Non conforming simply means outside the standard lending criteria of mainstream banks. It is not subprime. It is not desperate. It is just different. Your situation does not fit the template that major banks use, so you need a lender with a different template.
There are many reasons a borrower might fall outside standard policy. None of them mean you cannot get a home loan. They mean the right lender matters more than usual, and a boutique brokerage like Lendology knows exactly where to look.
Most borrowers only ever deal with the four major banks. Behind them sits a deep network of specialist lenders that most brokers rarely use. Lendology accesses this network every week because non conforming lending is a core part of what we do.
Our panel includes major bank second tier divisions, standalone specialist lenders, private funders and credit unions with flexible policy. The right lender depends entirely on your situation, and that is exactly what Lendology assesses before lodging a single application.
Non conforming interest rates are higher than mainstream bank rates. That is a fact, and we will never pretend otherwise. The rate premium exists because the lender is taking on additional risk that a major bank will not accept.
Depending on the scenario, non conforming rates typically sit between 1% and 3% above standard variable rates. The exact premium depends on the nature of the non conforming element, the LVR, the loan amount and the lender.
Here is the important part: for most borrowers, the rate premium is temporary. Non conforming loans are designed as a pathway, not a permanent home. Once the issue that caused the non conforming classification is resolved, whether that is time since a default, updated tax returns or a change in circumstances, you become eligible for mainstream lending again.
Lendology builds a refinance plan into every non conforming file from day one. We set a target date and work with you to meet the conditions required to move back to a lower rate.
Compare the rate premium to the cost of continuing to rent while you wait for mainstream approval. In most cases, getting into the market now with a higher rate costs less overall than staying out of the market entirely.
Non conforming lending covers a wide range of borrowers. These are six of the most common scenarios Lendology helps with.
We respond to all enquiries within one business day - usually the same day.