Forum Replies Created
Hi there
You have 2 real options:
1) To utilise the security of property 1 and borrow against the equity to funds the next IP. Dependant on values and amounts required then you may incur LMI on the total loan.
Alternative is to draw out some of the equity and use this as deposit and have the 2nd IP standalone. Even if LMi is incurred then it will be on the lesser loan amount.
2) Option to withdraw some of the offset account funds and use this as a deposit if you dont wish to utilise the equity.
If you are intend to hold the properties longer term you could look at a mix of fixed and variable (with your offset) as there are many attractive medium term fixed rates going around.
Hope this helps.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Red
No you will require either a License to Occupy / Lease Option contract. The legislation will vary from State to State and you will need to find a Solicor au fait in preparing such a document.
Is going to cost a bit more than the average conveyance so make sure they are committed first.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Jessica
Can certainly recommend a Soliciotor but firstly tell me what services you require.
Do you need a Solicitor to purchase another property or for some other matter. An is the CBD a must?
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Certainly is a breach of the Motor Dealers and Property Agents Act in Qld without being licensed.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
George think you may have misunderstood the post.
You can get 100% finance if the house is been relovated to the land and the Bank fund it then. Jett was referring to a transportable house built in the yard and financing it prior to being moved.
You will not get LMI so > than an 80% lend is out of the question.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
It is funny i had some clients 20 years ago who were going to wait until next year before they lept in and tried to imporve their financial position.
Some 20 years later they still have not done anything and spend their time regreting.
Just because you do not happen to find a +cash flow property in realestate.com or domain.com it odes not mean you are not able to make money in this current market.
Wrapping (not in SA), flipping, developing or rehabbing are all ways to generate cash flow in the current market. Shared Equity schemes and helping others who cannot afford 100% of the current price but want a foothold in the market and are happy to forgive some of the future capital appreciation all give you a great income in any market.
With equity you have many options available to you and each year you sit and ponder another year goes by.
One of the Companies i started in 1996 specialised for 9 years in wrapping and that has provided a substantial monthly income as well as helping many buyers into their own home who without out our help would have not have had a chance.
Sure prices will fluctuate and interest rates will go up and down but the general outlook for the economy is good. Ask you parent what they paid for their 1st property and see how that compares to todays prices.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
I am with Simon i think the lender may have been telling you his lending policy.
Use the PMI post code locator and you will see they policy is far from that.
I have financed many a deal in the depths of NSW & Qld where the town certainly has less than a 15000 residents.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Ohhh another one of your ad’s 8 out of 8 aint bad
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Hi Dee
From the specific question you have asked i do not feel that it is an area a Financial adviser would be best suited to adivse you and you maybe better off with mortgage broker.
In saying this when you increase your property or investment portfolio there are other consideration as well as the gearing effect which need to be analysed i.e Risk cover etc.
Only a financial planner is able to provide you advise in this respect.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Hi Opportunity.
No it is the Contract date as stated previously.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Hi there
If they have only been approved for $220K from their financiers then asking them to pay a further $40 in 6 months time maybe difficult.
Couple of choices:
1) Take the $220K now and then offer them say 60 months to repay the balance.
2) Suggest they talk to a mortgage broker to see why the reason the were only pre-approved for $220K. Remember if interest rates go up again inNov / Dec then their borrowing capacity will fall.
3) Look at a Shared Equity scheme with them hold 220 / 260 th of the property.Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
2 Posts 2 adverts Not a bad start to your posting
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Hi Bluemist
If you are happy to offer you own property as security then why not borrow the full amount inclusive of costs through a standard mortgage rather than bridging loan.
If you merely want to use the house you are buying as security then offer a deposit and do similar. Anything over 80% will require LMI hence the suggestion of offering 2 securities.
30 days is fine to settle a transaction depending on what State you in as most of the loans i arrange for clients have similar settlement dates.
I concur with V8Ghia and would try and avoid bridging loans if you can help it. Either way if you only need the funds for a short period of time then it is likely you will incur some form of DEF but to secure the property it may well be worth it.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Hi Don
I think you have slighly misunderstood the new Super Laws which believe it or not are supposed to be simplified.
1) Between 10 May 2006 – 30 June 2007 you are able to make an undeducted contribution of upto $1,000,000. The capping of UDV’s $150K (Or $450K using a 3 year averaging rule) will apply from July 1 2007.
2) Contribution Tax to your Super Fund is 15% however the Capital Gains Tax on an asset held for 1 year and 1 day is 2/3rd of this being 10%
Needless to say Superanuation is now one of the most Tax effective vehicles for non geared investment.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Christopher – To find out your borrowing capacity a lender or good broker will be able to do this for you without going all the way with a pre-approval.
Every pre-approval will show as an enquiry record on your CRAA and if you decide to run with another lender when it comes to the purchase could cause you a problem if you have too many.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Yes often i find that a pre-approval is a waste of time as if recommend a lender today and in 4 months time the client wishes to proceed the choice of lender may have changed.
To obtain an accurate indication of what you can claim you will need to undertake a Depreciation report on the actual property.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Alotti
Anyone can publish a book.
Would a better yardstick be to get them to tell you about their personal wealth and see how successful they had been in their own business.
I never have a problem showing clients a copy of my A & L sheet albeit personal details maybe removed.
As Property Wa mentioned there are 3 types of adviser yu need to ascertain what yu want and expect from your FA and then weight up which route you wish to follow.
Bye the way this is not a toute for business either.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
As John states it depends on so many variable.
It is like asking a Financial Planner what you should invest without him asking you about risk or diversification income requirements etc etc etc.
If you are requiring a PPOR then you perspective would be totally different to someone who is looking to generate a portfolio of investment properties with balanced capital growth and a decent yield.
It is horses for courses and you need to identify what you require out of your investment first.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
I think we can all understand the attraction of paying cash and avoiding an additional 10% even if it is a fraudelant act on his part. (Paying cash certainly is legal).
Away from this i would ask you what happens if there is a problem with the renovations he will not come back to rectify the problem and the BSA will not want to know as they was no formal Contract or evidence of the work taking place.
You don’t mention whether the property is a PPOR or an IP as if it is an IP you should be able to claim the expense or add it to your capital cost base depending on the type of work carried out.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
Hi Guys
Whilst this post is not intended to offer financial advice which i am unable to do without a complete fact find and then preparation of a suitable Statement of Advice I will try and allay some Super fears.
Taxable contributions are contributions made for the purpose of making provision for superanuation benefits for another person (other than Spouse contributions). Employer contributions are the most common form of taxable contribution.
Tax is levied on superanuation funds based on the total of taxable earnings of the fund and the tax deductible contributions received by the Fund. Tax is levied at a rate of 15% for complying funds and 47% for non complying funds.
The exception is the pre-July 83 component on a rollover which is Tax Free.
Capital gains of the fund are included in investment income and taxed at 15%. From 21 Sept only 2/3rd of the capital gain is included on assets held in excess of 12 months, providing the superanuation fund with an effective tax rate of 10% on capital gains.
With new choice legislation switching of funds is a lot easier so if you are not happy with the performance or the fees being charged look around at alternative options.
Happy to answer any further queries you may have.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]Richard Taylor | Australia's leading private lender
