Forum Replies Created
Hi Brad,
Also keep in mind if you borrow more than 80%, you will be up for mortgage insurance, so it would be preferable to keep your borrowings below 80% wherever possible, as this is a big hit for borrowing a relatively small amount extra.
Kind Regards,
Cameron Perry
Perry Financial Strategies
Ph (03) 9662 1999
[email protected]Hi Brad and welcome to the forum,
The way the bank has suggested you structure the loan is basically correct, however it would be advisable to split the loans into two facilities on a stand alone basis rather than have an all in one loan of $280k. This is because you don't want to give the bank too much control over what you are doing in the future. So what you would do is borrow an extra $60k against your place of residence as an investment loan and then get a seperate facility for $224k against the investment property at 80%. Hope this helps.
Kind Regards,
Cameron Perry
Perry Financial Strategies
(03) 9662 1999Very interesting first post.
Kind Regards,
Cameron Perry
Perry Financial Strategies
http://www.perryfinance.comHi Go Coastal,
In which country are you looking? Generally the best bet is dealing with international banks like HSBC who have a presence there. Also, how much are you looking to borrow?
Kind Regards
Cameron PerryPerry Financial Strategies
Level 13 / 30 Collins Street
Melbourne VIC 3000
Ph: (03) 9662 1999
Fax: (03) 9662 2044
email: [email protected]Hi Alastair,
Purchasing the development site should not be a problem with that much equity injected. However obtaining the development finance would depend on quite a few factors, such as your own experience, the margin on the project (according to valuations), the builder used, pre-sales etc. What is the estimated cost of the build? In terms of your CRA, it may be an issue, but there should be ways around it if the numbers on the development itself work well enough. Hope this is helpful.
Kind Regards,
Cameron PerryPerry Financial StrategiesLevel 13, 30 Collins StMelbourne VIC 3000Ph (03) 9662 1999
Fax (03) 9662 2044I think this has more to do with Macquarie stopping lending than any issues with Virgin the company, as the Virgin Money product was just a re-branded Macquarie loan.
Regards,
Cameron Perry
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi Tuggerwaugh,
As Kum Yin says, the first step would be to look at the zoning for the property, which will determine the minimum size for blocks to be subdivided into. Next, I would chat to a planning consultant about what you might be able to do on the land given its current zoning. If it is possible to subdivide, or perhaps re-zone the land, then you would look at what sort of prices you could expect for blocks given the possible size that you could sub-divide them into. Then you would look at the costs of doing the project and figure out if it was likely to be sufficiently profitable. Hope that gives you a basic idea. Good luck with it.
Kind Regards,
Cameron Perry
Perry Financial Strategies
[email protected]Hi Blaze,
I think you would have to look west if you want that price within 10kms of the CBD. Maybe Altona, or some parts of Footscray and the surrounding suburbs you might get a town house or villa unit for somewhere around $300k. You would have to go a long way east or south of the city to find townhouses for that price.
Kind Regards,
Cameron Perry
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044
http://www.perryfinance.comHi Alistair,
There are plenty of second mortgage providers at that level. I suggest you speak with a broker who has experience with these loans and they should have a few options for you.
Kind Regards,
Cameron Perry
Perry Financial Strategies
http://www.perryfinance.com
Ph (03) 9662 1999
Fax (03) 9662 2044Hi Dhillon,
I am based in Melbourne and would be more than happy to have a chat if you want to speak with somebody local.
Kind Regards,
Cameron Perry
Perry Financial Strategies
http://www.perryfinance.com
Ph (03) 9662 1999
Fax (03) 9662 2044Hi Hari,
I would suggest you speak to your finance broker rather than go to LaTrobe (I'm assuming your first loan is with LaTrobe), as there may be a more appropriate lender. if you are looking at buying a commercial property, you will need to have at least 25% deposit plus costs.
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi Bronte,
If you are not too far from Melbourne, I can recommend Guest's Accounting services who are our accountants and are fantastic. Their number is 95097033, ask for Morry Kalkopf.
Crashy,
Financing through new companies is fine if the directors are earning a wage as Brontes partner is, as this can still be used as income for servicing.
Kind Regards,
Cameron Perry
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044
http://www.perryfinance.comHi Fiona,
In response to your question, yes there are low doc and no doc products that would enable you to get a loan, but your husband would not be able to be on the title. In terms of your serviceability, I have to disagree with the other posters on here, I think a $300k loan is well within your capabilities, particurlarly given your strong cash base as you said should anything go wrong (there is also of course income protection insurance and your own potential for returning to work at some stage).
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi BMW330Ci,
The future income from the taxi plate can be used to service the debt so it doesn't necessarily matter that you can't service the loan right now, although you would have to demonstrate a capacity to service the existing debt as well. It is basically the same as if you are buying a business. There is no way you would be able to do a taxi licence loan without showing full financials unfortunately.
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi BMW330Ci,
Hard to say what the rates would be as they are priced individually, but 8.5% would probably be at the lower end. It may be possible to do 65% or even 70% LVR under some circumstances so the amount you have to put into the deal is no problem at all providing you get a decent price. The servicing can come from the future income from the taxi licence, so the low doc/ full doc applications don't really apply although you would need to provide full financials. One thing to watch out for with taxi financing is that the LVR will be calculated on the prevailing market value at the time rather than the purchase price. I hope this helps.
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi Andy, As Richard said this is common for securitized lenders. Take it to a bank, avoid the mortgage insurer and you will get it approved easily with that sort of deposit.
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi D,
I'm not sure that I understood your question properly, but if you borrow to buy future properties, yes you will need another approval from the bank at that stage. If you are talking about whether you need any approval from the bank as to putting cash proceeds from your sale towards buying another property, no what you do with your cash at that stage is your business.
Kind Regards,Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi BMW330Ci,
Yes a taxi licence is commercial security and will be subject to much different rates and conditions than home loans. For a start you would probably be looking at a maximum LVR of around 60% and the rates will be quite a bit higher than for residential property.
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044Hi Joel,
That is good that the val was accepted. Through most lenders (not all) you can re-assign a previously done valuation to the lender and have it accepted provided the valuer is on that particular lender's panel.
Kind Regards,
Cameron Perry
Director
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044It is possible to get short term private funds at 80% as a straight asset lend, but the rates are up around 10% + and you would be looking at around 2% in set up costs.
Kind Regards,
Cameron Perry
Perry Financial Strategies
Level 13, 30 Collins St
Melbourne VIC 3000
Ph (03) 9662 1999
Fax (03) 9662 2044
http://www.perryfinance.com
