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Yes all sorted on those issues. We have a very good solicitor who seems to have covered every conceivable scenario and what needs to be put in place before it arises.
6.54% – better than the ones we were either rejected from or would only give $100k.
We also got approval from BCU (Bananacoast Credit Union) but it was at 8.34% so we are going with RAMS
For anyone that still viewing this topic…..WE JUST RECEIVED AN UNCONDITIONAL APPROVAL FOR $300000 from RAMS.
We approached RAMS. Luckily I was put straight through to Craig Green, a RAMS Lending Manager (ph: 0405 762 749) based in Sydney. He was the first person to think outside the square. He suggested I put my Daugher and Son-in-Law on the title (at 5%) and the 3 of us apply as borrowers. We followed his suggestion and he has been nothing short of fantastic. He’s responded to every single call and question and even advised us when decisions are taking a bit longer than expected and why. Apart from the fabulous service, the interest rate is lower than any of the other potential lenders we made inquiries with. What’s more, their interest rates will always be lower than the Big 4 as that is what they advertise. So yes, I am loving RAMS and Craig Green right now.
Sorry Richard, I meant the “borrower” would explore all possibilities of lower interest before agreeing to the higher interest, who would inevitably be “the lender of last resort”.
Qlds007 wrote:I know Linar has answered this post in the other Forum and i agree with his comments.With 6 previous Credit entries on your file now i think the chance of obtaining a loan other than thru Private FInance is slim.
I can think of one lender who may have considered it from day 1 but they certainly wouldnt now as they are not a lender of last resort.
You dont mention how much you want to borrow or what the funds are for?
With Gross income of $4200 less any living expenses etc i think you are not going to be able to show much in the way of serviceability.
Richard, I’m just curious as to your comment “wouldn’t now as they are not a lender of last resort.”. Aren’t those that charge higher interest, always a lender of last resort? For example, we have had finance approved at a high rate >10%, however, we would save thousands of dollars if a bank would approve our loan. So surely the lender would explore all possibilities of lower interest before agreeing to the higher interest, who would inevitably be “the lender of last resort”.
@ Dean, we looked a subdivision but Byron Council will not even consider it as they want to retain the rural beauty of the area. Will have a look at guarantor option.
@v8ghia – haven’t tried CBA or NAB. Might have a look but we’re leaning more towards Stacks at the moment.
Thankyou all for great suggestions and support.
Terryw – Stacks are the ones that have approved $300k,, it’s just the 10.75% I’m trying to beat.
The bank won’t lend because of the macadamia nuts (commercial risk in their eyes).
To cut a long story short, we bought the property (with not mortgage) for $1.7m two years ago from money I had made doing a few small property developments in Sydney. We were very new to the industry and the farm was extremely run down when we bought it. Our initial plan was to move two Queenslanders onto the property in which we would live. We have done this and almost finished renovating them and they really are beautiful. The entire property is stunning. I figured that we would have a nice supplement to our income from the nuts. And, if worse comes to worst, we own 90acres of Byron Shire.
Unfortunately, the farm was incredibly run down so we have had to pour a lot of money into equipment, fertilisers, groundworks, etc.. So, the books look bad in the banks’ eyes due to this expenditure versus income. The farm is now coming good. For example, in the first year we recieved $34k from our nuts where as this year, being our second, we will receive $124k. Next year is looking even better. So our improvements have been worthwhile and we do not need to spend much at all now in terms of upkeep.
The problems is that we have run out of money and just want to finish the houses (we are building in underneath one and doing the finishing touches of the other) and do some landscaping and I just want a bit of money to play with. I guess I underestimated costs by $300k, thus needing the loan.
@ Linar, WOW! 15%! That makes me feel much better. Thank you!
Good advice. Thank you Gibbo1. Just one question, how do potential lenders know that I have applied and been rejected?
As I said on the other post, I failed to mention that I only want a loan of $300k.
I just read my post (which I will edit now) and I failed to mention that I only want to borrow $300,000.
Like I said, I’m new to the forum.
