A low doc loan does not require the normal full documentation of tax returns and financial statements. You will require an ABN for at least one year, usually for two years, and you will need a deposit of 2o% of the purchase price of the home. We will require your drivers licence, and if you are refinancing, a copy of your last 6 months loan statements to show you are up to date with your loan repayments.
Low doc loans are sometimes referred to as self employed loans because they are specifically designed for businesses who will not be able to show pay slip income. Also, tax return lodgements are usually lodged a lot later for businesses as they have a later lodgement requirement. Low doc loans do not require a copy of a recent tax return.
You will require a good credit rating and we will need to undertake a Veda check. Some lenders will allow one default but will impose a slightly higher interest rate depending on the size of your deposit.
Low doc loans can be used to buy a home or investment property. An investment property loan will be at a slightly higher rate than a home loan which is the same for a full doc loan.
