates: All rates are subject to change without notice. Please check all rates and terms before applying.
Low Doc loans are designed for the self-employed or small company borrower/s whose financial statements may not be available. Reasons for this may encompass: Their accountant hasn’t completed and lodged their financials.