Problem

Viewing 5 posts - 1 through 5 (of 5 total)

fcm
Member
@fcm
Join Date: 2005
Post Count: 1
June 30, 2005 - 8:16 am
Is it possible to obtain a loan of greater than the value of the prospective property,to incorporate debts of 50k on a salary of 70k PA.
I wish to have one loan which covers the property i wish to buy,plus current debt.
Cheers.
Stuart Wemyss
Member
@stuart-wemyss
Join Date: 2003
Post Count: 598
June 30, 2005 - 8:29 am
Maximum amount you can borrow is 105% for a purchase (not refinance).
Cheers
Stu
brahms
Participant
@brahms
Join Date: 2004
Post Count: 485
June 30, 2005 - 9:29 am
nope – banks lend against security not personal debt – the query is a pretty common one, but unless you have a huge deposit then there simply isn’t any equity available to ‘consolidate’ the personal debt.
realistically, if there was a huge deposit available you wouldn’t have personal debt… sort of one of those blinding flashes of the obvious really.
cheers
brahms
Purveyor of Fine Finances
aka Mortgage Broker Brisbane
Nat R
Member
@nat-r
Join Date: 2004
Post Count: 224
June 30, 2005 - 11:03 am
There are 106% and 107% products but from memory neither will allow debt consolidation. The other problem you will have is if the $50k is a personal loan over 3 or 5 years then the repayments on this must be massive and will choop your borrowing power to shreds.
Robbie B
Member
@robbie-b
Join Date: 2004
Post Count: 2,493
June 30, 2005 - 2:04 pm
Nat, 106% is the LVR. Only for new purchase as you said.
Guys, there are lenders who lend much more than this but they require additional security on top of the property you are buying. This additional security can be an unencumbered car, boat, etc… They will also put it all together as a single loan. The rate will be much higher than standard though.
TMA
http://www.email4money.info
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