Loan rejected!!!!!!!!!!! :( Please advise

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Loan rejected!!!!!!!!!!! :( Please advise

Postby chrishardy » Wed Jun 17, 2009 4:19 pm

Why do banks care so much about the floor size of a unit? I was declined because the unit I was buying was only 32 m2.

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Otto Dargan
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Re: Loan rejected!!!!!!!!!!! :( Please advise

Postby Otto Dargan » Thu Jun 18, 2009 8:56 am

Banks have this idea in their head that small units are harder to sell, and so are not as good security for a loan. Generation X & Y have no problems living in smaller units or studio apartments so in my opinion this policy is quite outdated. As a general rule most banks require units to be larger than 50 m2 excluding any balconies or car spaces. We can finance units as small as 18 m2 as long as they are good quality units in high demand areas. Good luck!
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