I am looking for a checklist/questions to ask the broker before deciding on a loan. Are there any good ones out there?
Cheers
[xmas][party]
This all depends on what the use of the property is for and what your long term goals in respect to investing are.
If you are looking at a single loan which will be a PPOR and have no intensions to be purchasing an IP then the requirements for a lender would be totally different to a client who is looking at building up a long term property or investment portfolio.
Thankfully each client has different needs and requirments and that why i guess our job is so much fun. Wouldn’t life be boring and frusterating if everyone needs where the same and we all had to deal with the Big C.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Thanks Richard,
let me refine my question a bit more.
We have a PPoR and are starting our investment portfolio. In doing this I am trying to avoid costly traps.
I already talked to my broker about interest loans, LMI’s, lodocs, exit fees, honeymoon rates, fixed rate loans, line of credit.
I guess I am looking for a ckecklist what I things I need to consider discussing with the broker before I sign on the dotted line. How do I avoid eg hidden fees.
I am currently looking for investment properties which need TLC and can be subdivided. As I am using equity from my property, I will be selling part of the portfolio to bring down the LVR and make them cashflow positive. This means that I want to minimise exit fees.
I will create my own list, but there is always the chance that I forget an important question. So I would like to do both.
[thumbsup2]Understandable.
Your MB should point out to you all of the exit fees and early repayment penalties. Many lending institutions are also charging DEF on their suit of variable loan products when they are repaid early or lump sums repaid.
Make sure that the loans are not X collaralised and that have flexibilty as the lender will be required to give consent to any subdivision or partial sale of security.
Again you MB will be aware of this especially if he has experience in the development market himself.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
Ensure your MB has a good clear picture of your long term goals as well as the immediate, so that he/she helps you to choose the right product/s. Also ask him/her the various ways of setting up your loans including benefits and advantages or disadvantages.
I would also discuss the for and against of LOC vs Offset as there can be various benefits between these two as well.
Wayne Skewes
Mortgage Broker
Email [email protected]
http://www.eaussie.com.au/Mortgages/Aussie_Mortgage_Adviser.asp?ContentID=852280
Refinace, Loan Consolidation, Owner Occupied or Investment Finance. Free Service I come to you!Thanks guys,
good food for thought.
Please explain DEF and X collarised.
Cheers & Merry Xmas[xmas]
DEF = Defered establishment fee quite a few of the discount loans have an exit fee if leave payout in the first few years.
X Collateralised is when a lender uses more than 1 property for security, it makes it difficult to do something to one property without effecting the other. Most of the time they do not even inform you they are doing it. Usually is discovered when you try to do something creative with the loan and find out you cant
Wayne Skewes
Mortgage Broker
Email [email protected]
http://www.eaussie.com.au/Mortgages/Aussie_Mortgage_Adviser.asp?ContentID=852280
Refinace, Loan Consolidation, Owner Occupied or Investment Finance. Free Service I come to you!Hi, merry xmas to all and a happy new year.
I have found the best thing is to ask your broker what loans to they have on their own investment properties? And what they consider as the most important features.
Everyones circumstances differ, however this will give you some insight into what a professional looks for??kind regards
kylie
Mortgage Consultant
[email protected]
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