It depends how fast you can get the info/docs to the broker + LVR? LMI involved?, how complex your situation is.

NAB isn’t all that busy right now lol…so it can range from 2 days up to 10 days for an unconditional. One of the good and bad thing about NAB is their internal valuation process; if it’s under a certain LVR it can be done pretty quickly as it be a desktop valuation done by one of their inexperienced monkeys

If you have everything ready + no need to request for more docs then it be good to go within a few days, for most bridging loans it does take a few days more ~4-5 days due to the valuation…it’s normally a full valuation for bridging. But in your case im guessing the valuation has been done already? or your LVR is low?

Regards
Michael

By the way; NAB and westpac allows up to 6 month ( 180 days) unless you don’t have enough interest/deposit to cap etc…

Shoot Richard an email and he be able to decyfer for you.

Regards
Michael

That’s a NAB and Westpac thing and to be honest they don’t have a lot of customer taking up their bridging loan due to this condition.

Another banks will do it for 6 month and the longest i seen is 12 month- but that means the new property will be with the new bank of course…
It’s a matter of choosing the right bank for the right situation.

Regards
Michael

Yep i use excel as well…
No need to go fancy – keep it nice and simple.

Reagrds
Michael

The FHOG exemption only applies up top purchase under $500,000, pro rated for anything over 500k -and once it goes over $750k there is no exemption., hence the reason for the valuation to know what the “true” value is ..rather then a discounted family sell price.

—

The CGT will be pro-rated based on number of % as an PPOR.

Regards
Michael

If you get your tax return cheque sooner then later then you could use this fund to invest further or place into an offset account.

Section 221D of the Income Tax Assessment Act provides the Commissioner of Taxation with the authority to vary the amount of tax installments to be deducted from the salary…so you can be claiming depreciation and deductions on a monthly basis rather than waiting till the end of the year to make your claims.

Regards
Michael

That’s the one

Im sure Jamie will post a recommendation up soon

Reagrds
Michael

Nothing wrong with that; but i have seen cases where the vendor and agent would not release the money back to the buyer unless a letter is presented from the bank that finance was not obtained. So im talking worst case scenario and it happens and i wouldn’t say it’s rare.

All in all if the contract is not set out in black and white -You could end up fighting the cause of what a “satisfactory finance” is…

I have seen the ugly side of these contract…and i always try to advise my client the possible risk of each condition even though this is the legal Representatives job; i do it as a precaution.

http://www.kottgunn.com.au/updates/brokers_beware_subject_finance_clauses

A famous case, where client placed a 10% deposit subject to finance THEN went to speak to a broker/bank to get the finacne; due to the clients situation the banker and broker COULD not submit the file as the client was not fit for any finance, in this case and in many cases a LETTER was required from the bank to say finance has been official rejected.

But the cleint did not engage in the banks service to being with + the bank did not and could not take up the clients file for legal reasons- hence “nothing to reject” as nothing was accepted initially to begin with.

Always engage in the service of a good lawyer who can explain ALL the possible risk.

Regards
Micahel

I have access to all the programs and i use them all – RP data, Pricefinder, APM + all the bank’s valuation software ( ANZ, AMP, Macq etc…)
but that’s because im a mortgage broker; + im a active investor.

“This offer is subject to and conditional upon the banks valuation of atleast $200k” – nothing is stopping you from having this in the conditions-As the condition’s is up to each party to decide and agree upon- but i can tell you from experience a lot of agents and vendor won’t accept this sort of condition….it’s will be more “subject to finance” rather then valuation.

There are better tactics to use to get a lower price- but which tactic you use comes down to the property in question.

Regards
Michael