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Just checking out the updated site. Yes it’s been a while.
Sorry, borrowing power.
Assuming the $55k is net and not gross (if it is gross borrowing power will be less)
and your monthly repayments are $600( if they are higher, will lower borrowing power).The approx maximum, with these figures, would be $360000.
These figures have only been used through one lender, other lenders will differ.
When suppling debts for borrowing power, only mthly repayments needed for current loans and limits of credit cards.
In regards to FHOG and daughter etc.
You can’t use your income, unless you go with the CBA’s new loan, however need equity in property.
Besides that No Go.
I’m not to sure the difference between the states, however I know in Qld a real estate agent was sent to jail for doing a flip without paying stamp duty.
One thing to consider in this example; he was an agent, could have come under different laws etc.
Another thing to consider; you didn’t pay stamp duty, this time.
I’d check with another solicitor.However, very good, if it’s correct.
Can you say who the developers are? Or at least what state?
As I’m just about to purchase some units and land Off the Plan and don’t want to be caught by the same Co.
Thanks
If you have a good income, you may be able to receive your own home loan for the purchase, and use the vendors finance for the deposit + costs. Or if the vendor is willing to play ball, he/she may do a gift back, saving you what ever amount he gifts to you.
If niether of these are options there are 100% purchase home loans, also private funds available for deposit lending.
If you would like to know more email;
why do not you save some money and use a gift from the vendor?
Stuart; I’m authorised.
It does definately not come from your own super fund. That is highly illegal.
The funds come from the profit of the total super fund. For example; how much profit does MLC make from their superfund? I know most people don’t see the return in their own super fund, with all their fees etc. However, I’m sure these companies make a profit. Well from these profits, one company has decided to invest these profits with their members for the ninche market of deposit lending. It is only available to members.
They are also looking at bringing another product on the market, that is a short term loan for the FHOG. That is, they will lend the $7000 for FHOG, if the customer is going through a lender who is not accredited to process the FHOG. This product also, would assist wrappers.The loan is Interest Only based from terms of 1 yr – 5 yrs. So, if you have a $20000 loan at 10%p/a, your repayments will be $166.67 per month. Compared to principal and interest over 5 yrs, a monthly repayment would be $424.94 per month. There are no penalties for paying the loan out early, unless under the 12 month time frame.
The interest rate varies on a basis of rate to risk.
If you default, the company, will go through the normal process of recovery.
The first approach would be to refinance, this avenue would be exhausted, if no result, then1. default interest rate, normally 3% higher
2. default on CRRA
3. court
4. forclose on propertyThe company does not have any right to take the funds out of your super, to repay the loan. That is illegal.
Your super funds are protected as normal. The best thing is your super will have a min return of 6%p/a fixed. This rate is the bare min, most funds are currently on higher returns than this.Forget Unit trusts etc. this is the best way for anybody to do it.(probably the only way)
How it works is easy (using super for deposits etc.)
You need to roll your super over to the Super fund company, with this product.For rolling over your super they will lend you, your required deposit amount. It’s that simple, you just need to contact me via email to get started. Funds are normally available between 2 – 14 days.
In regards to a comment on setting up Self Managed Funds – you do not need a lawyer or accountant to set up the fund, I can do it for you in 2 days depending on who your super is with. Heck you can even do it yourself(not in 2 days though,probably about 4 weeks). However after March 1st, it will be a different story, a lot of accountants won’t even be able to do it.
There are companies that ask $500 to set up the fund for you, however these companies do not provide you with minutes etc. all the little things, that are just as important.
I set up your fund for $500 and provide absolutely everthing needed – deeds , minutes etc..It’s quite easy to use your super for deposits and property etc..
Takes approx 2 days – 14 days to access the funds, depending on where your super is now.
You can access most of the fund, need to leave some for yearly audits/fees.
Costs $500 application fee
There is a lender that will lend up to 100% on commercial deals, especially in a scenario like this where it would be a joint venture, however it does depend on the size of the deal, they would only look at a min of $1-2m, then it would have to be good.
I think you made a mistake, Terryw.
“If you are Bankrupt or in a Part 9 or 10, you are given the worst rating.”
I don’t know of any lender that lends to people that are currently bankrupt?
I think what Terryw meant to say was; If you are discharged bankrupt or in part 9 or 10 … etc..
