i have a good property deal. I have finance but no deposit. How do I do a no money down deal where the vendor contributes[confused2]
Just ask them to lend you the deposit. It is called Vendor financing. You work out an agreement, eg you pay interest only at 12% for $50,000 over a 5 year term. Then leave it up to your solicitor.
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Allymac,
You could also explore the option of a no deposit loan from one of the banks such as St George or ING.
Cheers,
Mortgageman
In your yahoo, msn, google or whatever search you have, type in, “no money down”. You will come up with a bunch of lenders that way.
There is a book by robert allen called nothing down.
Passive income:
http://www.unitoday.net/healthyjack/mystory_en.cfmTook your advice Jack – nothing Australian popped up.
I suggest you need to promote less of yourAmerican doctrine and start following the Australian stuff which you might find a little more relevant.
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Simon, can you point us to some Aussie resources on the subject?
Originally posted by eeshole:Simon, can you point us to some Aussie resources on the subject?
On no money down lenders?
I don’t know of any unless you have equity to use.
Cheers,
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by allymac:i have a good property deal. I have finance but no deposit. How do I do a no money down deal where the vendor contributes[confused2]
Can I ask how you have finance with no deposit?
Would love to add this lender to my panel!
Thanks,
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
http://www.establishmentloan.com.au/ may lend you 105% of a property’s value (price + costs).
There are also a number of lenders that will lend 100%.
Cheers
Stu
Thanks Stu, will check them out. What is the rate and fees?
Cheers,
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Prior to the recent rate increase they were offering the following:
100% 8.75% p.a. CP 9.11% p.a. mortgage risk fee 2.5625%
106% 8.99% p.a. CP 9.35% p.a. mortgage risk fee 3.33125%
Establishment fee $1750
Deferred establishment fee: 0-12 mths 2.75% 13-24 mths 2.25% 25-36 mths 1.75%
P&I only,
Comparison rate based on $300K loan over 30 Years, Cheers.Regards
Steven
Mortgage BrokerMobile Mortgage Market
Ph: 0402 483 216
[email protected]
http://www.mobilemortgagemarket.com.auPLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.
Establishment Loan actually goes to 106% and they will also let you include the expensive mortgage insurance ‘replacement’ they charge. They are a great product for those who need it but a little expensive rate wise.
Regarding no money down, you could be eligible for one of the 100% lenders as previously mentioned by mortgageman but this would also depend on many other factors such as your income, work history, credit history, property type and location, etc.
I personally would never give out vendor finance as it often ends with a big headache!!!
Robert Bou-Hamdan
Mortgage Adviser
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