Forum Replies Created
Hi Ando
Are ok no you don’t need an ACL for a simple Lease option.
Must admit most buyers we put into homes want a fully blown instalment contract hence we utilise our licence.
Find it gives them a lot more flexibility.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Lisa how are you getting around the ACL requirements ?
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
In Qld it is normal to accept an pre-offer letter i.e email with a note of your terms and conditions.
The Selling Agent can discuss this with the Vendor and if agreement is reached those terms can be put in the Contract of Sale.
Fairly standard and the way we make all of our offers for our BA Clients.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Akhilla
Seriously won’t matter where you Accountant is based.
Look all of your team most things can be done by email, phone, skype etc
Just one thing to bear in mind. Property investing should be treated as a business not a game.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Akhilla
Your borrowing capacity will not necessarily increase dramatically merely by buying in 1 name or another.
Lenders will in the main assess you jointly and severally responsible for any joint loans i.e your PPOR, credit cards etc and will certainly assess your living allowance accordingly.
The questions should be more based around your investment strategy and what you are wanting to achieve.
If you are looking at building a long term portfolio i would be buying in joint names (assuming your incomes are similar) as you will have more flexibility going forward.
As always choose your lender carefully.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Codie
In QLD whilst you can keep the Building Boost if you rent the property out in 6 months you will loose the concessionary Stamp Duty.
You are required to occupy the property for 12 months to claim this.
Expensive to pay it back in month 7.
Hi Jess, Maximise your borrowings. I would go for a 90% lvr and keep the cash up your sleeve. You never now when you might need it.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Ring BCC Town Planning Department and tell them you believe the dwelling you are living is illegal.
You are concerned for your safety and could they send someone round to look at it.Treat the Bond and Rent remedies as separate issues.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
You wont get a renovation loan approved on a LOC basis with equity as Terry has mentioned.
If you are using your PPOR as security then the purpose of the funds will immaterial and your limit will be approved irresective of the use.
Just make sure that taking the LOC doesn’t prohibit you buying the IP because servicing fails.
Balancing between the two is the way forward and be selective in your lender choices.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
At the moment we are getting 6 months Builder Terms on land releases.
We normally don’t settle on the land but buy them thru Put & Call Options taking 5-10 at a time.
Lot more efficient that way.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Jojo,
If you are in a position of strong equity and weak servicing it wont be a matter of looking good to a potential Bank as every lender on a Coded loan will base its lending around your ability to repay the debt according to their own criteria.
Whilst most lenders have adopted a similar servicing as a result of the higher APRA requirements there are still alternatives.
Having both loans with the same lender is probably not a good idea especially if you want to grow your portfolio.
Too often investors focus on rate or a particular feature when they should be looking at the bigger picture and planning their choice of lenders around their ability to maximum their borrowing.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Jon,
Many other lenders will do it but often to prevent fraud need a signed letter from the mortgagor to confirm you are aware it is unencumbered.
Can’t see any reason why you would do it this way.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
In my opinion 10K is far too much for a BA.
We charge a maximum of $6000 + GST and provide a full service start to finish.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
I would be very wary of certain organisations you have mentioned in your initial post. Remember all that glistens is not gold.
Settling on a 200th property means nothing if you have debt on all of them.
I retired at 40 with 40 properties without any debt at all and a portfolio value in 2004 of $26M. There is a big difference.
Like anything a mix of strategies is required but bottom line is most people can’t buy more than 10-15 properties because they don’t have the servicing capability or the equity.
I do everything else but buy shares and gold in my SMSF.
If you are worried about the goal posts moving prey that Labour don’t get into power with Bill Shorten wanting to implement his property tax changes.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Chattaway
Yes nice in theory but have to remember servicing requirements for investment properties has changed considerably over the last 6 months.
There are now a number of hurdles to overcome some of which include:
1) Many lenders factor in a monthly expense for board / rent even though you maybe living at home.
2) Lenders accept between 50-80% of the gross rent of the property. If the property is still to be leased they work off their valuers assessment rather than a rental appraisal from a local agent.
3) Whilst you might be paying circa 5% for a 90% interest only investment loan lenders in the main will factor in an expense equivalent to a P & I repayment at 7.4%.The list goes on and on.
Also access equity over and above 80% has become harder and harder so you don’t want to find you have equity in the property but cannot access the funds.
A good investment mortgage broker should be able to run some numbers for you once armed with all of the facts and give you a better indication on the number of properties you could add to your portfolio.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi TM
@jacm who is a member on the forum here is a Buyers Agent who covers the Geelong area.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Dave, assuming you have clean credit, good repayment history and can prove your income fairly straight forward to 80% lvr.
If the property is a PPOR there are some excellent equity loan products around.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Your loan manager will NOT offer a Nodoc Non Coded loan.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Aki
Welcome to the forum and hope you enjoy your time with us.
Couple of quick answers:
1) No financing a deal in a new Trust is not difficult if the Trust was set up purely as a Holding Company.
2) Unless you are buying at the lower end of the market you wont finance a deal with a lvr > 90% so 20K will not be sufficient as a deposit for each property. Going to need minimum of 10% of the purchase price plus acquisition costs i.e stamp duty, legals etc.
3) Each area will grow at different rates of growth so not able to answer that for you.Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Why not look at a Put & Call Option in a State where there is no Stamp Duty on Options.
Something we are very active on here in Qld with prospective Development sites.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Corrine
Are you looking for a Buyers Agent in Tas ?
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
