Viral

Yes it is possible with a couple of lenders who will allow for the loan to be any of the names on the title however there is an underlying guarantee provided so that all parties are responsible for the entire loan.

EG

Property purchased in the name of ABC Pty Ltd with 2 Directors for $250K
A 90% loan would be set up as follows:
Loan # 1 in the name of Jack Smith for $112,500
Loan # 2 in the name of Wendy Smith for $112,500

In saying this however both clients are jointly and severably liable for the entire debt as Director of the Company.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Hi there

The interest calculations assuming the same rate of interest is being charged is identical.

I guess the burning question is what you will do with the $50K redrawn. If it is for personal purposes then fine to go ahead and redraw but if it is for investment purposes then you would probably want to separate the accounts for interest calculations.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Hi Ronald

Yes all that is possible.
Just need her to return the documentation requested in my email.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

PIS = Professional Investment Services are the largest group of planners in the Country.

Check out the yellow pages and chat to a couple over the phone.

I often receive calls from new clients asking do i recommend property. If you mention this is an area you wish to invest in when the FP is completing a full fact find that are of investment will reflect in the Statement of Advice.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Hi there

The simple answer is YES.

Whilst lenders do take 2nd mortgages i am unaware of any that will take a 2nd mortgage durting construction.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Financing such arrangement would be exactly the same as if you were building an investment property that you in turn would lease out.

Finance would be arranged on the land and then stage payments on the ongoing construction. Interest charged only on the amount outstanding thus increasing with each draw down.

One option would be to ask the builder to offer you the lease from the date he commences construction so your interim interest costs are covered.

Other consideration to soften the blow is the non cash deductions which you would entitled to claim. Depreciation, building write off and of course any loan costs are all deductible.

Just check the local market to ensure that at the expiry of the lease the property can still be rented and you are happy with the rent you are likely to receive.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Simon is of course right that > 50 SqM is easier to finance but i think as long as it is > 40 SqM then you should have any problem.

Much less than than this you will either be required to put in a larger deposit or alternatively pay a higher rate of interest.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Hi there

Think I might have given you Steve H (who is my business partner) and Ownit at Beenleigh.

Word of caution the legal secretary at Ownit left last week and the place has gone to put. She has gone to CSM Conveyancing at Beenleigh (Leonnie Dixon) and can be contacted on 3807 2233.

Tell her or Steve i referred you and you will get past receiption.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

I agree with John.

In this age of modern technology where applications can be lodged electonically sitting down face to face with your Broker can be a thing of the past.

I have many clients here on the forum i have never met but would like to think that i have served their needs and they know where i am if they need anything.

Make sure that your broker is acting on your behalf and not his own. Personally i would only ever use someone with at least 10 years experience in the industry (hard to believe that some guys only have a year or two in finance and call themselves experts at the age of 23).

Also look at someone who is developing or investing in real estate or has a broad knowledge to be able to answer all of your questions both property related and not.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]

Cabo

SD cannot be avoided but it is not JH but the respective State Govts that collect the duty.

Cheers

Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner.
Ph: 07 3720 1888
[email protected]