We recently helped Carol, a designer and Gold Coast Home Owner, who one day walked into our office. She was sure that her loan repayments were in a mess. She felt as though she was in a big pickle. She had maxed out all 5 of her credit cards and was struggling to make her monthly repayments, as well her home loan repayments. Her home loan had recently gone from Interest Only to Principle and Interest repayments putting even further financial strain on her and she was in desperate need of a way out and a solution. She always dreamed of being able to take a day off of work. However, this dream seemed unattainable, as she worked 3 jobs which were all on casual terms. She felt that there was no way that was happening. Carol thought about refinancing her debts but was sure she had no chance of this happening, given her situation. She was confused about her options and she didn’t even know how to check some of her credit card and home loan statements. It all seemed too hard.
Luckily a friend told her about our services. Carol ended up googling us, and then took the plunge to get in contact.
Refinancing and debt consolidation became a reality!
Here at Living Home Loans we were able to check all of Carol’s statements and found that they were nowhere near as bad as she had thought. Actually, she had been juggling them all – YES, but she had done such a good job that we were able to consolidate the majority of her debt as well as refinance her home loan. With this debt consolidation put into place it actually allowed her to pay HALF of the monthly amount she had been struggling to pay all this time. The future looked bright, if she could maintain working in her 3 jobs, until she was approved.
Not only were we able to arrange to consolidate her debts, but she also was to be able to finish her home renovations she had started quite some time ago. This completed renovation would allow her to rent out a dual living space in her house. As we helped her get some extra money out, she could complete the renovation and the new rental income she would receive would cover her new mortgage in FULL. Amazing right? On top of that we were also able to get a better interest rate on her home loan and the outcome could not have looked brighter for Carol. We had a lot of happy tears.
I know right… unbelievable! This is what we do, and we love it. Who wouldn’t? We love helping our clients cultivate their dreams!
So what was Carol’s situation?
Carol had 3 jobs that were all on casual rates and terms. She worked very hard with one job Monday to Friday, the second job was on a Saturday, and lastly her own self-employed design work in between. The elephant had been sitting in the room for quite some time. She knew her finances were in a big mess, and she was right. Carol had maxed out her credit cards when she was in the middle of building a dual living space in her large home. The plan was for her friend to rent/live in the space. Unfortunately, not long ago he became terminally ill and sadly passed away suddenly. She also had this loss to contend with, along with the incomplete space and no money left to be able to complete it. She was not in a good situation at all.
Along with her current mortgage, she had a total of 5 credit cards to try and keep on top of. The home loan repayments had gone up by one third (which is huge when you’re struggling with debt as it is) due to the change of repayments onto Principle and Interest. Carol felt she had done everything right, however life had sent a cruel blow. She found herself stuck and had no idea how to get out of her predicament.
Here at Living home loans we had quite a few meetings and spent many hours helping to get all the documents we needed. To make matters worse, Carol didn’t have the best computer skills and struggled with the lender’s systems and being able to get the specific documents we needed. In actual fact, we even had trouble with some of the lender’s technology. Some lenders seem to make it increasingly difficult to get your own information.
So how did we help?
Initially, we had our first meeting with Carol to get to understand where she was at, and to lend some support for what was a very large amount of stress for her. We then had subsequent meetings where we helped her to get all the information required. Having an initial look at her statements, it looked like she may be able to refinance to a lender with a very competitive rate. That would reduce her repayments straight away.
We provided her with a plan in order to allow her to consolidate every bit of debt that she could. She still had an extra credit card that she had to keep, but her plan was to pay this card out asap. It did take some effort on her behalf – particularly to do this in amongst her 3 jobs. But with our assistance, we helped her to have some hope in that she could be approved and her repayments would be halved in one clean swoop!
We also helped Carol to locate a couple of tradesmen who could do the work to complete the dual living option she had wanted all along. In our minds, this was the sensible conclusion to her renovation idea from the beginning. Then she would really have the freedom to cultivate her own dreams.
Then we got cracking on what we do best. Rather than just submitting her information to any lender, we carry out a lot of research and checks and balances (due diligence) to ensure that we are going to get a successful outcome for her. This is essential on our end.
Carol was overwhelmed with happiness
Success!! She ticked all the boxes for one of our lenders who had very competitive rates at the time. Her courage and hard work had paid off. Carol was so relieved to find out that she’d been fully approved for re-financing. She was able to consolidate her debts, and get some cash out to complete her renovation – all while saving $1350 per month!!! Now that’s a HUGE saving!
I remember the first phone call I got after her approval, Carol told me she was reducing one of the days at her Monday to Friday job. Straight up that made the effort so worthwhile for me. She was about my age, and when I first asked her about taking a day off, she had tears. At that point in time it was clear that she had to work every day just to make ends meet.
Carol was empowered to know that her finances were now in order, and her renovation woes were to be a thing of the past. She no longer had to juggle many different payments – she just had a straightforward loan to manage. She paid out and closed the remaining credit card. Carol could finally lose herself in magazines full of design ideas and get on with being creative and feeling relaxed.
Where is Carol at now?
Well, we know she does not work around the clock in fear of having a day off. The renovation is almost complete. Imagine that?! Once the dual living is up and running, she could have a real holiday. She would be actually be making money if she rented both spaces out. I know Carol will be back once she gets used to a great quality of life again. When we first spoke about her ultimate dreams, she really wanted to move. Carol spends quite a bit of time driving and a new location would suit her perfectly. I look forward to writing that story.
Have you got a dream?
Have you got a dream that we can help you with? Whether you want to save money on your current mortgage, consolidate debts, access extra cash or get a home loan, we can help.
Give us a call on 0439 110 255 or contact us today for an appointment.