Forum Replies Created
Hi Rishi
It is a common problem i hear from clients all day long but where there is a will there is often a way as each lender has a different way of assessing serviceability.
Had a forum client only this week who had been told No more by CBA yet we have managed to get them another $440,000 with a combination of restructuring and through a lender who assesses differently.
Be happy to have a look at your situation if you wanted me to.
Richard Taylor | Australia's leading private lender
Wasnt disagreeing that they wont finance any deal but meant you can forget them as far as competiveness in respect of rate and lvr is concerned.
Have done some really large rural deals recently 100 AC + and Anz have never even been close to the party
Richard Taylor | Australia's leading private lender
Hate to say the days of Anz doing anything rural have well and truly been and gone.
Richard Taylor | Australia's leading private lender
Think i answered this when you posted it on the other section.
Richard Taylor | Australia's leading private lender
Ryan you mentioned in answer to one of my previous post that you hadnt purchased a property with a Vendor finance loan yet are saying here that you purchased a property for only $18,000.
Are you saying that the total purchase price was $18,000.
If not do you want to tell us more.
Reason i mention it is because you couldnt seem to understand that not mentioning the Vendor Finance part oin the initial loan application is fraud so i was wondering what your Bank said when you disclosed it.
Richard Taylor | Australia's leading private lender
Yes look at the council zoning.
Just because it is a big block of land doesnt mean you can build multiple units.
I live on just under 3 / 4 of an acre a stones throw from Brisbane CIty and you definately will never be able to build multiple dwellings on my block or my neighbours.
Richard Taylor | Australia's leading private lender
Hi Che
Sorry cant suggest anyone in SA.
Richard Taylor | Australia's leading private lender
I admit that is my understanding also as i have never seen with the exception of St George a policy that says the loans "Must" be crossed when both loans are with the same Bank.
Richard Taylor | Australia's leading private lender
Hi Nick
Firstly welcome to the forum and I hope you enjoy your time with us.
Not a bad opening question so here goes with an answer or two
Is it easy getting permit to build units in the first place. It is if the property is zoned for such and the land size allows for 3 units to be constructed.
What would the approx cost be to build all 3 excluding the land. Bit like saying how long is a piece of string becuae it will depend on the size, quality of fittings etc. Single storey lowset or garages below and units above? Unit, Townhouse or 3 x single residential dwelling. There are so many variable it is impossible to give you a figure.
Is it easy getting loan with 3 parties together. Not ideal but if you all 3 want to be involved then i guess there isnt much choice. Wont worry at this stage about what entity you setup to buy the land and do the construction but bear in mind with 3 of you having ownership to the Title all 3 of you will be on the loan application. All of your liabilities will need to be taken into consideration when assessing the serviceability.
Would suggest a trust structure if you intend to buy, build and onsell.Is it easy to sell the units and sub-divide separatly once built. Would normally be condition of the Development approval. Course you will need to decide if you make them Strata Title or can get them to be Freehold. A good local Town planner should be able to help you further.
Richard Taylor | Australia's leading private lender
Amie who is the current lender as a couple of the 100% plus lenders who are no longer with us arent doing further lending.
SGB is the odd exception however it doesnt sound like a Dragon deal.
If you paid down the principal and set up a LOC or similar to say 90% at the same time as you did the refinance you could create the sub account Terry is talking about.
Keeping thing separate will aid come Tax time and also means the interest is deductible and easily recognised.
If you have to refinance because your current lender is no longer in the market or the SVR is ridiculous then bear in mind the LMI costs again.
Richard Taylor | Australia's leading private lender
Have financed a couple of properties up there recently for forum clients and have never had a problems with Bank valuations so that is a good start.
Rental returns seem to be pretty good from what i have seen and growth prospects are certainly encouraging.
If you have any actual properties you are actually looking at and want an Residex report emailed to you shoot me an email with the full property address and I will send one up.
Richard Taylor | Australia's leading private lender
Remember many lenders dont pay a trail in year 1 so maybe takes a while
Also to give 50% away seems criminal.
I have a couple of guys who i work with and we pay them 70% of what we receive.
In most cases we write up the deal and place through our contacts they merely locate the enquiry and write the deal learning along the way.
Richard Taylor | Australia's leading private lender
$600 seems about right.
Think i paid around $450 but it was some years ago.
Richard Taylor | Australia's leading private lender
Under Breakfree Anz have no account keeping fees.
Richard Taylor | Australia's leading private lender
Hi Longman
Welcome to the forum and I hope you enjoy your time with us.
The odd lender who wont charge LMI over 80% these days but charge an equivalent by way of a risk fee or similar.
None of the Credit unions will waive LMI so they are out.Guess question would be why do you want to refinance the loans ?
Richard Taylor | Australia's leading private lender
Hi again Vis
I think you might be getting a little confused on how best to structure the deal and what you can and cant claim.
Regretfully if you intend to purchase the next property in your sole name regretfully you probably wont qualify for the FHOG as your partner has already received it. In saying this playing around with the equity numbers may save you a little bit when it comes to LMI but without all of the information it is difficult to comment.
Richard Taylor | Australia's leading private lender
Hi Che
It is difficult to give you advice without all of the available information.
It still maybe worth selling the property into a Trust or if the property is owned jointly transferring it to the other party but hard oen to call without extra info.
Regretfully refinance or using a LOC wont help you in maximising some of the Tax deductions.
Make sure you dont cross collateralise the 2 loans as i mentioned earlier and split them so you have flexibility.
If you want to give me a little more info be happy to work the numbers out for you.
Richard Taylor | Australia's leading private lender
Have a look at Bantics Accoutants website as they have some useful freebies
http://www.bantacs.com.au/booklets/Rental_Properties_Booklet.pdf
Richard Taylor | Australia's leading private lender
Hi both
Firstly welcome to the forum and I hope you enjoy your time with us.
In regards to Vis's question.
Are you both living in the existing property as a PPOR or is it an investment property.
If it is a PPOR then certainly dont want to be using cash for a deposit.
If not then much of a muchness.
Usually lenders have no idea how to structure your loan to be Tax effective and say things like "use the redraw" .
Richard Taylor | Australia's leading private lender
Simply because what starts out as a PPOR can often easily end up being an IP when you decide to move out and upgrade and then want to keep the original PPOR as an IP.
Flexibility is key when buying property and sourcing loans.
Richard Taylor | Australia's leading private lender
