What is a Low Credit Score?
Credit Reporting agencies such as Equifax use the information they hold on your Credit File to calculate a Credit Score. This Credit Score is a guide to your credit worthiness and hence is used by lenders in their assessment. Defaults, judgements and even excessive credit enquiries will normally affect your Credit Score. The Equifax Credit Score ranges from to 1,200 with the average being 550.
Can I still get a home loan with a Low Credit Score?
Definitely! The trick is knowing which lenders don’t use Credit Scoring in their assessment criteria. There are currently lenders who are offering loans up to 95% of the valuation for both purchases and refinances.
Low Credit Score Home Loan Summary
|Max LVR (Purchases)||95% (including costs)|
|Max LVR (Refinances)||95%|
|Max Loan Size||$5,000,000 (up to 80% LVR)|
|Non Genuine Savings||Yes|
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