Hi Andy

Yes anything under 50 sq M it is a real concern and depending on the post code (lenders dont like real inner city unit) actual size and whether it is a studio or 1 bedroom unit will determine:

1) Whether it can be financed.
2) What ovr you can go upto.

Unfortunately anything under 35-40 sq M probably wont qualify for LMI so definately a loan of 80% or less and depending on the actual Sqm will determine the number of lenders who would consider it.

More information required to enable a more structured answer.

John

Might want to read the article i wrote in this months API mag.

Perhaps one of the Mods can clean this poster up.

Perhaps one of the Mods can clean this poster up.

Hi Apu

Firstly welcome to the forum and I hope you enjoy your time with us.

A good buyers agent can be worth their weight in gold and many of my clients use services of such to find and research their properties so money well spent.

With regards to a good mortgage broker remember that most of us are paid a commission from the lender with whom we place the business so it is not a matter of being charged a brokerage fee for service. In fact any broker that charges for a standard investment style loan should be avoid.

In saying this one of the fundamentals in purchasing an investment property is the structure in which the loan is established. This is half the battle to avoid having the securities cross collateralised and the loan working in your favour and not the Banks.

Any idiot can arrange a investment loan but few now how to structure the loan correctly to benefit the customer.

If you want drop us an email certainly happy to give you some suggestions.

I agree with Dan.

Also bear in mind before you make the jump that many lenders are tightening up credit policy when it comes to Trusts and Corporate Trustees.

The old days of getting a nice interest rate discount or paying a reduced application cost have almost all gone where there is a Corporate Trustee involved.

Many Accountant dont take this into consideration but when you add 0.7% interest rate margin to the total loan amount because you have used a Pty Ltd Company Trustee can make it expensive and less atractive.

This is not to say that rate discounts are not available but are certainly limited to a few lenders.

Yes you will need to fund the shortfall yourself.

Eric

Would you like to have a small wager on this Obviously, the FHOG will be ending this 30th June anyway.

As Terry has mentioned 100% loans are a thing of the past and after Westpac announced the withdrawal of  their 95% LVR yesterday that leaves only NAB out of the majors who will consider more than 90%. (I am advised that NAB will withdraw their product within the week).

As a non resident regretfully what you have told is correct with a maximum borrowing of 80% subject to evidence of deposit.

The Dragon otherwise known as the fee fee Bank is a great one if you want to be charged for everything you do.

The Banks products have changed dramatically over the last 6 months or so since they have been owned with Westpac and certainly we would struggle to find a reason to use them these days.

I guess we would all like to now who is going to be the cheapest lender over the term of the loan but without a crystal ball that is difficult. In the current environment it is more of a matter of getting the loan over the line first with a competitive product and suitable structure as the cheapest lender today may not be tomorrow.

So many smaller lenders such as CUA do not have a complete suite of products and you might find what is suitable for your needs today you grow out of with the next property.

A good mortgage broker will be able to advise you on how to structure the loan and ensure that it works for you and not the lender.