Lenders will evaluate you in terms of your potential risk. In reviewing your application they want to know, “What is the level of risk involved that you will not pay back your loan?”
A range of factors can impact how a lender views you in terms of risk, including:
And don’t discount bad spending habits like Uber Eats and Sportsbet, which lenders also see as high risk.
The bottom line: hitting the financial brick wall can cripple the ambitious investor’s efforts to get ahead, as it halts you in your tracks in your attempt to acquire more property assets.
After all, how can you look at buying another house if you can’t secure finance to settle the purchase?
To make things even more complicated…
Each Lenders Uses Different Policies and Criteria to Evaluate Risk on Their Own Terms
The good news is that it is possible to continue borrowing even if you feel like you have hit a financial brick wall.
Better still, you don’t have to go down the path of low doc loans (and their associated lower LVRs and higher interest rates) to do so.
In fact, I reveal exactly what those strategies are in my ‘Red Book’ which breaks down the key steps to salvaging a sinking property portfolio.
And for a limited time, you can pick it up here for a 67% discount.