All Topics / The Treasure Chest / FINANCING QUESTION

Viewing 4 posts - 1 through 4 (of 4 total)
  • Profile photo of ausdmxausdmx
    Participant
    @ausdmx
    Join Date: 2003
    Post Count: 25
    August 9, 2003 - 11:43 am

    Hi there everyone!

    I am a 18 year old year 12 student and have been very intersted in Investing for a very long time no and i have been to every seminar and read many many books on investing in property but i wanted to know if anyone here knows what are ways of me being able to finance property? How long do i have to be working? Have to be working Full or is part-time ok? How much can i borrow? How did Steve buy 130 properties in 3.5 years? that almost a property a week, how did he get a bank to keep giving him more money?

    Thanks Guys/Girls!

    Regards,

    Adam Weraksa

    Profile photo of MelanieMelanie
    Member
    @melanie
    Join Date: 2003
    Post Count: 382
    August 9, 2003 - 12:19 pm

    Hi Adam,

    Wish I’d had your determination 10-something years ago !!

    A lender called Liberty may finance you into a deal BUT you’ll need about 20% of purchase price as deposit & it would help to have a strong deal – ie strong +ve cashflow. Initial interest rate will be higher than everyone else too, but will decrease annually with good repayments & it gets you started.

    Recommend you go thru a broker too as these type of lenders don’t really go direct to public, plus brokers should be able to help you set up correctly for continued borrowing if that “130” neon sign is your dream too!

    Happy investing,
    Mel

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213
    August 9, 2003 - 12:34 pm

    Banks generally like you to be employed for at least 6 months. For 95% loans you will have to show genuine savings of at least 3% of the purchase price (if you can get FHOG). There are 100% loans available for owner occupiers, conditions are tougher and include being in same job for at least 12 months.

    There are various products available including asset lends where the lender goes purely on the value of the property (up to 85% lvr). No income required. There are also low doc loans at 80% lvr where you just declare your income with no proof (or checking) required. (people have been know to exagerate their incomes!).

    If you can keep comming up with 20% deposits, then you can keep getting loans.

    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

    Profile photo of ausdmxausdmx
    Participant
    @ausdmx
    Join Date: 2003
    Post Count: 25
    August 10, 2003 - 3:50 am

    excellent, sounds good, I am on my way for the deposit and i want to start buying asap. I am currently reading John Symonds new book too, he really made Aussie out of nothing but pure work!

    Thanks a lot for your help guys!

    Regards,

    Adam Weraksa

Viewing 4 posts - 1 through 4 (of 4 total)

The topic ‘FINANCING QUESTION’ is closed to new replies.