My problem is that while i currently have 5 properties and operate my own business, it is getting harder and harder to get loans. The biggest difficulty is that the businesses create little as far as taxable income and by the time depreciation and tax writeoffs come into play they do not, in the opinion of the banks, allow for further ability to service more loans. I have the asset base and the equity in the assets should allow comfortably for additional purchases, but im starting to hit dead ends. any suggestions?
Get a decent broker!
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985NODOC Loan – 65% Loan – No questions asked! 6.85% Rate!!
Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
You are just looking in the wrong areas. You have lots of options open to you such as:
– Lenders that allow business add backs (may not work for your case)
– Low Docs
– No Docs
– Pure Asset lend type loans where they don’t care about your CRAA, Income, Asset levels etcTerryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Be careful using low doc loans. If you declare a higher taxable income in a loan application compared to your tax returns it could come back to bite you. The ATO can check this.
Always be honest.
Cheers
Stu
Neven,
This is a common problem many investors face at one time or another,
Talk to a couple of Brokers.Regards
Steven
Mortgage Broker[email protected]
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIAPLEASE note comments made should NOT be taken as specific taxation, financial, legal or investment advice. Please seek professional, specific advice.
I currently have a range of loans including both low doc and documented loans. The difficulty is as suggested that the low docs require a statement of income that i cant justify on tax returns but have no difficulty with covering the repayments from tenants and in covering through my LOC in times when a tenant may not have been found. It is easy enough to say ” get a better broker” but in truth the broker has been very helpful and has tried many avenues. Naturally each are limited by those lenders that they deal with, but my loans span ING, Suncorp, CBA, and ANZ… so its not as if alternatives havent been looked at.
it is generally getting harder to get loans. Even with low docs, there are various restrictions and maximum exposure levels. It may just come down to how badly you want more loans. If you have equity, they can always be arranged, but you may have to pay higher itnerest rates.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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