For loans up to 60% LVR in Melbourne, Sydney, Brisbane, Adelaide, Canberra, Hobart, Perth, Gold Coast, Sunshine Coast, Geelong, Wollongong, and more. View our Acceptable Security Locations calculator for updated max loans amounts and LVRs.
Up to 85% LVR for existing units or 80% LVR for new units. The 10 storey limit remains in place for inner-city locations. There is anmaximum exposure to Connective Elevate of 4 units/25% per development.
Qualifying requirements for casual workers is a minimum of6 months with the current employer and 12 months of continuous employment with no gaps (note: previous requirement was 12 months in the same industry).
If the property is rented via a managing agent (note: if the rental is private, income verification remains at 3 months).
Note: the requirement remains for Specialist+ loans.
If regular for 6 months.
Vacant land max loan amount increased to $1.5m across two securities. This is up from $750k. Accepted as second security only and vacant land value can't exceed 50% of the loan amount.
Where formal arrangements are in place for less than $100k on Near Prime, Specialist and Specialist+. Previously these had to be paid out.
This is up from 50% shading.
Provided the business has evidenced a return to normal trading equal to or greater than the year payments were received. This must be evidenced via Tax Returns, BAS or Business Bank Statements.
For further information, download the Product Matrix.
Near Prime - up to $2,000 or greater than 24 months ignored.
Specialist - up to $2,000 or greater than 12 months ignored.
Specialist+ - any amount or time frame can be considered.
Previously, we considered the Connective Elevate application rate + 2.5% in the ‘higher of’ calculation. Now, it can be calculated using the higher of:
Broker entered rate + 2.5%
Floor rate of 5.25%
Actual repayments of the loan (as per broker entered or loan statement if available)
Previously this was a set percentage for negative gearing calculations.
Make sure you reach out to your Connective Home Loans BDM so they can take you through the loan’s features, serviceability assessment and how to complete an application in ApplyOnline so you can start writing SMSF loans with Connective Elevate.
Find out more about our SMSF residential loan in the Product Matrix below.
How we helped Chris’s customer verify their self-employed income using alternate documentation and purchase their investment property.
What was the customer’s situation and how did we help?
The customer operates several successful businesses and has recently started a new company. The opportunity arose to buy an investment property under the new company for tax and investment purposes. As the company was under 2 years old, this presented issues with mainstream lenders.
We provided a solution with a competitive rate with flexible documentation requirements. All this combined with a speedy lodgment to formal approval meant the customer could purchase their investment property with alternate documentation.
What made this deal unique or challenging?
The new business had strong cash flows but wasn’t recognised or accepted by the banks despite bank statements, BAS and their accountants confirmation of the income.
What Product did you receive?
Near Prime
Tell us about your experience working with us.
My BDM was instrumental in finding the right solution and packaging that with the requirements for my client’s income assessment. The application process was very efficient and well communicated from lodgement to settlement, with a very satisfied client.
This publication is intended for Connective and Bluestone accredited introducers and referrers only and is not to be distributed to anyone else, including consumers, under any circumstance. The information provided is general in nature and does not take into account your individual personal needs, requirements and circumstances. It is not a recommendation about any financial product(s) and does not constitute financial or tax advice. If you require financial or tax advice you should consult a licensed financial or tax adviser. The information in this email is given in good faith, believed to be accurate at the time of posting and is subject to change at any time. Information accurate as of 21 October 2022.
Your Connective Elevate Home Loan is administered by Bluestone Servicing Pty Ltd (Bluestone) ACN 122 698 328 (Australian Credit Licence No. 390183) on behalf of the Credit Provider, Permanent Custodians Limited ACN 001 426 384. Distributed by Connective Credit Services Pty Ltd ACN 143 651 496 (Australian Credit Licence No. 389328) trading as Connective Home Loans.
