Hi everyone! I just have a question on behalf of a relative who has asked me a question that i have no idea about!
Basically is goes like this. Hubby is on a good income with a clear credit history. Wife paid out a part 9 agreement just over 12 months ago. When they bought their house she was still completing the part 9 agreement so she couldn’t get a loan so hubby got a lo-doc loan (because he wasn’t in his job for very long, broker advised them to get ABN and go lo-doc route which sounds dodgy to me).
So the lo-doc was well over 10% p/a with the loan only in hubbies name.
House is worth 350k, 315k owing and they wish to refinance (obviously!). Hubby has been in a 60k p/a job for longer than 12 months so he can almost service a lower interest rate himself if my sums are right, which they probably aren’t. Wife gets about $1600p/f in government compensation pensions but has the old part 9 still hanging over her head.
Does anyone know any lenders that will sort of put hubby as the ‘main’ borrower and have the wife there just as a bit of a back up plan? It’s just that most lenders i have seen if one of the couple has a black mark on their name, then it kills their chances even though the other applicant is clear.
Any help would be great!
Sorry for the ignorance, but what is a part 9 agreement?
Cheers,
Marc.
[email protected]Under the Bankruptcy Act there is a section called Part IX which deals with debt arrangements.
Look at section 185 onwards: http://www.austlii.edu.au/au/legis/cth/consol_act/ba1966142/
I don’t think Angel_babe’s friend is going to have much luck. I don’t know anyone who would use the wife’s income if she has a credit impairment this severe.
The LVR is currently 90% from what you state, so there is not much equity there. There are some newer 90-95% Lo Docs, which may have a lower rate, but with all the LMI involved, it may be better to wait a bit – until they get to around 80% LVR and have 2 years ABN.
Terryw
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