Jen,

If you do decide to go ahead with a purchase I have a contact for you who can help. She is a solicitor that helps with applications to the Forgein Investment Review Board that you will need to gain permission from. PM/Email me if I can help here.

Liz Wilson

Mortgage Lender

Hi All,

I’m confused! The home loan company’s website says it does 100% finance provided you pay for stamp duty, legals and LMI… BUT they then quote St Georges interest rate and say I have to pay LMI?? But ST George don’t charge LMI. Non conforming lenders insure there own deals and have fees that are NOT LMI.

I think there are alot of…[Read more]

Hi Rob,

Yeah thats right, they may capitalize LMI but some places charge another 20% on the premium for this. Otherwise they may capitalize to a max deal of 97% inclusive of the LMI fee… meaning its really 96.5% finance.

St George may be the way to go for some people.. but if you have the gen savings, depending on the size of the loan, you may…[Read more]

Hi Zulu,

Yeah give us the postcode – this will guide us backup brokers.. You should take 20% of the IP price out of the equity in the PPOR and finance the rest in the IP. That way you can access the additional equity in your PPOR at a later date.

I’ve done rural zoned property in non metropolitan areas for 80% no worries… it does come down to…[Read more]

Hi Jen,

Are you boarding at mum and dads for now? What income do you use to pay for your living expenses? I don’t think you’ll get a loan on rental income only…

Want to email me your figures? I’ll can then work out how much you would need to earn a week to get the loan you want – and also what your costs are. What state are you in too?

Hope…[Read more]

Nat R,

Do you want to enlighten us all? There are some smaller boutique lenders (or non-conforming lenders) I guess you could call them, that do 100% finance plus costs, but from what I have heard you have to be on a high income and stable employment history to get it.

I have to agree with Rob, out of your mainstream banks and non-bank lenders,…[Read more]

Hi Ritchied,

To put it simply, any loans you have against your owner occupied home (i.e. $250K current debt, extending up to any redrawn amount) are secured by your current home PPOR. So if you default and default the bank can sell that home, your PPOR.

The loan you take out for the IP which will likely be 80% of the value of the IP, will be…[Read more]

My two cents is that Sydney has peaked… prices are dropping, bubble is deflating… I think for the next 6-12 months we may see more of that… then it should resume to more realistic growth rates…

Definately a buyers market – especially in NSW if investors try to offload before July 1st

Liz Wilson

Mortgage Lender

There is a Private messages link to the left of the page – below “forum boards” and above “investor strategies”…. although being a newbie too i have realised i need to be looking in Forum Boards before the link comes up… if you have a Private Message there will be a little red “1” or number next to it so you know there is a new one. It also…[Read more]

Hi Ezy,

Is that near Coffs? Inland near to Urunga? Bellingen? Some of those places are really going ahead…

One of my clients is subdividing alot of land up that way. Will make alot out of it. You might want to see what a developer thinks of the land? I think if you were to cut it up into two you might get more? Units in a place so sparsley…[Read more]

Regarding the initial question – try a different broker – or find out just how many lenders your broker services (raised eyebrow). It depends on your scenario and how you have structured your loans – for a second opinion email me and I’ll tell you what I think…

DD

Regarding the comment about ex CBA brokers… well thats a bit of a rough…[Read more]

Hi Rob,

Come back out into the playground!

Differences of opinion should be discussed openly in a dedicated Forum, so whomever sent you the nasty PM should probably come out in the open and let the contributers decide for themselves.

Hope to see you back on the boards soon!?[blush2]

Liz Wilson

Mortgage Lender

I think the tax man could Supina the information if they wanted… as someone said earlier taxman is GOD…

What does everyone think of the Lo Doc’s available for under 65% where you declare “capacity to repay” NOT “I earn $XXX,XXX.XX”. Wouldn’t this save alot of grief… provided it was conveinient that you did not need 80%?

Thanks Rob,

Wasn’t sure as I did have one particular NZ client who told me of something AFTER settlement, that the banks should have really picked up on.

Strange that it slipped through the cracks don’t you think?[hmm]

Liz Wilson

Mortgage Lender

Quote:
Originally posted by Motivstorm:
lizzy, 150 per week rental for a 90,000 house isn’t exactly fitting the 11 seconds rule? unless there’s some creativity put into the deal?

Hi Motivstorm… Sorry for my ignorance, I am not completely familiar with Steves work but this refers to the purchase price of the property being derived as a funtion…[Read more]

Hi Sparkie,

Try not to let the banks put a smear on your credit report that takes 5 years to clear… until then you’ll pay out your nose with a higher interest rate.

You can obtain a copy of your credit report by calling Baycorp Advantage on 9464 6000, its free if your happy to wait 2 weeks, or for a small fee have it within 24 hours. This will…[Read more]

Hi Brahms,

As long as you ARE a first home buyer you shouldn’t have a problem… and do note you have to occupy the premises within 12 months.

The stamp duty exemption is to assist first home buyers getting into the market, but these days it is quite common for my first home buying clients to have the first home as an IP and stay at home or…[Read more]

Sonja,

In my experience most banks are firm with their policies, and once you give them the information they want they will make a decision based on that. Appealing to them with your own logic is not always effective, talk to a broker who knows how to think like a bank, but understand a client.

In general, if you don’t have a proven income to…[Read more]

6.47% at 60% lend is pretty competitive…

Liz Wilson

Mortgage Lender

I agree, for your average investor your at the mercy of the bank valuer’s valuation.

I will make a point here that I think is worthwhile for people to know, when I worked at the CBA, we were not allowed to disclose what the valuation was…. HOWEVER I was able to tell my client what 80% of the valuation was… and let them do the maths, this way…[Read more]