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We’ve made refinancing simpler and easier
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For customers that meet our lending guidelines, we are
offering a more streamlined process for the refinance of their home loan with the
assessment and supporting documents needed.
These changes are for PAYG customers, for new
applications received from Monday 30 November.
Check the following requirements, and if ‘YES’, the Streamlined Refinance process
applies:
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Streamlined Refinance requirements
- LVR
must be under 80% (Rural zoned under 70%). We will rely on an AVM if the FSD is less than 15
- Current
Home Loan must have been held for a minimum of 12 months with no arrears in the last
24 months
- No
hardship or Covid payment deferral in the last 12 months
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Documents and servicing
- One month statement for the Home Loan to be refinanced. If the debt is not reported
on CCR, then 3 months is required
- The
standard PAYG income documentation and servicing as per our existing policy
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There are two options with the refinance; the Home Loan only OR The Home Loan with Debt Consolidation or Cash Out. Here are
the additional guidelines for your submission:
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Refinance of Home Loan only All
applicants must have been in the same employment for the last 6 months
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Refinance of Home Loan PLUS Debt Consolidation
/Cash Out
- Employment
conditions as per current policy
- Maximum Cash Out is 50% of the refinanced loan balance up to a maximum Cash Out of
$250K
- Maximum Debt Consolidation is $100K
- For
LOC and personal loan consolidation, no arrears in the most
recent 3 months
- For credit, store cards and
overdrafts/unsecured LOC, ensure conduct is within limit and
monthly repayments are up to date. No late fees or over limit fees evident
Provide the transaction statement for the last month
for the loans being consolidated (provided it matches the account identifiers
on CCR). | |
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An AVM will be used
for the Streamlined Refinance if the FSD is under 15, otherwise our Lending Support
team will order a subsequent valuation report. You can order an AVM upfront.
We will still continue
to consider Debt Consolidation and Cash Out above these amounts in line with
our standard underwriting process and procedures. Please refer to the MyState
Lending Procedure for more information. |
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Valuations
By ordering an AVM upfront,
you can save time as the valuation occurs simultaneously with the loan assessment. You can order an AVM at no charge through our Valuation Hub. In many cases the AVM will be sufficient to confirm the property
value, based on either a Contract of Sale for a purchase or within a variance
for a refinance. If a more detailed valuation is required, upon submission, our
Lending Support team will arrange a full report.
For construction
loans, once you have submitted your application with the combined land and build, fixed price
contract, along with the plans and specs, our team will go ahead with ordering the
full valuation.
More details on valuations and LVRs are in our Lending Procedure (P43) |
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Using the Valuation Hub for the first time?
To register, visit
the Valuation Hub on our broker portal.
You’ll be prompted to complete
your details and set up your password. Shortly afterwards you’ll receive
confirmation and you can order future AVMs upfront.
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Reach out to your BRM for any information on these updates.
Regards,
MyState Bank team
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