If you're thinking about buying a home or even just exploring your options, the first step is often mortgage pre-approval. But what many people don’t realise is that your existing debt, even unrelated to property, can make or break that approval.
Whether you’ve got a car loan, a balloon payment coming up, business equipment finance, or personal loans scattered across the board - that messy credit picture could be holding you back.
Here’s where asset finance consolidation steps in.
Debt consolidation is the process of combining multiple existing debts into a single, streamlined loan. But what’s less commonly known is that you can often use asset-backed finance (like a secured vehicle or equipment loan) to do it - instead of a generic personal loan with higher rates.
This means lower repayments, clearer structure, and improved serviceability on paper.
Mortgage lenders look closely at your liabilities. If they see:
…it all impacts your borrowing power.
Even if you're earning decent money, being over-leveraged on paper can push you outside the box for approval.
By consolidating existing debts through a well-structured asset finance solution, you can:
This creates a stronger application when you go for mortgage pre-approval.
Before:
After:
We helped the client consolidate their car, business, and personal loan into one secured loan with a lower interest rate, and paid out the credit cards in full.
New single repayment: $690 p/m
Clean file, simplified structure, and a boost to serviceability
Outcome? Mortgage broker gave the green light for pre-approval within the month.
If you’re aiming to enter the property market soon, sorting out your existing finance should be your first move. It’s not about hiding your debts, it’s about optimising them in a way lenders like to see.
We work with both mortgage brokers and clients directly to help clean up the backend, so your front-facing application is strong.
We’ll help you:
Get started with a quick finance review today → Request a Call
