Appreciate some input from anyone with experience with this sort of situation out there…
I've just sold a property, contract is unconditional but settlement not for another 75 days or so. Sale price is 125K above what I owe to the bank.
I'd like to buy another property now, but will I be able to get finance? Current loan is with NAB but for the next loan I'd like to go with another lender, so I am thinking I should get a LOC and use it as deposit with another lender. Problem is, the NAB value of my place is only 225K and if I want to extend the loan above 190K (which was the original facility) they will want LMI.
I'm in discussions with my broker just wondering what peoples thoughts are. Hoping to get a 350K loan for my next property and limiting my capital input to around 50K
Cheers
Michael75 days is neither here nor there in your life.
I'm a conservative (safe) investor and my advice is to settle on this property and then re-evaluate. No need to rush and get into possible hot water.It is possible, but you will need funds to complete (obviously!) so you could arange the settlement of the purchase after the sale, or cross collateralise (messy) or maybe just get a 100% loan for the next. It will be messy and costly just to increase a loan for a few weeks before paying it out.
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
Thanks for the responses.
I suppose it would be a lot simpler if I just wait to settle!
:impatient:
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