Both sign off on the docs as if your both applying for the LOC together; so in a way your both still responsible for the loan which make sense…
No guarantee as such, but joint owners of all the loans including the LOC- meaning you can not say ” he owns this LOC…and i own this LOC” you both own both LOC.

guarantee is the another way- this can be more “clean” but more of a hassle.

Regards
Michael

Ohhh didn’t see the numbers…

Ur on 83% LVR already…
1. don’t have much equity there
2. It be hard to get 2 loc with the lMI ppl
3. LMi will cost ya- so your investment better make a good return for the cost involved.

Regards
Michael

Depends on your risk tolerance and if you can “afford” to take that sort of risk.

Do you have stable job? cash buffer? family and financial backing/support? and do you have experience etc…

It’s like riding a bike, As a rider for the first time, you may want to spend a bit more and buy some training wheels ( 4 wheels) yes it’s more expensive but it’s safe and you get to “learn”…..But if instead if you wanted to go in the deep end and take the risk and ride the 2-wheel bike, without “help” or support or knowledge you can trust- you will most likely fall, get hurt and fail.

Not sure if that made sense lol…

Regards
Michael

Sorry to say; some trust sounds like the perfect “investors” trust but most of them are either not acceptable by banks and the ATO! due to the fact they have to many restriction and “what if” .

Sometimes keeping it simple and going with a simple trust that “works” and does what it does is the best solution.

Having said that; i have never had a bank directly say ” We do not accept Chan’s and Naylor’s trust” in fact i have plenty of chan and aylor get accepted…some were rejected for the same reasons as yours- but the reason for the rejection is the trust type and set up…but not chan and Naylor themselves.

But here is 2 tip i will give you;

1. it’s common for a bank staff to have NO idea how the trust really works and sometimes it gets to hard and it’;s eaier for them just to say ” no”- so if anything get a experienced broker involved or ask another bank if your confident your trust is correct.

2. Speak to Chan and naylor and see what they say — then get a 2nd advice from another experienced accountant ( yes you will mostly have to pay for their service)

Regards
Michael

Good luck with westpac….
nab will match it- you just need to ask and escalate it
http://www.shapehomeloans.com.au/blog/nab-will-match-any-advertised-rate-2011111160

Regards
Michael

If a broker ONLY deals with the Big 4 banks and the more “main stream ” banks, i can tell you; THEY WILL NOT SURVIVE in this market place. Clients situation can change quite a bit…and we need banks that can match the client’s needs as it changes… and sometimes this means going to credit union , smaller banks , non-conforming , international lenders and even private lenders.

But as Richard mentioned, not alwasy about the rate; the rate at times can be just be a “marketing” tool to get you in the door. Remember rate can change…a bank’s policy, service and reliability hardly does.

I use to have a ongoing relationship with a particular mortgage manger company many years ago ( name will not be mentioned!, dont want to give them free advertising now do we…) and their rate were always a good 0.4% cheaper then the major banks and 0.2% cheaper then most of the credit union. 3 month later i get a call from the client to say the rate has gone up 35 basis points! ( without RBA movement) and they sent a letter saying it ‘s due to funding cost etc…gave them a call was on hold for 1hr + ( guess they got plenty of calls that day) and at the end they pretty much said ” that’s business…deal with it”

Well that’s the end of my business dealing with them…Still get their emails and updates; as i guess im still accredited with them, but even if they offer 6.35% i would not even bat a eye!

Currently have 51+ accredited lenders on our books ,But if possible we would avoid some mortgage mangers, and smaller banks unless they have shown years of consistent good customer service and reliable steady interest rate- else we wouldn’t even recommended them.

Regards
Michael

Contact Richard – you won’t regret it!

Regards
Michael

Good luck with Westpac or CBA- they have ~28%+share of the residential market each!!! so they are big enough not to care about one or two loans…especially high LVR and low loan amount clients.

I’d say take the 0.05%- then 2 month later complain again and get another 0.05%.- it be hard to get a straight 0.1% whack given your high LVR because they know you won’t refinance.

Regards
Michael

Due to the size of your development – this will fall under commercial finance.
Have you spoken to any broker or bank about your project to see if your financials is good enough for a lender to accept the deal?

Regards
Michael

Yep got your email; have sent you a question air to fill out so we can understand your financial a bit better.

Don’t want to give you false hope; but at the same time don’t want to shoot you down without trying- so once i get the info back from you we shall go from there…

Regards
Michael