The scenario
The borrowers were new clients who were introduced to us by a long-time loyal client of Mortgage Navigators. They came to us looking for finance options to help secure an investment property purchase.
We were working with a short time frame, as the borrowers had already committed to purchasing the property. The challenge they faced was that their existing lender – one of the major lenders – had declined their proposal due to the self-employed applicant not having his financials up to date. The clients were disappointed because they had the capacity and had been with this lender for many years but were declined for the loan simply because of their employment status. This meant we had to think outside the box and find a lender that would accept their proposal quickly, as the cooling-off period was expiring shortly.
The solution
The search began to find to a lender that would suit them. We had multiple lenders on our panel that could cater to these types of applicants, but not all of them could assist with a quick turnaround.
Due to our experience and great understanding of all types of loans at Mortgage Navigators, we were able to workshop the deal and get a commitment from Pepper Money that the application would be assessed within 24 hours. Utilising the Pepper Product Selector tool assisted us with this. The tool enabled us to establish which product would be most suitable for the client. It does this by factoring in the client’s credit file, proposed loan amount and LVR, and then it provides a product recommendation, an indicative interest rate and the repayment amount.
Our number one goal is to really understand our clients’ needs and apply our experience to help them achieve their goals. Ensuring we also have a follow-up system in place helps us overcome some of the difficulties clients can face in securing a loan
This helped us save time by comparing Pepper Money’s offerings with those of other lenders. In addition, the support of Drew Clegg, our business development manager at Pepper, proved invaluable. He took the loan application under his wing to get things moving along. We were able to tell our clients that Pepper Money’s near prime product, which required an accountant and applicant declaration to validate their position, was an option.
The clients were strong applicants with a great equity position with their current lender. Once confirmed with Pepper Money, we were then able to go back to our clients to give them the good news that we had found a suitable lender. The client had originally lost all hope about being able to secure this investment purchase due to their circumstances and the short time frame. They were now ecstatic that we had followed their application up so promptly and we had an option which successfully met their needs. This was a fantastic outcome for our clients and gave them confidence that they were in great hands with us.
The takeaways
At Mortgage Navigators we understand that things can sometimes be complex and we need to think outside the box. With this in mind, our number one goal is to really understand our clients’ needs and apply our experience to help them achieve their goals. Keeping our clients’ goals in mind and ensuring we also have a follow-up system in place helps us overcome some of the difficulties clients can face in securing a loan.
Not all clients’ circumstances neatly fit the strict lending criteria that financial institutions rely on when considering loans, and that’s where we come in. We understand that every client is different and that we have to look at the whole picture. It’s important that we are constantly checking in with our clients to see where we can assist them. When clients are declined for a loan by a mainstream lender, this doesn’t necessarily mean that there are no options available out there to suit their needs.
Constant communication with our lenders and business development managers, such as Drew Clegg at Pepper Money, ensures that we have the support to get things done promptly. We go above and beyond for our clients by forensically examining all their circumstances and investigating which lender options are available. Persistence and knowledge pay off – these are the keys to success in this highly competitive industry.
George Massouridis
CEO and principal,
Mortgage Navigators
