Hey Everybody,
so i am about to jump into my first IP property and my parents will be helping with the 20% deposit.
The issue is that my parents have sold their house and settle on the 13th of July, in the mean time they cannot help me via a family assistance loan because they technically dont have a property to secure the 20% of the loan aginst.
After the 13th they will be able to provide the 20% in cash, however i have entered a bid of $216,000 on a property last Saturday and hope to make the purchase. i will be applying for finance this week, and have jumped through the hoops previously so i am confidant that i can get approved finance. Im not sure if it makes a difference, but the property i am about to buy is being sold as a decesed estate through a public trustee.
The question is that beng a first home buyer will a deposit bond in my parents name jeopardise my first home buyers concessions?
i would really appreciate advice on this. If there is any property finance professionals based in Sydney then please feel free to contact me on 0403 434 599. Otherwise any advice would be great.
Cheers guys,
Carl Sullivan
Hi – Does anyone have knowledge about Hervey Bay as a place to buy an investment property in?
I'm thinking of buying a house and land around the $330,000 mark – putting in 20% deposit and borrowing the rest. It seems a reasonably priced place for entry level investment. Rents there are not very high so it may be negatively geared for a while.
rather than get a biased answers from RE agents – does anyone know the demand for rentals there? Is there employment etc, signs its a growing place and will get capital growth?
I haven't been there yet but are planning to take a look at properties there later this year.Any comments will be useful.
Thanks
Carl
I cant really see the issue.
Presumably your settlement date will be after the 13th July on the house you are buying so there will be no issue with settlement as you will settle with cash and no a family guarantee style loan.
As long as you convince your Bank that you have sufficient funds to settle then you should be fine.
You should still be able to obtain a Deposit Bond to cover the deposit (Assuming the Vendor accepts this) once the finance is unconditional.
On a separate note i cant comment personally on Hervey Bay but have several clients who have purchased IP's up there in the last few months which i have financed and all appears well with their investments.
Richard Taylor | Australia's leading private lender
i guess the question i have is:
Can i obtain a deposit bond secured against future cash of my parents or do they need to obtain the deposit bond on my behalf?
In either case can anyone suggest a good deposit bond vendor
Carl
Try Deposit Access / Deposit Power or Gemworth through their company Deposit Saver.
Your MB should be able to make this happen for you.
Richard Taylor | Australia's leading private lender
Carl
Deposit Bonds are easily obtainable once you have achieved Formal Approval on your investment loan. I am generally able to turn these around for my clients the same day the approval is granted.
The only issue you seem to have therefore is convincing the bank you have funds to complete the purchase. I would suggest a statutory declaration from your parents stating they are gifting you the 20% would be sufficient. You can obtain stat dec forms cheaply from any post office.
Regards
Shaun Smith | Managing Director | CDS Financial Services
Direct: +612 9153 0333 |O: 1300 888 366 | F: 1300 732 388 | M: 0419 330 778 | E: [email protected] | W: http://www.cdsfinancial.com.au
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