Forum Replies Created
Hi Jaymjay,
Here is a link to buyer beware,
https://www.propertyinvesting.com/resources/1.htmlIts hard to comment without further information, but assuming you have done your due diligence, I would sugest you insure the usual clause appear in the contract, i.e. subject to finance, building and pest inspection etc, cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Geoff and a warm welcome to the forum,
It’s great to see you contributing to the forum, your experience and comments on property investing will be much appreciated & valued by many I’m sure, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Mike,
Agree with Derek, using equity to acquire or expand an investment portfolio is fine,
If the equity is derived from your PPR ensure the increased loan/refinance is structured as an investment loan, this will ensure the deductibility on the investment is not contaminated by the non-deductible debt attached to the PPR.If the equity is derived from an existing investment then it would still be beneficial to keep the new loan separate and ovoid cross colaterisation over the 2 investment properties.
BTW, I spent some time in Bristol quite a few years ago and found parts of the West Country, Bath etc very picturesque. Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Icerip,
The main reason is because Australian lending institutions will not except NZ property as security over finance, where as a NZ lending institution will.However, providing you have the required amount of equity in Australian property you could finance with an Australian Bank and use the funds to purchase NZ investments outright,
However this method of finance will eventually eat up all your available equity in your Australian portfolio, while the NZ investments would be unencumbered, this may seem appealing but the majority of investors use the equity in property to fund and expand there investment portfolio.Most of my clients use the equity in there Australian investments to the fund the 20% deposit required for NZ finance,
in doing so, this allows them to stretch there Australian equity/deposits further and acquire more NZ property. I hope this helps Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Collie,
If you are releasing equity from an owner occupied property (PPR) for the sole purpose of investment, then I would suggest you keep the new loan separate from the non deductible debt, i.e. a split loan. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Dan,
The maximum term of a loan is usually 25 or 30 years,
I’m not sure why you would want a longer term, but if your question relates to lowering your loan repayments via a longer loan term period, then you may want to look at finance with interest only repayments,
A lot of the lending institutions offering interest only products will allow you to make additional principle repayments at any time, cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Sophie, & welcome to the forum,
Its difficult to offer any specific suggestions without being privy to your future investment goals and current circumstances,
However based on the information you have provided you seem to be in an excellent position to leverage off your current investments.You currently have $76.000 in available equity @ 80% LVR on the 2 encumbered properties, possibly more at a higher LVR with mortgage insurance.
I would suggest you look at using the equity as deposits on separate lending, Preferably 80/20 finance as this will elevate cross colaterisation issues and the need for mortgage insurance over your portfolio. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Bom & Louisa,
You can apply/arrange for NZ finance via an Australian based mortgage broker,
It’s also a good idea to have conditional approval for finance in place.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Sarah, and welcome to the forum.
The FHOG in Victoria is currently $12.000 in total,
$7.000 courtesy of the Fed Govt. and a further $5.000 from the VIC Govt.However the $5.000 Victorian grant will finish in June this year, You may want to take this into consideration regarding your future plans, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Wilko,
I assume you are looking to refinance your PPR and extract the equity for future investment,
if so, you may want to look into the benefits of a split loan with a 100% offset linked to the non deductible portion of the split. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Funk Me,
Most lenders will require a Third party guarantee, although certain lenders will assess it outside of their normal lending criteria,Is the property/title under your individual names or a Company or Trust? Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Mitsinka,
Take a look at this multi loan calculator on the ASIC web site.
http://www.fido.gov.au/fido/fido.nsf/byheadline/Multi-loan+calculator?openDocumentRegards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Mitsinka,
I agree with jacob, If you are struggling to meet your current commitments I would strongly suggest you consolidate your current debts before you embark on any further lending/debt. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Woodsman,
The banks will view his/her share as an asset, however, it will be very difficult to include the property as security on future sole lending, as the property has Three other names on the Title, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Todd,
Based on the information you have provided, Your loan with St George is not a 100% loan in the true sense of the word,
St George has used the equity in your 1st property to secure finance on the 2nd purchase. In other words they have cross colaterised your portfolio, (2 properties taken as security over the 1 loan)
It would have been more beneficial for you to access the equity in the 1st property, and use these funds as a 20 % deposit on the second property purchase, the result would have been 80% LVR and no X,Coll. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Originally posted by FFComm:In some ways I’m surprised that there isn’t a 100% loan with a higher interest rate that is more avalible (i.e. a 100% loan offered by the banks).
FFComm
FFCom,
There are a few lending institutions who have 100% finance products.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Originally posted by dragovic:Steve,
If I re arrange the situation. How much money do I need for a 100% finace on $ 200,000 property?
Alternatively how much finance can I get if the property is to be stand alone in other words not dependenat on other property equity if the rate were in line with current lending rates? ie 6.5 – 7.5%.
Tony
Hi Tony,
On a $200K purchase with 100% finance you will need approx. $16.000
This figure does not include solicitor or establishment fees.Alternatively, If you have access to available equity then I would suggest using these funds to finance the new purchase as stand alone and at a lower LVR, this will insure your portfolio is not cross colaterised and will also give you access to a lower rate of finance, Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Hi Felicity,
Unfortunately there is not a 100% low/no doc product available at the moment.
BTW, No savings history is required on the 106% product, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Establishment Loan Interest rates are approx. 8.99% on 106% LVR, LMI is around 2.57% and approx. $1800 for establishment fees. Not for the faint hearted. Cheers.
Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
The max LVR for non NZ-residents is 90% subject to LMI policy,
However as a rule and in the majority of cases 80% LVR is the norm,
On a purchase of $100.000 @ 80% LVR you could borrow $80.000 without to much trouble. Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