This means, yes, 1 day out of bankruptcy, you can recieve a home loan.
Also there are other lenders than bluestone that will lend in this situation and depending on the customers needs offer very competitive rates and exit fees etc..
Just take it to your solicitor or conveyencor, they will disburse funds correctly. Just make sure you make it clear to them, that, this is a highly important part of the transaction. Keep reminding them.
It would be a second mortgage and registered as one. Terms would be decided between yourself and the vendor.
Some terms would be at 7 -10% p/a depending on the vendor.
For the vendor, this beats putting it in the bank at 4% or what ever may be the case.
The second mortgage differ’s from vendor finance as the property would be in your name secured by 2 mortgages. The 1st by your lender, the 2nd by the vendor. So, you have two loans, two repayments.
Whereas with vendor finance the property stays in the vendors name until last payment or refinance.
If you are considering a second mortgage there are companies that can provide them at approx 10% p/a, with high LVR’s. Otherwise a better approach would be with a non-refundable gift from the vendor (gift back).
There are a couple of ways to do this.
1. Listing price of property is $100k, you negotiate with vendor to buy at $80k. $20k equity to be used.
2. 2nd mortgage from vendor
3. As Mel said Off the Plan
4. As Mel said Long settlement
5. Use your super.
Also, you can get away with no deposit to agents. Generally, when you are using these tactics, real estate agents know the status of the offer, therefore let the deposit slide. Although, as a broker they probably let my clients off, as they (real estates) are constantly updated and assured of the sale going to settlement.
If you want full details on how,email me.
Finance will not be an issue, depending on your deposit, location of property,etc.
There are lenders who will lend to you while you are currently in a Part 9 or Part 10.
Max LVR 85%, if providing full financials, 75% LVR if self certifing.
Contact me any time, for full assesment.
Bruce
Yes I am a broker. In the same area as you, Sunshine Coast.I am with an national comapany and there is only few differences within states. Mainly, difference of lenders for each state. Generally, no difference of rates, with the exception of some. For example, Adeliade Bank in QLd is sent through to many different mortgage managers who set different rates, however in SA you go direct to Adeliade bank.
To clarify things for you.
Lo – Doc loans
The main Lo- Doc’s through A lenders require min 2 yrs self-employed or investor, however, you do not need to provide ABN, so people can get away with less. This is what firstbruce is suggesting.
However, there are lenders who provide finance to self-employed and they only have to be applying for an ABN, yes that’s right,hasn’t even traded yet. These loans are obiviously at a higher rate and will only go 85%LVR, where,with more than 12 months trading you could go to 90% LVR and with more than 2 yrs 95%LVR, still at the higher rates. Providing tax returns after 2yrs you could apply for the 100% products that are only 0.3% higher than the standard variable. However Lo-Doc loans are generally the most suited to self-employed and investors.Well, the preffered structure.
Adeliade Bank is not toobad, very competitive, however there are some a bit better. I would have to dissagree with RAMS, as their break costs are 2% and have an half yearly fee, that is $96, approx $16 p/m.
Most Lo-Doc’s revert back to the standard variable after 2 yrs. Some lenders are the standard variable, however these lenders put harder criteria’s and are longer in their process time. Require more statments like credit cards and lower LVR’s and min net assest’s.
In regards to providing financials, you should only need to provide a Statement of affordability, 100 points ID, Rates Notice/Purchase Contract.
Credit Rating, well I think you’ve had this answered. But to add to it, if you had defaults,
you may need to approach a non-conforming lender, their rates are generally 2% higher than the banks. This does depend on the defaults though, some start at 6.6%.In regards to partner, No.
If you would like any further information, borrowing power, the best lender and rate for, email:
With your car default, depending on the lender, you may not have to pay this out. Normally, lenders would require all defaults paid out, prior to or at settlement(best to payout before settlement as lender, will lower interst rate nad increase LVR). In this instance ( you are disbuting the default), it may not be a requirement to pay this default, before or at settlement.
In regards to the other default ($800), I wouldn’t be to concerned over, it certainly won’t stop you from getting a home loan. Also, in regards to applications on credit file, still not much of a concern, lenders just require explaination, especially, if they are close together in time frame. Example; 3 or more home loan applications over a 3 month period.
Need to know a bit more info to fully assess your situation. Only minor things like Purchase price and area etc.
Looking forward to talking.[email protected]
0428670077
