There are thousands of different loans on the market, all with different rates, fees and features. If you haven't already decided, the following might help you choose the type of loan that's best suited to your situation. Home & investment loans are generally categorised under:

• Standard Variable Loans
• Basic Variable Loans
• Fixed Rate Loans
• Split Loan Options
• Non Conforming Loan
• Home Equity Loans
• Line of Credit Loans
• Lo Doc Loans

Standard Variable Rate

Standard Variable Rate loans offer you maximum flexibility and great features, including the option to fix or split your loan, the ability to make additional repayments when you want, and the option to redraw these funds for any purpose when you require it.

Basic Variable Rate

Basic Variable Rate loans offer a lower interest rate, but fewer features. In certain cases you usually have the option to pay for additional flexibility and features when you need them.

Fixed Rate Loans

Fixed Rate loans protect you against interest rate changes for an agreed time, so you have peace of mind knowing your repayments won't increase. Fixed rate loans lack the flexibility of variable rate loans suck as ability to make additional repayments as you like. This is a trade off for the certainty in locking in rate. If variable rates go down during the fixed rate term you wont benefit, break costs may apply if you wish to revert to a variable rate before the end of your fixed rate term.

Split Loan Options

Split Rate loans combine the flexibility of a variable rate and the certainty of a fixed rate, so you benefit when rates decrease and are protected when they increase.

Non Conforming Loans

Non Conforming Loans have been designed especially to help borrowers who do not meet normal lending criteria. Borrowers that fit into this category include those who have an impaired credit history, such as judgements or defaults. Loans are also categorised as non-conforming if borrowers wish to borrower more than standard amounts against their property value i.e. 100% of the security value.

Home Equity Loans

Home Equity Loans allow you to unlock the equity in your existing property for other opportunities such as renovating your home, investing in shares or financing an investment property.

Line of Credit (LOC)

Line of Credit loans are interest only variable rate loans that have full flexibility attached to them such as cheque books and credit cards. These are ideal for wealth most line of credit loans offer interest capitalisation features, provided that the borrower has sufficient equity in the loan account no minimum repayment is required. Line of credit rates are generally higher than standard variable rate term loans.

Lo Doc Loans

Lo Doc loans are loan which do not require any formal financial documentation from the borrower. Lo Doc loans are generally used by self employed business people with lack of financial statements or complex entity structures making proof of income difficult. Tax returns or financial statements are not required.

Lenders usually base their qualification for such loans on an income declaration but no proof of income is required. Terms and credit requirements for lo docs vary from lender to lender including mortgage insurance premiums.

Red Rock offers some of the most innovative, marketing leading lo doc lending options available. Speak to a Red Rock Adviser about you lending options today.