Sure thing, happy to help 😊

CharlotteLe wrote:

wondering if I actually need advice form a solicitor or lawyer on this…

Yes, that would be prudent.

You’ll need a solicitor or conveyancer to represent you as the vendor anyway so might as well ‘kill 2 birds with 1 stone’ I reckon.

Usually I’m in favour of hiring a conveyancer for property transactions but in this case, if I were you I would definitely get a solicitor on board to make sure you’re good to go 👍😎

Can’t see why would a property manager receive commission for a sale of the property to a tenant.

My guess is that compensation means if the tenant damages something and pay (compensates) you for it.

I could be wrong, though, as this isn’t my area of expertise.

If I were you, I would confirm this with fair trading. They’re always happy to help 👍😎

I’m no expert but it does sound strange. My understanding is that technically the building is owned by the body Corp so if it leaks, that’s an issue for them to resolve.

I might be wrong, especially with your unit having an outdoor and the leak coming from there so if I were you my next step would be to speak with ‘Consumer affairs Victoria’ and see what they say.

Good luck! 👍😎

Please do tell us how it was eventually resolved 😊

Hey mate,

Here’s what I’m thinking:

1. If you’re considering to buy a piece of the adjoining land, that might be a great way to ‘kill two birds with one stone’. It will save the costs and drama of a boundary dispute, so you might get that land for a relatively great price.

2. If that fails, I would wait for the other party to do the first move. They might end up putting it in the ‘too hard’ basket or the actual buyer might not care.

3. If that fails, I would suggest, via informal or formal channels (depends how this all plays out) that they pay for the fence being moved to the boundary line.

4. If that fails, you could either give in and place the fence where it should be (following proof that it is indeed beyond your boundary) or fight it all the way (not that I would bet on your chances here because I can’t seem to think what could you say as your defence?!?)

Hope this helps?

Please do tell us how it was all resolved. It’s always good to learn from case studies 👍😎

In most cases (I reckon) the vendor uses a professional photographer, usually sub contracted via the REA.

The copy is usually written by the REA which can be great, decent or poor. I guess you could approach agencies and offer them your services but can’t say for sure if they will be happy to happy for it or go to the vendor and say: “you can either use my average writing skills or pay extra for this guy!”

How much were you thinking to charge for the copy?

Am pretty sure body Corp is responsible. Did you contact them? What did they say?

Agree with the above.

If I were you, I would aim at getting ‘conditional approval’ where the only condition is the title being registered. Such an approval is usually good for 3 months and can be extended as needed.

This should provide you with sufficient peace of mind I hope? 👍😎

Agree with Terry, it does sound like a servicibility issue.

Two ideas come to mind to mitigate, which may or may not suit your specific needs but probably worth exploring:

1. See if you can reduce the personal loan limit instead of closing it. This way you would satisfy the lender’s requirements and release as much equity as you can.

2. Does the lender know the reason you’re releasing the equity? If you’ll tell the lender it’s for property investing, then that loan split would be tax deductible, making your borrowing power greater. On the down side, the lender may charge you higher interest on this split (in line with their investing interest which is higher with most lenders these days than their owner occupier interest).

Hope this helps? 👍😎

Cheers,
Ethan

Hi Ajay,

A few queries come to mind:

1. What is the ‘higher interest’ that is being offered?

2. Why would you need to refinance 2 other properties to the potential new lender?

3. Do you require the release of equity from an existing property? If so, perhaps your JV partner agree to both of you top up the existing loan so you both pull out some equity?

Also, not all lenders will assume you have full liability on existing mortgages when calculating your borrowing power. Some will take into consideration 50% of the rent (well, 40%…) and 50% of the debt.

Cheers,
Ethan

Hi Mish,

Sounds like what you’re considering is vendor finance, specifically via carry back.

It can be done but you may face a few hurdles:

1. Buyers need to have a lot of borrowing power and yet, for some reason, a small deposit

2. The lender may see the 5% loan the buyers will owe you as ‘private loan’ (same as any other loan such as car or personal) and that will have a massive effect on the buyers borrowing power.

3. 5% vendor finance is very generous but it won’t go a very long way for the buyers. As Terry mentioned, they will need to lend only 80% from the bank to avoid LMI (unless they hold certain professions, can get a guarantor or some other ‘special’ consideration) and pay 5% stamp duty and purchasing costs (unless waived due to first home buyers scheme? Not sure about the rules in QLD)

4. Some lenders won’t be happy with this vendor finance deal. They wouldn’t want a caveat on the property as it complicates matters if things go south.

These are the main issues I could think of from the top of my head, I’m sure you’ll come across more challenges if you’ll go down that road. Would be happy to hear how it all turned out so please keep us posted? 👍😎

Cheers,
Ethan