Hi Wayne,

I hear this type of dilema all the time in my work as a mortgage broker. May I first suggest that you have a good look at “Simply Budgets”, their website is http://www.simplybudgets.com, purchase the package (about $70), and first work out where the money is going. This alone will be a big step in the right direction.

Secondly, establish a…[Read more]

All of the above posts are an excellent start, however, don’t be afraid to look at something like Simply Budgets. This software is like having a crystal ball for your bank account. Costs about $70 odd dollars, and works very well, I use it myself. Have a look at http://www.simplybudgets.com.

Gary Young
Home Loan Connexion
Mobile 0407 64 66 32
Fax +61…[Read more]

Hi Aaronj,

I’ve done a lot of work with Bluestone, here’s their website address, so you can draw your own conclusions http://www.bluestone.com.au. Contact me on [email protected] if you have a specific scenario to review.

Cheers!!!

Gary Young
Home Loan Connexion
Mobile 0407 64 66 32
Fax +61 7 4636 4841
email [email protected]

Hi everyone,

Well, we do have our opinions don’t we? Melanie was the closest, in that it depends on who you work with on a personal level, not so much the institution.

Whilst many of the replies are from brokers like myself, I don’t remember one of them saying to establish a relationship with a broker (or dare I say it,, a branch manager – if…[Read more]

Hi,

This is not going to be an easy one, but will involve some confidential discussion. Contact me on email [email protected].

Cheers!!!

Gary Young
Home Loan Connexion
Mobile 0407 64 66 32
Fax +61 7 4636 4841
email [email protected]

Hi Steve,

Congratulations on the success you’ve worked hard for on your investments and your book.

I saw you briefly on Channel 9 Morning show, and was impressed with your comments as they match my advice to my clients.

Went out that same day and bought three of your books, one for my library and two as gifts to my clients. I suspect I’ll be…[Read more]

Hi Alf,

I live in Toowoomba, Qld and may be able to provide anecdotal evidence or personal comments on the area in question. Email me at [email protected].

Call the local council, they will often give you some good information on local conditions.

Gary Young
Home Loan Connexion
Mobile 0407 64 66 32
Fax +61 7 4636 4841
email…[Read more]

Hi Ash,

email me off-line at [email protected] if you have private questions, or happy to discuss them here, if you are comfortable with that.

Gary Young
Home Loan Connexion
Mobile 0407 64 66 32
Fax +61 7 4636 4841
email [email protected]

quote:
Home Loan Guy you made a comment about being rent dependent and how some banks look at that. Surely most IP investors once they get beyond $500 K to 1 million in debt are rent dependent. My understanding of most IP investors today is that they are in debt to their eyeballs although they may have a good LVR. You also mentioned not…

[Read more]

Sounds fishy to me. I’m willing to bet the next phone call you get from your real estate agent is that you will need to increase your offer to get the vendor to sign.

You will need to decide if you think this place is worth it. Here in Queensland (and I’m sure this is much the same in other states), you can sign a contract subject to building…[Read more]

Hi Ash,

Good to hear from another Canadian!!! I grew up in Toronto area, and moved to sunny Australia twelve years ago. Love it here. As we say in Queensland, “perfect one day, sunny the next”.

You are right about needing a good accountant, but unfortunately I’m not sure of a suitable one to refer you to. However, I’m sure many others on this…[Read more]

quote:
I agree totally with Dogs. I’m just writing an article for The Australian about this. This arrangement can save you from nil to 5% (of interest payable)… not that great really.

Cheers

Stu

Property & Finance News
at http://www.prosolution.com.au

Hi Stuart,

Glad to see another broker thinking the way I do. I don’t receive the Australian, any…

[Read more]

quote:
Wow, a lot of golden nuggets if information….
anyone use PC based budget programs? like Simply
Budgets etc? any other progs out there?

Hi,

Yes, I use and highly recommend Simply Budgets. As a mortgage broker, I really question the use of LOC accounts and credit cards to try to reduce the term of a loan. As a matter of fact, we know…[Read more]

quote:
All good debt, no car loans and I pay my credit cards monthly. I guess my wotif worries stem from the fact that my debt service levels have now exceeded my employment income (rental income not counted), which in the past I have used as a fall back if things go pear shape. I have reserve funds if I need them I guess I just don’t like owing…

[Read more]

Hi Victoria,

It really comes down to how many titles the units are on. For instance, I researched a deal for an 8 pack of units. No bank would touch it, as it was on one title. However, if it had been built on two blocks (titles), they would have been happy to do the deal as residential finance at 90% LVR (max of 4 units per title).

AXA Home…[Read more]

Hi Battz,

Give me a call on my mobile 0407 64 66 32 or email me on [email protected]. I live in Toowoomba, and work all of Southern Qld, so know those areas very well. Here’s a quick tip, don’t ignore Dalby and Roma for positive cash flow.

See ya’

Gary Young
Home Loan Connexion
Mobile 0407 64 66 32
Fax +61 7 4636 4841

Stu’s right, Big 4 banks will do 30 year terms on investment properties no matter what your age, as long as your principle place of residence is not at risk.

The truth is, lenders are not allowed to discriminate on age. However, the Unified Consumer Credit Code (which doesn’t apply for investment loans) does state that a lender must not lend if…[Read more]

Hi,

If you are concerned about your debt level, maybe you should cool it for a while, until you gain confidence that most of your properties are tenanted most of the time.

Have you established a “float” to cover payments when properties are vacant? Perhaps, you just need to work out a strategy of how you will manage.

I lend a lot of money to a…[Read more]

Before looking at building a six pack, check with your finance specialist. Not too many banks want to do anything above four units as a residential deal. Six pack may be a commercial deal (however AXA Home Loans may look at a six pack on occasion).

Four pack, probably can get done at 90% LVR, six pack, commercial deal, may be 65 or 70%…[Read more]

Hi,

Generally, most investors will go with Interest Only for the investment property, if they still have a loan against their Owner Occupied Property. The rational here is the interest on the investment loan may be a tax deductible expense (please confirm this with your tax advisor, you do have one don’t you?). Whereas the interest on your…[Read more]