hi guys,
just brought 8 units on one title. Currently have all my loans with stgeorge just wondering is there a better lender out there for this kind of property? should I be changing banks. appricate any helpHi Octain,
I’ve been out of the game for awhile (was a mortgage broker) but I think you can’t get a residential loan for this type of purchase. Eight units in one block on one title screams “commercial” to me.
Did you mean to tell me you didn’t get a pre-approval before buying?
Hopefully you have a lot of equity on your PPoR because it’s the only way to get a residential loan. Being deemed a commercial property, you can borrow less in terms of LVR before LMI kicks in. Well, this was way back when….
Those who are currently doing it should be able to give you more up-to-date lending policies.
Take care,
Angelina
I am only aware of one lender who would consider the deal as Residential and that will depend on a few factors.
The Dragon will look at the deal as a Commercial deal as Angel mentioned and certainly not their forte.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
– Two or 3 different lenders. Complicated but doable.
– Finance against other properties if equity available. Good option if possible.
– Do as commercial loan. Ok option but more expensive.
– Widebay building society say they do 8 on one title but I’ve never tested it, rate is a bit high too.Marty McDonald | Mortgage Experts
http://mortgageexpertsonline.com.au/
Phone MeUnless you shopped around a lot before you settled on St George it is likely that there would be another lender who would better suit you. This is the realm for the mortgage brokers (not for a forum) and it all depends on the specifics of the transaction.
How much equity do you have in the property?
Do you pay interest only or principle and interest?
How much rental income does the property produce?Good work on buying 8 units under 1 title! I hope that they all rent out for you 52 weeks a year!
Speak to Richard (Qlds007) he is a quality mortgage broker who frankly knows way too much about all aspect of property finances. He is a nerd in this area…which is exactly what you need.
Ryan McLean | On Property
http://onproperty.com.au
Email MeOur firm do a lot block of units under one title around Australia on a regular basis, …probably because i have a lot of Asian clients and this seems to be their fort’e.
If they all have internal laundry and in a metro area – NO problem we can do up to 12 under one title- residential rate- up to 7 lenders to choose from ( a Few you have never heard off ) – you can even fix the rate at 7.6% for 3 years. and LVR at 80%.
If it’s shared laundry OR it’s not in a metro area- you be limited to 2 lenders only…and even though they declare it as residential the rate is around 8.5% LVR must be under 65% – which is still better then going as an commercial loan.
If your block is located in Western Sydney Cabramatta , Fairfield and Liverpool – then we have access to a local Credit union that will look after this as well.
Marty in regards to Widebay – They still do this up to Max 4. Any-deal 4+ they would want to cross securities other residential property on top- unless the client can service the loan without the new rental.
P.s What ever you choose, don’t go commercial …it’s impossible to swap later on (comm-> res)— start off as residential.
Regards
MichaelMick C | Shape Home Loans
http://www.shapehomeloans.com.au/
Email Me | Phone MeSame Banks. Better Rates. Served With a Passion.
Hi Michael
Settled an 8 pack with Wide Bay here in Brissie this week which was done as a residential deal.
I have a block of 18 (14 x 1 + 4 x 2) which i own and managed to fund that on a residential basis but that is a long story and a very good relationship with a major lender.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Was it cross? or high worth client ..service loan without rent??
By the way, are you with NAB for your lender…i currently hold a block of 4×2 in Rockdale and it was with NAB…but they ( 14 month ago) changed their condition to max out at 3
unless i cross….SIGHRegards
MichaelMick C | Shape Home Loans
http://www.shapehomeloans.com.au/
Email Me | Phone MeSame Banks. Better Rates. Served With a Passion.
Hi guys thanks for all the usefull info.
stgeorge do want to take it as a commerical loan. They want a 35% LVR which is ok as we have 2 houses and a block of land with them and just enough equity to get us over the line … I hopeIm happy not to go with stgeorge problem is as im using equity which they hold mortages against is there a lender who will take this on securing equity which another bank holds the loans with. All my other loans have a locked fixed rate of 5.94 and 5.79 fixed for another 4 years so I’m not keen to get rid of those loan to change to another bank. Does that make it all more complex
Thanks guys for all your help. Noticed alot of mortage lenders here who posted if anyone is in melbourne and could visit melbournes west be very intrested in giving you my business if you can help. If so message me and ill message you my mobile number
Cheers Brendan
unless i cross….SIGH
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