Bluestone Home Loans has announced a range of policy changes to provide brokers more flexibility as they support borrowers in meeting the twin challenges of borrowing capacity and serviceability.
The 11 policy changes, implemented over September and October and apply to new applications, include the following:
- increasing the maximum loan amount to $2m for metro (Adelaide, Canberra, Hobart, Perth, outer Melbourne and Sydney) and select non-metro (Gold Coast, Sunshine Coast, Geelong and Wollongong,) for Prime and Near Prime Loans up to 60% LVR
- including ATO debts less than $100k in servicing where formal repayment arrangements are in place on Near Prime, Specialist, and Specialist+
- moving overtime shading to 80% for Prime loans
- moving shading to 70% for commercial rent
- allowing vacant land as an option as second security
- reducing the qualifying requirement of casual workers to a minimum of six months
- allowing 100% of car allowance as income for Prime loans
- including government relief or stimulus in income
- allowing units in buildings over 10 storeys as acceptable securities, up to 85% LVR for existing units or 80% LVR for new units
- reducing rental income verification to one month’s evidence for specialist loans, if the property is rented via a managing agent
- removing the personal bank statement requirement for specialist loans
“We understand the challenges that brokers and their clients are grappling with in a fast-moving and complex environment of rising interest rates,” said James Angus (pictured above), CEO at Bluestone Home Loans. “It’s at times like these that borrowers are looking for greater flexibility and deeper understanding of their individual circumstances.”
Angus said the “common-sense changes” will provide Bluestone with more opportunity to help customers in the high-growth Gold Coast and Sunshine Coast regions, in particular, and give the company an edge over other non-bank lenders.
