Forums

February 9, 2004 - 4:13 pm

Can anyone help?

I’m a 32yo male with a wife and 1 child who all live in Victoria and I need some advice about loans.
The property that I have rented for the last 3 years is going to be sold and I (knowing the owners) have been given first option to buy. The house is old and small but the land is 1167 m2 and in the area that I live in the chance of subdivision being knocked back is very very low.

My problem is this I have been out of work for sometime and have just started a new business (3 weeks ago) and need a loan to buy this property.
The property is worth $240,000 and up to $320,000 if subdivided but getting a loan is tuff for someone in my position who only has $20,000 for a deposit ($7,000 first home buyer grant $10,000 as a gift and $3,000 of my own) . I have just been approved for a loan of $170,000 at 11% (something like $380 pw) which is way to much for a person starting a first business to pay. So any help on this would be greatly appreciated thanks…

Sorry i also forgot to put that the asking price of the property is $200,000

Kreman

January 20, 2004 - 6:17 am

Thanks for clearing that up for me sis as I said I’m new to this and I’m still reading Steve’s book so I got a long way to go.[]

Kreman

January 20, 2004 - 5:31 am

Hi All

Sis you are still talking about CG, as I said before isn’t it +ve cashflow we want and not CG. Unless your investing in property to reduce your tax bill and still want to work ???

Kreman

January 19, 2004 - 6:45 pm

Hi all

I’m new to all this and I’m only ¼ of my way though Steve’s book so I may not have a hold on this yet. But if there is an increase in interest rates and fewer ppl buying then wouldn’t that mean ppl with rental properties for +ve cashflow get more ppl renting there properties. More demand and so on as the book said ???

Kreman