Yes I have done 3 at 90% and 1 at 95%. All were approved. They all came back with 4's for market but they were countered by recent sales and overall the applications with either good or strong. 

They will only decline it if the application itself is borderline and you need the rental for servicing and of course you get a bunch of 4's for rating (even one actually). 

Regards

Shahin

You can definitely do it with CBA. The issue will be around the risk ratings. If there are any 5's then its not doable. 

You cannot order the vals upfront for a property that has 4 units on the one title.

Regards

Shahin

They do 4 unless the loan amount is over $1mil. 

Regards

Shahin

Step 1: Ask for an extension to the cooling off period. Assuming the rest of the application is ok, i,e, servicing etc, your biggest issue will the valuation.

Also you will not be able to do the valuation upfront so you need to buy time ASAP as the valuation will be done after assessment. So we will not know where you are at until vals done. Your biggest problem will be the rating that come back with the valuation. If its a 4 then the senior credit officer will consider but if its a 5 then you are gone. The big question is 'are there recent and comparable sales in the area'? If yes then this is good. 

Step 2: Tell your broker it can be done via CBA under a residential application. He needs to ensure that the overall application is as strong as possible. This will assist credit's decision if things are tight with the val ratings. 

Step 3: Get him to escalate the application ASAP because vals will not be initiated until assessment has been completed. 

Regards

Shahin

What is the Purchase price amount? What is the LVR you are wanting? What is the postcode? What are the dwellings, i.e. houses, units, boarding homes, etc?

Regards

Shahin

Which area of Sydney are you looking at?

Regards

Shahin

Hi Mate,

I understood what you meant – I just couldn't believe the agent told you that.

As a side note do you know that you need to do a building and pest inspection and also have your solicitor/conveyancer review the contract?

You can certainly do this in the cooling off period but you will lose your deposit if the B & P Inspection comes back with a huge problem. It depends on where you are buying and what type of property you are buying. Just be mindful of that.

Regards

Shahin

For me cashflow positive is deducting all the outgoings (this both upfront and ongoing), council, maintenance, building insurance, landlord insurance, etc from the rental income and potentially the negative gearing benefits. 

Instead of a property coach align yourself with a good Solicitor/Conveyancer, Broker or Banker and Accountant. 

Why a good Solicitor? You need them to be quick,responsive and knowledgeable particularly when it comes to things like SMSF transactions. If you need to jump onto a deal then you need them to order the Building and Pest inspection same day.

Why a good banker/broker? You need to to structure the loan correctly, put you with the right lender not just for what you want to do today but also in the future. For example you have just purchased a property and want to build 3 properties on the one title at an LVR of 90% – you shouldn't go to ANZ as they maybe cheap today but will cost you later on.

Why a good Accountant? They need to give you appropriate tax and structuring advise particuarly if you need to set up a trust entity. 

I am also a fan of BA's. I think there are some good ones out there that find excellent deals for customers and they are worth their fee.

Regards

Shahin

You want to get the most you can out of the block – build as much dwellings as you can. Don't limit yourself to 2 if you can do 3. Do you DD – speak to a couple of agents, show them concept plans and finishes and get an idea of resale and what things work and what doesn't. For example, single storey villa's or double storey townhouses, units, etc.

Regards

Shahin

Cashflow positive properties are not easy to find. How are you calculating cashflow positive?

Regards

Shahin