sumnerstephen wrote:
Hi all. Has anyone heard of Premium Finance? I've just had a cold call from them offering to send a consultant to show me how I can access a $6500 tax rebate for mortgage payments (no obligations). Some new government incentive. I'm still curious as to how they make their money.Any comments appreciated.

The fact that they…[Read more]

It depends heavily on the type of property and where it is located. I like CBRE as a rule but have also  had some bad valuations from them in areas where their expertise and experience is limited. Hegneys have been OK, Christie Whyte Moore are also pretty good.RegardsAlistair

Steve McKnight runs a professional mentoring program, why don't you give it a try.RegardsAlistair

xpine73 wrote:
I got 0.85% off the standard variable rate from Westpac today, with a $300k size Rocket Repay home Loan.

If this is true the banker who quoted you the rate is going to have great trouble getting this signed off, Westpac have a stated policy of not discounting loans under $800K, they used to discount at lower amounts but not in…[Read more]

Setting up a structure for LOE is pretty easy, you use a LOC or cash out and place the funds in an offset account against one proiperty and use the borrowed funds to make interest payments for other loans. The question you have to ask yourself is how you are going to exit the higher debt position at some stage in the future. You cannot expand…[Read more]

Hi Swany,If you keep the same structure, when the property becomes an IP you will have to change the way you use the account, you will not be able redraw for personal use any more without endangering the deductability of the debt. Hind sight is a wonderful thing, but if you had been set up with and interest only loan and offset account from the…[Read more]

Hi Sross,Can you please pm or email me through the site. I'm interested to hear more.RegardsAlistair

Qlds007 wrote:
Hi MattJust rang the CBA Qld State credit manager who tells me that both wraps and RTB are definately not allowed.

I have previously been told that any brokers putting wraps through Colonial are risking their accreditation. I would be very careful in dealing with wrappers Matt.RegardsAlistair

IP Freely wrote:
Speak to your business banker, not the gumby at the front desk. This is commercial lending for commercial purposes isn't it?

I concur with this. This is a situation i have come accross quite a few times, you shouldn'y have an issue if you use a business/commercial banker.RegardsAlistair

Cattleya wrote:
Hi there…I also read Steve's book a long time ago and thought it was .. basically, crap. Sorry Steve…. I understand that Steve probably uses a lot trusts like Trakka said. But isn't that illegal? I mean, he gets lots of loans without declaring all his financial liabilities. Way too risky / daring for somebody like me. So…[Read more]

Hi Richard,I agree, but I would go further. I am constantly frustrated with the poor overall standard of our industry, and I think forums like this are very good for putting brokers under scrutiny. Everything you say on an Internet forum is up for scrutiny and brokers (and other professionals) who have been long term contributors have obviously s…[Read more]

Thanks for the recommendation Richard.RegardsAlistair

I'm glad you posted a query about this and didn't sign up. What that company is offering is absolutely awful. Have a read of the finance board on this site and get in touch with one of the brokers who post regualrly for some decent advice. RegardsAlistair

Hi HH,I would like to think that I tick all of those boxes. However, I have an ethical problem with paying referal fees, if you are recommending someone it should not be because you are being paid for it. Having said that I always try to look after the people I deal with and I am very active in the property industry on a number of levels so, de…[Read more]

Sorry to rain on your parade but 70% of gross realisation on a 5 story apartment block with no presales is not feasible unless you have significant net worth and experience ot you are offering supporting security. RegardsAlistair

There are a lot of different comercial lenders and most have specific niches that they are suitable for, if your project has good margins and presales is all your concerned about then there are lenders that can assist you. Having said this, i would suggest that having some presales for an apartment development is not a bad idea, it lowers your…[Read more]

Have a look at  http://www.gal.com.au Chris Lang who runs the business has published a well known book on commercial property, there is also some free info on the site.RegardsAlistair

Hi Chris,Send me a PM of email. If you are sure you want to become a broker I can assist you getting accredited. The difficulty and cost of becoming accredited is overstated, the real issue for most brokers is generating work. I warn you though, very few independent brokers are in the least bit successful, the industry is flooded and it is very…[Read more]

Believe me, Developers and their sales people also tend to overprice off-the-plan properties as well.Remember, never buy off-the-plan.This is a bit too much of a gernalisation, people do make money from off-the-plan sales on occasions.

I've optioned property before, it's very easy. You approch a land owner and offer them money for an option to purchase their land at some future time for a set price, you then rely on growth or more likely take steps towards rezoning or obtaining a DA to develop/subdivide, which (hopefully) lifts the value above the option strike price. You always…[Read more]