Low doc + full doc loan, is there such loan?

[Olive]

Hi, we have found an IP and are ready to go for it. We had a RAMS loan pre-approval back in April was a lo doc SE Pro pack (LVR was 90% back then now 80%??) Back in April, my partner & I were both self employed working for our own company that's why we had a lo doc done. but I have recently changed job and becoming a normal employee for another company and partner's still self employed. Just wondering if we were to buy the IP together and want to put it under both names what is the best type of loan? Both go under lo doc? Doesn't seem like there is any LVR 90% available now...? Or is there such loan that does half full doc half lo doc?
We also plan to get a home after settling this IP, as the home is not tax deductible we want to put it only under my name get a normal full doc with a lower rate to save on interest. With our situation, what is the best loan structure? Need some help. (p.s. I earn $75k p.a. and partner earns $50k, IP is $250k, home will be around $350k, both of us have no current loans) Thanks a lot!

 

[boomtown]

If the full doc person cannot fund it out of their own pocket I would expect the entire loan to be treated as low doc.

But thats coming from a position of complete ignorance. I suspect the only person that can answer this question is a mortgage broker.

 

[Qlds007]

Boom no ignorance at all in fact an excellent answer.

Regretfully you cant have your cake and eat it at the same time.

If you are self employed you can still make application for a lodoc loan and the PAYG party would be asked to show proof of income by way of the normal payslips etc.

The entire loan however would be considered as a lodoc loan.

 

[Peter_Tersteeg]

As you've recently returned to PAYG employment, you may also find that many lenders won't recognize your income at this point.

If you make a full doc application, it could be rejected on this basis. In doing so however, you may have destroyed your ability to lodge a lo doc loan with that lender as they now have access to your documented income.

In the absence of further information, I'd stick with the lo doc loan unless you've made a point of verifying these points first.

 

[Qlds007]

Remember you wont necessarily pay a higher rate these days for a lodoc loan and also many lenders have no minimum employment periods.

Even if she is on probation there are a few lenders who will still consider the application as a normal deal.