What happens when your bank says no? This is why you should use a mortgage adviser first

I want to start by saying — I’m not posting this to brag. I’m posting this because I want people to truly understand what a mortgage adviser does, how hard we work for you, and why going to your bank first isn’t always the best first move.

The Phone Call

A couple of first home buyers had done everything right. They’d had a chat with their bank, been told they were in a good financial position, and felt confident enough to put an offer on a home with a 10 day finance condition.

Two days in, their bank came back and said no.

The reason? Some old credit report issues that had never been flagged in their initial conversation. No pre-approval had been started. No deep dive into their file. Just a general chat that gave them enough confidence to make one of the biggest financial decisions of their lives — and then the rug was pulled.

They were in shock. Their real estate agent, who I’d crossed paths with before, passed on my number. I got the call at 4pm.

The Next 72 Hours

The clients explained everything. Eight days left on their finance condition. Their main bank had already said no. They’d been told by that bank to wait 12 months and try again.

I got to work.

By 8pm that same evening we were in a virtual appointment, filling out the online application together. By 9am the next morning the clients had sent through every document I needed. By 11am the application was submitted to two main banks and one second tier lender simultaneously.

Three days later:

• One main bank — declined
• One second tier lender — full approval
• One main bank — on the fence

At this point we were already planning ahead. The second tier lender looked like the only path forward, and we started mapping out how we’d refinance them to a main bank in 12 months once the credit issues had aged off.

Then the main bank on the fence called me. They wanted more information. I provided it.

They came back with a full approval — with four days to spare on the finance condition.

We needed a registered valuation (the clients had less than 20% deposit), and with the timing as tight as it was, we had to request a two day extension on the finance date. We got it. We got the valuation. We got the deal over the line.

The clients settled on their first home earlier this month. They were in tears.

What I Want You to Take Away From This

First — your bank is one option. Just one. Every lender has a different risk appetite, different policies, and different ways of looking at your file. What one bank says no to, another may approve without hesitation. If you go direct to your bank and they decline you, that doesn’t mean the answer is no everywhere. It means the answer is no there.

Second — a pre-approval is not just a formality. It is the process of actually stress testing your application before you put an offer on a home. A general chat with your bank is not a pre-approval. Please do not put an offer on a home without one.

Third — time matters more than people realise. From a 4pm phone call to a submitted application by the following morning. That kind of urgency and availability is what this job sometimes requires, and it’s something I take seriously.

These clients came to me with 8 days left, a declined application, and no clear path forward. They settled on their first home.

That is what a mortgage adviser can do for you.

If you are thinking about buying — whether it’s your first home or not — flick me a message or give me a call before you go to your bank. Or if you know anyone who is thinking about it, feel free to pass on my number.

022 610 3768