True Mel

What we’re talking about then is a JV scenario as apposed to Mez finance.

The difference lies in the security provided for the funds invested.

The problem I have is that they are advertising as Mez funds with great returns etc. And my concern there is that a novice investor may easily get burned by not being able to ascertain the…[Read more]

Originally posted by melbear:

Thanks Mel, I understand how Mez deals work.

What I’m saying is, they can get 70% from a senior lender ie bank and 30% from Mez paying 13% interest without using any of their own funds. There is no reason to offer more.

Michael

Have investigated the group mentioned a few months back when they started, and all I…[Read more]

Got a 3 phone, and it has been great for the $99 cap but it is not going to last forever.

Actually got a call from them yesterday saying they’re changing their fair use policy, and now the $99 deal has a limit of $500 so it’s coming down.

Brendon

Acute Mortgage Reductions
http://www.acutemr.com.au
brendon@acutemr.com.au

Hi LIzzy

You you still use your own phone and service provider I think, so you can still SMS the usual way, but just use 1 cellnet for the calls and cheap rates.

I think the only extra hassle is phoning into them first and then being connected through.

Might look further into it actually as my mobile phone bill will be huge in a few…[Read more]

Clint

Have already gone through this with you, 75% is max, unless I’m missing something here and another broker can get more than 75% for that postcode and an overseas application on your servicibility?

Simon is very experienced here, use him.

Brendon

Acute Mortgage Reductions
http://www.acutemr.com.au
brendon@acutemr.com.au

Hi Miracle

Typically the larger experienced development companies who can provide a capital guarentee will offer around 12% with a small bonus on completion.

Any company offering 30% or 70% as you mentioned, it will more than likely be a JV scenario where you would profit-share but at the same time, the risk would be shared too.

Generally most…[Read more]

I agree

Just because you have an IO loan doesn’t mean you cannot pay off the principle, you are only obliged to pay the interest component each month.

Hence more flexiblity if you need a few months of reduced payments. This goes for PPOR loans too, with P&I you are reducing the available limit you can redraw back up to so why not keep your…[Read more]

Welcome Steve

I have to agree with Michael here and say that you will probably find it difficult to raise funds for projects without a track record and the necessary experience.

I would recommend looking for a mentor instead to learn the ropes first, and if you can find one you can trust there will be deals there for you to do.

I am also here…[Read more]

HI Positive Cashflow

Derek’s advice is spot on, as you should be having a chat to the valuer yourself who will give you a good idea of whether you’re paying too much or not.

Don’t trust your bank to let you know if you’re paying too much for the property, as they will allow you to do it if you have good servicibility.

In other words, take…[Read more]

Hi Rob

I think while myself and a few others may get your dry sense of humour, it is sometimes very difficult to tell on the forum what is actually meant.

Perhaps a little less ambiguety may make it easier for us to understand your posts.

While not an expert on forum etiquette, I also think your posts are sometimes a bit too much on the…[Read more]

I’m not sure what the forum was like a few months ago as I’ve only been on here for that time, but you only have to look at the recent posts in the finance forum to see it’s getting pretty heated at the moment.

This is a great site for information shared by some pretty clued up people and I can say my education has accellarated a lot quicker due…[Read more]

Hi Colin

And Welcome.

This is a pretty general question, so why not do a search on trust structures etc. and you will find some good reading.

Good Luck!

Brendon

Acute Mortgage Reductions
http://www.acutemr.com.au
brendon@acutemr.com.au

Hi Lister

Just my 2cents but I agree with Rob that you will achieve a better price when the property is completed simply because it is the owner occupiers who see the finished product and get emotional about the property, which is difficult to do off-the-plan as not everyone has that type of imagination.

If you don’t have experience selling…[Read more]

Just getting myself off the ‘Nelson’ (David Shepherd hopping on one leg).

Brendon

Acute Mortgage Reductions
http://www.acutemr.com.au
brendon@acutemr.com.au

Why does your mum have to pay double stamp duty? If the friend is onselling to your mother they are responsible for their own portion of the stamp duty.

Why not get a list off the developer of past projects done and check them out? If they are hesitant to provide the info you’ll soon find out.

On another note, if the friend can walk from the…[Read more]

Originally posted by westan:
This site has been fantastic for me also.

before i found this place i had 5 children thanks to PI.com i haven’t had anymore. Thankyou PI.com

westan

That’s hilarious Westan! Do you think Steve Mcknight should market the site as a form of birth control then?

Brendon

Acute Mortgage…[Read more]

Originally posted by 1HotValuer:
True confessions of a Valuer: I constantly find my self sucked in when I hear peoples life stories and although I try hard to distance myself from life and my profession, I sometimes give people more for their valuations when I feel sorry for them. I need help.Ha ha ha.

Ah yes, valuers are human too! What is your…[Read more]

1. Mezzanine funding
2. Short term lending
3. Robbing a bank (not for everyone)

Brendon

Acute Mortgage Reductions
http://www.acutemr.com.au
brendon@acutemr.com.au

Originally posted by The Mortgage Adviser:
Brendon,

That sux!

Why did they only do the val the day before settlement?

With your comparables, did they eventually budge on the val?

Rob

No idea, I assumed they would use the same val they used for the purchase a month earlier(or did they even do a val but just charge me for it?)

Valuation firm…[Read more]

Thanks Rob

But I’m not talking about units(I wouldn’t buy one). We’re talking a house on a decent size block of land in a high capital growth area. And this was in the middle of the boom last year.

The valuer in question for CBA actually valued it below what I payed for it months earlier in a suburb that had 60% capital growth last year! And I…[Read more]