Mortgage question

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ET
Member
@et
Join Date: 2005
Post Count: 12
April 15, 2006 - 6:26 am
Hi all,
We are counting the days before obtaining a finalised building contract for the construction of a dwelling on a block of land we (and the bank) own and I am after a few bits of advice please.
Do we just approach the bank where we currently have the loan for the land and ask to get a contruction loan?
Or do you recommend engaging the services of a broker?
Time will be of the essence due to a ‘price guarentee’, so 15 working days to get an answer which ever way.
Also,
We rent here in Sydney ($1500/month) but have every intention of moving into the house on completion. What consideration by the bank is given to this expense when getting the loan, since it will be non existant when the house is complete?
Looking forward to your replies, and Happy Easter.
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
April 15, 2006 - 8:21 am
ET
The difference is if you approach the Bank direct they will merely tell you what they can offer you and not whether you could do a whole lot better elsewhere.
A independant Broker can look at your whole situation and make recommendations to suit you now and in the future.
It costs nothing to get good independant advice so why wouldn’t you.
Richard Taylor
Residential & Commercial Finance Broker
**Lodoc Commercial loans from 7.19%**
Licensed Financial Planner
http://www.yourstatefinance.com
[email protected]
Ph: 07-3720 1888
Richard Taylor | Australia's leading private lender
Stuart Milne
Member
@stuart-milne
Join Date: 2006
Post Count: 196
April 15, 2006 - 2:08 pm
Just be aware if the Broker you go to see decides your business is best placed elsewhere you may incur “break costs” aka Deferred Astablishment fees and depending on the Lender, Product, etc; these can range from a couple of hundred dollars up to 7%…
Just be sure you really are getting the best deal…..
Stuart Milne
Non-Conforming Specialist
READY Mortgages
http://www.readymortgages.com.au
[email protected]
Mob: 0404 056 055
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
April 15, 2006 - 11:37 pm
Totally agree with Stuart many of the deals we do are back with the client’s own Bank.
Richard Taylor
Residential & Commercial Finance Broker
**Lodoc Commercial loans from 7.19%**
Licensed Financial Planner
http://www.yourstatefinance.com
[email protected]
Ph: 07-3720 1888
Richard Taylor | Australia's leading private lender