Hi Everyone,
we are desperate for advice, we were doing 2 land and construction loans at parkes in nsw the profit would have been aprox 240000, we have the land secured with westpac, we had the construction secured with westpac on a seperate construction loan, as the land was in a new subdivision we had a 11 month wait for title and other things to get finalised. we had the loan aprovals extended or so we thought , we started construction and asked for the first progress payment today on the first property, which is when we got told the broker (renae smith) did not respond to westpacs requests for the loan aproval to be extended, she must have forgotten to ask for an extension on the construction!!!.
so the loan was now lapsed an to restart we have to do another application, but the problem being we lost our job on the 15th of november.
we have a line of credit on our current home, also with westpac of aprox $100000, we also both have an abn and gst and have had for the last decade.
can anybody out there save us from the most incompetent broker ever,
and to add salt to our wounds she says its basically our fault because we did not tell her when construction started(how is that relevent!!!) good bye $240000 profit!!!!
please help completely desperateYou may be able to still get a Low Doc loan with a lender such as St George.
It is unlikely that Westpac would have extended the loan so long without requesting further information such as new payslips etc. I had one recently which had almost expired at less than 3 months and they wanted all this again.
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
we had the loan aproval extended aprox 3 times, the land finally got the title and was settled on the 17th of novenmber and construction started the next day, with today being the day I tried to get a progress payment on the slab and westpac told me the broker forgot to extend the construction loans aprovals which ran out on the 14th of november, they sent her a request for information re extension and gave her 14 days to respond in which they said they got no reply from her so they had no option but to let the aproval lapse
you may want to look at specialised construction/development lnders that play in this space. Google the key words and you should come up with a number of lenders. They usually work lending on different criteria and will look "beyond" the simple lo doc style checklists. Good Luck !
I would be wary starting the construction as you may find any potential new lender not wanting to refinance a deal where the construction has commenced.
Realistically at this time of year a refinance will take a while to get through.
Richard Taylor | Australia's leading private lender
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