Remote property loan advice

Viewing 6 posts - 1 through 6 (of 6 total)

Marksie
Member
@marksie
Join Date: 2004
Post Count: 4
February 7, 2004 - 2:00 pm
Hello, We have recently located a property in a rural area which is positively geared with good rental prospects. We contacted a mortgage broker about financing the property however they have stated that they will not lend the money using the investment property as security because of the location of the home (Rural location). They will lend the money to us if we extend our home loan using the equity in our house.
Should we be able to get a loan with a lender where the investemnt property is used as security or is this not possible? Our concern is that if we continue to purchase investment properties by extending our home loan, we will run out of equity and be unable to continue to buy any more properties.
Any assistance would be greatly appreciated.
LISA MARKS
Julian
Member
@julian
Join Date: 2003
Post Count: 232
February 7, 2004 - 2:12 pm
Hi Lisa,
How many Financial brokers you have contacted?
Julain []
crj
Participant
@crj
Join Date: 2004
Post Count: 618
February 7, 2004 - 9:45 pm
Is there a bank or credit union where you are looking at buying? If so, that financial institution would probably lend for that location
Mortgage Hunter
Participant
@mortgage-hunter
Join Date: 2003
Post Count: 3,781
February 7, 2004 - 11:36 pm
Drop me an email with the location and the postcode.
I have done many loans for small country towns before, however it will depend on a few things.
Cheers,
Simon Macks
Mortgage Broker
[email protected]
0425 228 985
Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Stuart Wemyss
Member
@stuart-wemyss
Join Date: 2003
Post Count: 598
February 8, 2004 - 9:30 am
If you are using a low doc it could be difficult. However, if you are using a full doc loan and only want 80% then you should be ok. For example, I know CBA will do 80% just about anywhere. I’m sure Mortgage Hunter will be able to help you.
Cheers
Stu
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
February 9, 2004 - 5:22 am
Hi
To get an idea on borrowing capability for this area, check the postcode at http://www.pmigroup.com.au/LocationWizard.asp
Terryw
Discover Home Loans
North Sydney
[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