All Topics / The Treasure Chest / Finance

Viewing 3 posts - 1 through 3 (of 3 total)
  • Profile photo of KraezyKraezy
    Member
    @kraezy
    Join Date: 2003
    Post Count: 0
    August 5, 2003 - 11:18 pm

    Hi there,

    I think I know the answer to this question but thought it worth while asking anyway.
    I have $25,000 in cash for a deposit and am looking to invest it in property. However, due to ill health I have recently left my job. Is there any way to arrange lending on a low priced property without having current employment? Or will I have to wait until I am back in the work force for the usual 3 months before I can even look at borrowing?
    I have recently moved back in with family so am not paying much by way of rent and expenses. My parents are paying off their property, should I consider looking into property investing with them as they are currently working so have stability and I have a deposit?

    Any thoughts or advice would be greatly appreciated.

    K

    Profile photo of davo70davo70
    Member
    @davo70
    Join Date: 2003
    Post Count: 56
    August 6, 2003 - 12:42 am

    If you rent at 80% of the gross you receives covers the amount you wish to borrow then the bank may consider lending you the money.

    However, this is unlikely so partnering with someone with a stable income could be the best option.

    Make sure that you have a contract in place with who ever you partner with to avoid issues down the track and trust me from experience family is the most likely source of grief.

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213
    August 6, 2003 - 10:01 am

    There are low doc loans availble whereby you just state your income and no checks are made. But you have to be employed. the average lender will not lend on rental income alone. What happens if the house is untenanted?

    There are also asset lends where you are not required to state an income at all. These start at around 65% LVR at relatively normal rates (around low 7%s).

    There are also non standard lenders that offer asset type lends up to 80% LVR, but the rates are high. starting around 8% upto 70% LVR and then 16% for a second mortgage the next 10% LVR bringing it up to 80%.

    You can also get a 90% LVR low doc, but the rates are over 10%!

    Terryw
    [email protected]

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://www.Structuring.com.au
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au

Viewing 3 posts - 1 through 3 (of 3 total)

The topic ‘Finance’ is closed to new replies.