Finance

I have come across the following property for sale: Regional SA, 4 brm, 2 bth @ $290,000, being leased to the Govt for $2275 pcm. The current lease expires in Aug ’04, with an option to extend for another 3 years. My understanding is that it is the Police Sergants house & that this original lease was for three years. I would therefore expect that the option would be taken up. My quick calculation is that an interest only mortgage would be around $1,500/month, providing a cash flow of $775 gross/month!! I took these figures to my bortgage broker & she informed me that I could not get a loan for this amount because my equity/loan is too high. Obviously, this has frustrated the hell out of me, as a) I have a very good income & b)this opportunity not only pays for itself each month, it pays for half the mortgage for next month as well!!

My question is:Is there a mortgage lender/bank that would look @ these figures in a different light? The bank I currently have my mortgages with is the StGeorge. Maybe I have to start looking outside the norm.

David