Forum Replies Created
Tess i have a spare copy of Trust Magic you are welcome to if you want to shoot me an email and cover the postag
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Bugaloo have you considered selling the property on Vendor Terms in order to improve your cash flow position.
Might certainly get you out of what appears to be a tight spot.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Claire
Ebook sent.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Vmilne
Firstly welcome to the forum and i hope you enjoy your time with us.
If we go back to answer your original question then in the current climate with 5% genuine savings and sufficient funds to cover your costs you should be able to secure finance to cover the balance (subject of course to income and credit history).
Remember in Qld the old FHOG has been replaced and is only available on new property or construction.
Still wont be any Stamp Duty but we will need to cover your other acqusition costs.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Boo
Setting up an managing your own SMSF is something which can be done and has been mentioned previously will give you both choice and flexibility of investment.
Last night i held an investor presentation in Melbourne on the very topic and this morning we have 3 forum clients who i have sat down with and working the way thru with them if it is right for them.
Many Financial Planners will try and talk you out of doing so unless you wish to invest in a Wrap product or similar rather than property but i for one am an avid property holder and hold a fair bit of property in my SMSF.
Leverage is another option of running your own fund meaning that you can borrow to invest in Bricks & mortar and that is something that Australians like and feel comfortable as an investment.
Sure it is not for everyone but anyone who shares a passion for property should seriously consider it.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Claire
Good to hear the information is of interest.
If you are interested i wrote a SMSF Ebook last year and will happily send you a copy.
Just need a email address as it is in PDF.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Yes course hindsight is a wonderful thing.
I think we were suprised we managed to even register the Company name in the first place.
Course with the FHOG dying down doesnt have the same affect but still a cool name.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Appreciate that Terry.
Yes there are 3 or 4 lenders that will go upto 80% but it is not just a one lender fits everyone rule given the complexities of SMSF lending and also the way in which lenders serviceability criteria works.
It is certainly not the same as a standard housing loan.
Other issue is of course location.
Metro or certain regional areas are fine and can be done at standard SMSF lending rates others are deemed slightly higher risk and lenders charge a premium.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
All comes down to what you value your own time at..
If you work fully time and earn $20 / hour and a painter charges you $30/ hour then take a week off in crease your income.
If you earn $100 / hour then it is simply not financial sense.
Personally i would never do work on any of my properties but then some people love getting involved
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi booty
No you are not dumb at all.
I am a fellow pom and when i arrived in the mid 90's had no idea either.
As has been mentioned it tends to be the build in part of the verandah that can be converted to another bedroom etc.
In saying this i thought a handle in forum speak was a thing on the end of a broom.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
A settled default makes no difference whatsoever to a major lender especially at that size.
Hate to say you are going to end up paying over the odds for the loan for the next couple of years.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Flower sorry but i have to say i believe you are doing it the wrong way round.
You would be better off using your cash reserves up your sleeve and try and gear on each new IP.
Without knowing all of the details it is difficult to comment as to what documents you would need in order to obtain a finance approval but limited documents are still around in variety of models.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi p@tty
Yes Brokers do this all day long and often we work with a client 6 months before they are read to purchase.
Have to disagree with Kong on this one as the online calculators are useless and really have no bearing or understanding of some of the finer points of Credit.
Sure they may give you a broad brush stroke but nothing else.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
For ever person who says it can't be done for whatever reason there are also others of us who don't listen and just get on with the business of making a very tidy living in the acqusition and development of real estate.
This then gives the opportunity to assist and educate others follow the same path.
Always going to get differing views and there is no right or wrong answer.
Some people just don't have the time or the education or indeed the initial capital or ability to service a loan but that doesn't mean you give up and do nothing. There are many ways to get involved.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Terry for the first couple of years it ranked higher than the Govt (FHOG) Grant on Google.
We used to field calls asking if we were part of the Qld State Govt.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Yes guys probably the same Planner that who was still recommending his clients invest in Westpoint.
I had Planners here in Brisbane tell me i was stupid not putting my clients into Macadamia farms etc.
Don't worry whether it was good or bad the commission was 30% and that was all they interested in.
Thought i was very conservative for promoting property as a balance alterrnative.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Does he want to buy the front house and live in it or be a potential party to the JV ?
Terry has given you some excellent advice in relation to this so even though he is based in Sydney why don't you engage him to act for you in setting up the structure.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
One man band or multi agency they are still required to be licensed and be aware of the current legislation.
I run a 1 man band mortgage brokerage and financial planning firm and would not expect to less licensed or qualified to a firm with 20 partners.
A phone call to the right Govt Agency could clarify the situation and maybe put your mind at rest.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Amazing what advice some so called experts provide.
Met up with a couple of forum clients earlier today in Melbourne and amazed what advice their existing Financial Planner has given them on what they can and cannot do with their SMSF.
Nothing amazes me in the current climate.
In saying this dying is a radical way of getting out of getting out of a liability claim.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi zorro
Firstly welcome to the forum and i hope you enjoy your time with us.
Yes an 80% lend on a residential property is available although a block of units (depending on the number in the block) maybe considered a commercial lend.
There are other issues you also to consider if you are buying a block and have any intentions of Strata Titling them.
I am currently in Melbourne doing a few SMSF presentations to Investors and there a couple of areas investors need to be aware of when buying inside the fund itself.
We work with a couple of Buyers Agents in Victoria however need to remember that a Buyers Agents fees are not Tax deductible in the fund and the costs are added to the cost base of the property when sold. Again a couple of ways around this to maximise your deductions.
The security could be an issue with certain lenders depending on the post code so would need information in order to confirm what could and could not be done.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
