Yesterday we set up a new corporate trust structure for our IP’s.
Today I phoned our bank manager (ANZ) and explained that we want pre-approval to enable us to bid at an auction on Friday 13th.(Perhaps this was the problem).
I explained the new corporate trust structure and he thought that we were “PULLING A SHIFTY“!!!!!!!!!! because it was sole director (me) and sole shareholder (me).
His knowledge of structures (or lack of it) is appauling! Not to mention manners. I explained why we are set up this way, which he eventually accepted.
We currently have business loans over $1mil with this manager. Bad comment don’t you think!!!
Tomorrow we search for a good mortgage broker!!
Anyone Mortgage Brokers listening who are game to take us shifty people on??? Please reply.
We will happily give the ANZ the big A..
Talk about dissapointing Bank Managers, I saw this guy at a major bank (I wont mention the name, u all know them), whose title was ‘Special Lending Manager’. I thought ‘This guy must have a property portfolio of over 1 million plus’. After talking to him about my properties I asked “Do u own any investment properties? He replied: Oh no the banks wont lendme any loans, I dont qualify for a loan!” What the hell.. A property lender who doesnt qualify to borrow money and is lending out money. Sounds like a oxymoron
Just as an aside – ANZ restrict the types of products that they will use if you borrow through a trust or company. Therefore you would have had to pay the standard variable rate. ANZ are not the best if your borrowing through a company or trust structure.
Wilandel – I’m happy to help you. I think I am educated enough to understand your objectives (I am a Chartered Accountant and a new property investor). Perhaps I’ve best demonstrated this through the many articles that I have written. See http://www.prosolution.com.au/free_articles/free_articles.php
Hi Wilandel
I’m not sure where you are writing from but I use a mortgage broker in Canberra by the name of Stuart Green he runs Greenlight Mortgage. Phone number is 6259 0204 email: [email protected]
He is a great guy I stumbled across him about 5 years again. I trust him without reservation and deliberatly use him as a broker as he knows his products extensively.
Don’t beleive anything a bank worker tells you! If they new about investing, they wouldn’t be working in banks. I love it when they recomend you use one of their ‘financial planners’.
My parents were advised by a bank person that they should get a PI loan on their investment property, and that they should have the loan term of 15 years instead of 30 because they were near retirement.
Today was a day from hell with a mortage broker! When about to sign the loan documentation, hubby found a clause querring its acceptability for vendor finance terms. He showed it to me and I thought… ‘if I have to start again looking for finance, I’ll burst my stitches’ … so I thought and found a detour, “I think this might be sneaky but legal” I quickly rang up our legal man and he said “It’s not transparent, but it is legal” That was enough for me.
You can find a wrapee, have the house, have the deposit, but if the mortage broker stuffs up…then you stand to loose the lot. Each part of the link needs to carry the weight equally, so I’ve learnt.
His first thought was probably ‘what are they trying to get out of??’ My guess is that one of your goals is simply asset protection, hence the structure. If he was concerned at any stage he could have asked for guarantees, and, given you have so much lending with that bank, they probably have all of your assets sewn up anyway.
I agree with Stu, never cease to amaze me either.
And i used to be a banker, but, now with some ‘real world’ international experience under my belt I really ‘see’ differently.
With respect to other comments regarding brokers. The explosion in this market has meant that it is pretty easy to become one, so lots of non-performers. Sorry guys, but you have to interview them as much as the other way around.
Stuart, I’d really like to hear more about what you do. Maybe also take a look at my firms website and see if it interests you as well.