I would like to use the equity in a house in Holland to buy an investment property in Australia. Can anyone recommend any lenders in Australia who provide mortgages on this basis? I am an Australian citizen currently living in Holland.
You won’t have much like getting an Australian lender to take security over that property. Are you able to use a local bank in Holland to draw the equity, then direct the funds to Australia for the future purchase?
Corey Batt | Precision Funding
http://www.precisionfunding.com.au
Email Me | Phone MeInvestment Focused Finance Strategist - servicing Australia-wide
Agree with Corey – you’d have to get the equity out in Holland and transfer it to an Aus account to use as a deposit.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
I was looking to do the same with my property oversea as the rates are at tad lower then Australia. They told me I have to be there in person to apply for the equity of of my investment but it can be done. Just be careful of the exchange rates from your country to Aus dollar. You might end up paying less in the long run if the exchange goes in your favour or it can be the other way around.
Cheers
Thanks for your replies everyone – very helpful.
Hi Melissa,
What are the prices of real estate like in Holland?
Thanks and have a great day.
EngeloRumora | Ohio Cashflow
http://ohiocashflow.com/
Email Me | Phone MeF@#$ THE REST WORK WITH OHIO CASHFLOW TO INVEST
Much more affordable than Australia. But it’s a lot more high density (at least in the main cities). You can check out houses here: http://www.funda.nl/
No can’t be done you will need to use a local lending institution.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Melissa how did you go? I am also an Australian living in Holland and have been researching during the last year and to date;I have not yet found a Dutch bank who will do this. I spoke to the ANZ in Australia and they have advised me that they do not do this. I have just joined the forum and am scouring the posts, this one is of particular interest to me.
Considering buying here soon as once we purchase we are able to claim the monthly interest payable on the mortgage and that is paid to us as a monthly rebate. When I first heard that it was possible to do this I went off to do my research surely this wasn’t possible and I soon discovered that it was.
Btw Engelo current interest rates and the market which is still weak means that there are many good deals to be found. At the moment banks are lending 104% and you can fix loans for 7 years at very low rates the last rate I was given was 3%. No CGT and foreigners are welcome to invest. Rent for a decent house/apartment are high and offer good return. As Melissa said look on Funda and you will see what is on offer.
No Australian bank is going to lend on overseas security because of the difficulty in enforcing the mortgage in a foreign jurisdiction. You will need to borrow against the property using a lender in the country where the property is located.
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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