Yep will come down to the area….

Northwest, South and inner west generally ok – like Dundas etc..
Some western areas- like penrith, Wilmot etc..average increase is around 60% of the total cost to build…and we are talking about re-value 1 week after build not 12-18 month later etc..

Experience. and having some runs on the table ie previously projects and results.

Development is like a business…it all starts with an idea and as you know 90% of small business fail in the first 2 years and the that one makes it; only 50% make it past the 5 years mark. All good that you have all these ideas and business plan written up; but…[Read more]

SMSF would be diff to the company you want to trade from as the SMSF is a non trading entity and structure.
Also when you do end up buying something with your SMSF the company bear trust can only be used once.

Is this ABL direct or through a mortgage manager ie an online or indirect channel of ABL?

If it’s an indirect channel than ABL has a $20,000 credit card they can provide to your friend for any short falls at home loan variable rates for the life of the loan.

2nd option is to get a copy of the val and find out where the valuer is depreciating the…[Read more]

Very common in the older part of WA like freemantle and the south coast.

1. You DO NOT need a guarantor loan….that’s just stupid as you have a PPOR worth $950,000 and your gonna tie this down to this IP…no way- Cash out the 20% + Stamp duty and apply for a SEPARATE free standing loan with a diff bank using the CASH equity as security.

2.…[Read more]

Generally standard resi IP income are discounted by 20%.

But as Richard mentioned; if your unemployed ( Under 50) and your using rental income only to service the loan;
1. Not all lenders will allow this as your def high(er) risk
2. It will be approved on a case by cases basis ..based on your LVR, overall portfolio, risk buffers, age and your…[Read more]

If your income fits that’s banks serviceability ( every banks serviceability is slightly different) than yep it’s doable.

You have the deposit.

Example:

Existing home worth $400,000- with loan of $100,000 against it ( called property 1)
Want to buy a new property valued at $800,000 ( called property 2)
– get the 20% deposit ( $160,000) + stamp…[Read more]

Land tax is an individually tax and depends if you have reached the land tax threshold for that state or not. So no it’s not included into the strata it’s individual.

You have approached some average /consecutive lending banks- hence their response ” you cant afford the loan”- not all lenders are the same.

Sit down with a broker ( as they will have access to multiple banks + no credit hits) and obtain a free quote an recommendation on your situation.

Cheers

No dont do that!!
1. It won’t increase your borrowing capacity
2. You will have to pay stamp duty and may be liable for CGT as well.
3. It won’t increase your borrowing capacity :)

Need more info….A bit vague

Macquarie has changed their credit policy at least 4 times in the last 2 years…major changes ( some good and some bad changes) and yes they have been very easy to deal with for the last 6 month especially with some of their cash out niches and no bank statement policy.

Generally speaking Macq is not known to take on foreign income it’s even in…[Read more]

Can name around 7-8 lenders off the top of my head that deals and accept RMB
– ANZ, Westpac, St George, AMP, Bankwest, CBA, Citibank, Homeside,…..

But i would not advise you apply to every single bank and hope for the best as this would trash and kill your credit file; even thought the list of banks accept RMB it doesn’t mean they would…[Read more]

As Colin mentioned AMP has a Max of 10 loans per client, also if your an non resident credit sometimes reduce this number due your exposure to AMP and risk.

Regarding Westpac- They do accept RMB.
In fact most lender that accepts foreign income would accept RMB, as china is the largest foreign investor in Aus.

You have over 11 bask that would…[Read more]

Yes your repayment will jump quote a bit as it will change to P/I one a 20 years repayment plan.

As mentioned you can refinance back to an I/O terms or back to 30 years etc..The only risk is that it’s depends on the lenders approval in 10 years time- i have seen plenty of case where the borrower is close to retirement age and the loan flips over…[Read more]

2 options;

1. Approach a aggregator and they will refer you one of their members for mentorship

Or do the reserve ( recommended) 

2. Approach a broker who you think you can work with + believe you can learn off or aspire to be – Ask them if they are willing to be your mentor and you will join his/her aggregator group ; if you don't ask you will…[Read more]

Cross collateralization is generally a bad idea in most cases; it advantages the banks and disadvantages you a a borrower; eventually you will need to uncross when you sell.

Cross collateralization is more common when business finance is involved and on some rare occasion commercial finance.

Since these are  just  standard residential…[Read more]

Ohh ok got it
Yea looks like your wasting your time if that's the building cost and "market selling price".

Min 20% return for any development IMHO

Umm am i missing something….the numbers doesn't stack up, well the profits anyway.

Purchase cost: $280,000-
Stamp duty + softcost: $10,000-
Build cost: $650,000-

Subtotal Basic base cost: $940,000-

Selling new 3BR townhouses = $410,000+ each x2 = $820,000???

I haven't even included;
– interest ( holding cost)
– Marketing and selling cost
-…[Read more]