If Your Home Loan Is Turned Down
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If Your Home Loan Is Turned Down

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Find out why your home loan application maybe rejected, and how to improve your chances of getting an approval. ...

Find out why your home loan application maybe rejected, and how to improve your chances of getting an approval.
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http://www.icompareloan.com/resources/if-your-home-loan-is-turned-down/

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If Your Home Loan Is Turned Down If Your Home Loan Is Turned Down Presentation Transcript

  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceIf Your Home Loan is Turned Down?
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceIn some situations, financiers reject your home mortgageapplication, here are some situations and suggestions toresolve those issuesBut these suggestions do not promise sure-work solutionsthat will improve your chances of getting a home loan.Thus you may prefer some professional advice from amortgage consultant to assess your financial condition
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceReasons for rejection
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance1. Poor credit standingMost financiers will check the credit history of borrowersbefore granting a home mortgageThe repayment history, like default and late repayment,on most of your credit facilities are recorded by the CreditBureau (Singapore), and released to credit providers onthe Bureau.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceEven records for closed accounts are kept.Any closed account, with defaults in payment, that comeswith the status of full or negotiated settlement will be shownin your credit report for 3 years from the date of settlementIf you have a poor credit score, financiers will be morecautious in lending. Even if they do lend, the loan quantummay be smaller.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance2. High DSR (debt-to-service ratio)DSR = Monthly Debt Service / Monthly Gross Household IncomeBefore loan approval,the financing institution will studyTotal outstanding financial liabilities and income level,
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceAn excessively high DSRrejection
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceAccording to the latest cooling measures on 12 January 2013The (MSR) is capped at30% of a borrowers gross monthly income for loans by private banks35% for HDB concessionary loans
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance3. Employment historyFresh graduate who has only started work for a short time,can be rejectedWhy?No demonstration of stable income-generating ability
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceFinanciers take long-term stable employment,usually two years, as proof of payment ability
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance4. Short reminding leaseA mortgage loan is secured against the propertyThe property is the collateral, whereby in the event of adefault, the financiers will foreclose the mortgageIf the property you wish to purchase has a shortreminding lease, it cannot be sold for much hence thefinancing institutions may not be able to recover all theloan disbursed
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance5. Low valuationAny factors that will seriously depreciate the valuation of the propertyresult in loan rejectionThe house could be sitting on an undesirable location,in a dilapidated building, or in a location affected by future planning
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceHow To Obtain An Approval?
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance1. Improve credit standingPay off any defaults and make prompt payments from now onto pull up your credit score.Hint: To read more about credit score,you can browse “Tips to Make Your Mortgage Financing a Breeze”.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance2. Longer loan tenure and lower loanquantumStretch your loan tenure and reduce the borrowing amount,this will reduce the monthly installment repayments, and lower the DSR.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance3. Use a different lenderSome lenders may have more lenient borrowingrequirements
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance4. Get a guarantorIn the event of a defaultThe Financing Institution Can Hold The Guarantor AccountableFor The Loan Repayment.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *Insurance5. Combine incomesApply for the loan with someone who is working anddrawing a salary. For instance, your spouse or a close relative.The financier will have greater confidence of loan repaymentas there is now a higher income.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceWhatever the factors affecting loan approval, rememberthat at the end of the day,The financiers just want to ascertain that you have theability to make prompt repayments.
  • Join us | Login for Financial Advisors | SMS us at +65 – 9782 - 8606Home Loan | Commercial Loan | Refinance Loan | *Financial Planning | *InsuranceAbout Property Buyer Mortgage ConsultantsProperty Buyer Mortgage Consultants is a research focused independent mortgage broker. Weemphasize a consultative approach where we match our client’s financial situation with the bestfit mortgage loan, not simply a cheap loan.We also help property buyers in their buying process helping them avoid pitfalls fromunscrupulous property agents. (We are not property agents, therefore there is no conflict ofinterests.)We also developed our proprietary home loan reporting tool which provides amongst otherthings, 23 years Sibor history as well as 6 years worth of SOR.Our service is free to you as banks pay us a commission on loan deals completed. Banks in turnsave on staffing cost as we are not on their payroll.www.PropertyBuyer.com.sg/mortgagewww.SingaporeHomeLoan.netwww.iCompareLoan.com/consultant/