Forum Replies Created
Jazz
Yes you can go 60/20 but i guess i would ask why you would want to give someone a greater share of the equity in your home than you have to. Maybe i am missing something.
No both loans would need to be repaid once the property is sold or you refinance.
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Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
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Hi Daz
Firstly to the forum and don’t be scared as i promise we do not bite.
The question as to whether you need to talk to a Financial Adviser or your young Accountant i guess all depends on what information you are trying to obtain.
With regards to the Big C i would strongly think very carefully before proceeding with any loan that they offer.
The organisation cares little for investors and is only interested in themselves and how much money they can generate. Don’t get me wrong most Banks are similar the difference with the CBA is that the will promise the world initially and then fail to deliver down the track.
They will want to cross collaralise your loans and once you have you toe in the water with them will call the tune in how much you can borrow and what security they want.
By the way 7.34% isnt a great rate but there is more to the product than merely the bottom line interest rate.
The world is a lot bigger than just the Big C so liaise with a good Mortgage Broker and get him to structure your loan correctly.
A little time spent now will save you thousands down the track.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi dan
I am not aware of one but that means nothing.
We are trying to organise one on the Northside of Brissie here so will let you know if that comes off.
Feel free to post any questions in the meantime and we can all through in some imput.
Good luck in your investing.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
All previous posts have contributed to your decision making process but you also need to think of a couple of other things:
1) It is your intension to buy and hold or buy and sell these properties as the entity you will use to do so is important.
There is no point in setting up a Company structure and then finding that you keep the property for 2 years and are unable to claim the reduction in the GST or that you wished you had purchased using a Trust so you can distrubute the income accordingly and protect your assets.
2) Is your loan structured correctly to enable you to go forward. Are you avoiding cross collaralised securities which if you buy and sell will become expensive in documentation costs and are you set up to enable you to reduce the interest on your home loan.
Many other questions needs answers but thought i would through these in for starters.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
I cant admit to knowing any local Building Inspectors but if you need an excellent competitively priced Solicitor then you cannot go past Leonnie Dixon at CSM at Beenleigh.
She can be contacted on 07-3807 2233.
I have no association other than she has acted for me 13 years and I now any of my clients i have referred to her have ever had a problem.
Let her know i recommended you and she will probably put my fees up next time (only kidding).
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Anthony ok that makes sense.
CBA wont do 14 sq M as a stand a lone deal but maybe if you have equity else where.
Linda, Waterford is another up and coming area especially with the river view dont think you can go too far wrong with that as secure investment.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Rob i now Jesmond well and think that sounds like a good investment.
As you say longer term you should get both capital growth and some nice cash flow. As they are onyl 4 units you should get 80% LVR on that at residential rates even a good fixed rate thinking about it should make it almost C/F neutral.
Also i must admit i do not know 1 lender that will lend 80% on a 14 sq M unit away from private funding.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Cyberman
Hate to be the bearer of bad news but considering the Reserve Bank Cash rate is 6.25% you will have absolutely NO chance.
Depends on what you are after variable / fixed rate , LVR, monthly / annual fees / full doc or lodoc, loan size etc etc.
Remember the lowest interest rate is not necessarily the best loan. There are many other factors.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi Julie
Thanks for the reference. I havent got your deal through yet but i still love ya.
If you are after the best property accountant in SE Qld try Steve Hodgkinson at the Gold Bus Group on 5532 2855. Tell him i sent you so you can get past the receiptionist as most good Accountants are not taking on new clients.
Steve has been my accountant for nearly 13 years and really knows his stuff.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Genie
With a lot of the new shared equity loan products coming to the market over the next few months the lenders are targeting the young individual looking to get into their cheaper first home.
1 bedroom units do and always will do fit that mould. With the divorce rate climbing people want their space without the cost that goes with a larger property.
A lot of the problem is that not a lot of 1 bedroom units are being constructed due to the price of the development land and the greater GR’s are in the 2 / 3 bedroom units due to the higher end price.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
MC
As long as they are not a studio unit i think they are absolute winner. I own a block of 1 bedders in Brissie and the rental returns have been excellent.
Always are the easiest to rent as many people are now staying single longer and dont want to end up taking a flat mate to subsidise the rent.
Just be careful on the post code location to make sure that it will be acceptable to your lender but a good MB should be able tosort all that out for you.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Bill
All i can assume is that your Bank Manager and associates are not development minded.
Gross Realisation lending is standard in the Development market and most institutions take this as the figure which they lend against.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
What are they Financial planner / mortgage brokers want to tell us more ?
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi Kevin
Difficult to provide a defined answer as everyones circumstances are different. Trust come in vary guises each having a particular place in the market
If you are looking for Asset protection and also want to be able to claim the negaitve gearing benefits then a HDT is worth considering.
However before you start you probably need to make sure all the fundimentals are in place with regards to your loan structure.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi lisa
Firstly your friend was pulling your leg as you are unable to roll over your CGT into Super. You are however under certain provisions able to sell your going concern business and roll over the funds into your Superanuation. To complex to outline here.
Before you put your property on the market there are many considerations to make:
1) Remember that CGT is calculated on the contract dates and not the settlement dates so you may need to check the original purchase date to see whether you qualify for the 50% reduction in CGT.
2) In what entity did you purchase the property. If it is in a Company name then no reduction will apply however you may not wish to distribute all of your profit from the company and keep retainined earnings for the following years.
3) I hate to say if the profit is $175K then it is likely you will be up for the highest marginal rate on this being 46.5% subject to other considerations.Do you have to sell? Why not use the increased equity to borrow against and create more wealth. That way you will pay NO CGT.
Many many things to thing about before listing it for sale.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi N Brown
Based in Brissie but have a few clients in Toowoomba and be happy to assist.
Mind you i guess it is upto my clients to say whether i am a good MB – lol.
References please.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi Srini
If you live in a PPOR and then decide to buy another one and rent this one out you may use it as security however are unable to claim the interest as a Tax deduction due to the purpose of the funds being no qualifying.
One way around this is to consider selling your PPOR to an HDT and borrowing the full amount of the valuation.
Assume property is valued at $400K you can borrow the full amount although will pay stamp duty on the transfer. The total amount of interest charged on the loan becomes Tax deductible.
There are a few other tricks of the trade and will appear in my next newsletter.
Hope this makes sense.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
As you are in Qld why not ring Steve Hodgkinson he is a Trust specialist based on the Gold Coast.
His number is 5532 2855.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
As Amanda has mentioned sometimes equity can be your best friend.
Having just started a new business should not be a detriment to pursuing your goal of wealth creation.
Structured correctly with a Nodoc style loan you may find that you can free up some equity to invest in either your own business to increase cash flow or to invest in a +cash flow property.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Hi Jenny
With most lodoc lenders they will charge an early repayment fee or similar in order to recover some of their lost interest. This is on a sliding scale dependant on how quicly you sell the property.
In saying this most full doc lenders have no wised up to clients buying, renovating and re-selling and charge early penalties on their standard rated products. You might get away with it once but 2nd time around the Bank will consider it to be a business and hence you will be charged accordingly.
There are the odd exception but they want a little more documentation upfront.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
