All Topics / Finance / Improving serviceability with a trust
G'day everyone. I heard Dymphna Boholt suggest at one of her seminars that a bank may not assess your existing liabilities when financing through a trust, only your income. The reason I'm seeking clarification of this is that we currently have no useful equity in our IP (thank you GFC), have a baby at home and really only 1.5 incomes but desperately want to buy more IPs while the buying is so good and positively geared properties are plenitful. We see this market as the opportunity of a lifetime for securing our family's future wealth. Any advice would be appreciated, especially from Terryw and Qlds007.
No true.
You would need equity or cash anyway.
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
As Terry said in regards to equity / cash for deposit.
In fact post GFC you need more than before as > 90% lending is very tough.
Unless you have a good UMI i would suggest you need 16-18% to cover a 10 deposit plus acqusition costs.
In regards to the comment made by Dymphna i think you have may have misheard her as all liabilities need to be disclosed irrespective of the entity in which you hold the property.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
You must be logged in to reply to this topic. If you don't have an account, you can register here.