Forum Replies Created
All depends on your price bracket and what you are wanting to achieve.
We are getting asked 3 or 4 times a day the same question.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Jeff
How did your valuation go on the property the recommended?
Did they also disclose how much they got paid from the Vendor, developer or builder?
Interesting like all of them they only market BRAND new house & land packages.
I wonder why they don't promote properties that are 6 months old ? Let me ponder that one…….
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Nope lol
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Yours in Finance
Richard Taylor | Australia's leading private lender
Only aware of 2 lenders that will:
1) Allow a personal loan to be the source of deposit and good luck getting an approval above 90% thru them.
And not aware of any lender that will:
1) Approve a personal loan where the intended purpose is for house deposit. To state another reason and then use for deposit is of course fraud as the purpose clearly needs to be defined from the outset.
With the new Privacy Laws taking affect from today many a client will be caught on non disclosure going forward.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Not quite as simple as that wilko.
Some lenders will factor in the deductible interest others do not.
Some lenders will sensitise the existing repayment others will take the actual repayment as a liability.
Some take a percentage of your credit card limit as a liability others will not if you have paid the card in full over the last 2 months.
There is a massive difference between the maximum and minimum amount various lenders will allow.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
As Jamie mentioned i would refer you to my Accountant but he certainly wont get your return done in 3 weeks.
Most decent Property Accountants are not taking on new clients and those that do won't be rushed.
Certainly they are eager to assist provide advice but have long established clients that also have requirements.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Thanks Jamie appreciate the vote of confidence.
Must admit neither Jacqui nor i do it for the remuneration it is just nice to assist others get a foot on the property ladder and start to build their portfolios.
SZ it you are looking for an Australian Broker to finance the deal you can't go past Jamie.
Certainly knows his stuff and is a good bloke to boot.
Just make sure you do the deal before the cold sets in Canberra as his fingers freeze to the keyboard during the winter.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Sorry that is absolute rubbish CBA do not lend on 23 square metres units or indeed do any other standard lenders.
Certainly in the good old days lenders used to but this day and age those have gone.
A requirement for the lenders that do lend on units under 40 square metres is that they must have a separate bathroom and is some cases a laundry.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Tomo
No conventional lender will touch it.
Anything over 35 SqM you are ok but 23 Sq M no chance.
More likely to be maximum 50% lvr under private finance and then you are going to pay for it.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Daniel
We are referring a lot of our Victorian forum clients to Doug Mckracken at
Ron Skeggs & Associates
275 Geelong Rd, West Footscray VIC 3012
Ph: 03 9687 0933
Tell him i sent you and I am sure he will look after you.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Please post what you want in depth or i will delete the thread.
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Yours in Finance
Richard Taylor | Australia's leading private lender
It all depends on the amount you want to borrow, the lvr and how quickly you can supply the documentation.
If you have restructured the Homeside loan like we suggested then maybe a week if not maybe 2.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Not sure where this is going but if I feel there is anything untoward I will be deleting this post.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Jate
Hate to say it seems go from bad to worse.
Think you definitely need a complete loan check.
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Yours in Finance
Richard Taylor | Australia's leading private lender
You wouldn't use cash and lose deductible interest deductions when you have a non deductible home loan.
Sorry but i can't see any reason why you wouldn't use an offset account on a PPOR loan it makes no sense but if you wife doesn't want to do so that is upto her.
Yes lenders will take a percentage of the assumed rent into consideration when calculating your serviceability for a new IP loan.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Wouldn't use your own cash savings would set up a separate sub loan against the PPOR for probably 10% of the purchase price + acquisition costs.
This will reduce the LMI and give you more options.
You can always pay down the PPOR or place your current savings in an Homeside offset account once the loan comes off it's fixed rate.
Then look to take out a new standalone investment loan using a basic rate loan as you certainly need all the frills.
Don't see your wife's employment as a concern as long as she is not on probation. Even if she is there are many a lender who wouldn't have too many issues.
All looks good.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Ferndinandch
AT 95% lvr your lending choices are fairly limited and the credit scoring will be tough but if everything stacks up then no reason why you wouldn't look at going that route.
LMI is an opportunity cost and whilst it is a Tax deductible expense is still a cost.
Premiums vary in cost depending on the insurer but at 95% it certainly isn't going to be cheap.
If you raising the funds from equity then Homeside are not ideal as they charge a monthly fee per loan split.
A separate loan split triggers another monthly fee so you need to ensure it is structured correctly to reduce your overall costs.
Might just be a matter of biting the bullet and setting up a separate split given that the existing loan with Homeside is fixed.
Would need further information to provide more of an answer.
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Yours in Finanec
Richard Taylor | Australia's leading private lender
Don't want to disagree with Nigel but you can gear into a Car park space.
There are 2 lenders i am aware of that will fund them.
Terms and rates are very similar to Taxi plates.
Still doesn't make it a good investment though.
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Yours in Finance
Richard Taylor | Australia's leading private lender
Not just a matter of forgetting to exercise the option in time but if you do something that is deemed as a breach of the Option Contract prior to the execution you may find that all of the work / improvements you have done to the site are lost and the benefit reverts back to the original Vendor.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
It is all about risk mitigation but personally for a first time client looking to build a portfolio we would probably suggest they start with something < 350K rather than a
property for 500K+.
Buying a cheaper property helps with land tax strategy planning and also when interest rates rise (and they will do in this cycle) you can look to increase the rent $5 – $10 / week on a lower priced property and have less objection from the tenant. On a higher priced property the rental increase will need to be a lot higher to cover the increase in interest repayments.
You can't live on capital growth but you can live on rental return.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
