A lot of this depends on the lender. Which bank is it?

Terry is right that there are downsides to cross collateralisation. There are benefits though – albiet most people here don’t agree with me.

Forgeting about cc and focusing on the split banking issue. If you go to see a bank direct and they already have all of your banking e.g. All loans , accounts, credit cards etc – you dont need to provide…[Read more]

Don’t worry too much about what your broker says. CBA, NAB and BOQ are three lenders that will conisder MYOB statements or an interim Profit and Loss – the deal will need to be presented well with a good background about your business.

It also depends on the type of business / industry : – I just had a loan approved for a client who has been…[Read more]

If you get a recognized bank in the Philippines to issue a stand by LC (letter of credit) to nab, they can take it as security. A stand by LC is more or less a bank guarantee (let’s say HSBC take the secuity and then offer NAB a guarantee – NAB security is now a guarantee from HSBC). NAB have a list of banks they accept stanby LCs from. If they…[Read more]

The all monies clause does not only relate to money with that bank – it covers all assets regardless where they are. The concept that splitting lending protects you in the event of foreclosure is a bit of a myth. A few years ago nab tried to sell a directors home when his company was liquidated and had gone broke. Although the property was…[Read more]

Re commission being reduced. Average loan amounts are now higher than 10 years ago. I had a look recently at some old files. In 2001 I made an average of approx 1600 per deal in upfront. I now make approx 2500 even with lower comm…

Higher rates will make servicing a bit harder. Someone at ANZ is not that smart, rates and petrol have been cheap for 2 years. Unless you lost your job or were self employed the financial crisis has made life easier via lower repayments, less interest paid and a tank of petrol costing less.

As rates increase, consumption grows and petrol prices…[Read more]

V8ghia- There are different time frames for different people e.g. If you go to credit and they come back within 24 hours asking for more info that should of been provided up front, you have to add getting the new info to the time frame, plus more time to be revisted by credit. The same with each part of the process.

In the past 6 months the…[Read more]

Why not also work on establishment fees, interest and exit fees if refinanced at 3 and 5 years. Add discharge of mortgage and a new mortgage fee, new bank establishment fees etc.

This will show how much it will cost if you take this option and move in 3 or 5 years. This would be a far more common outcome than keeping for 30 years –

In addition…[Read more]

Dave,

The banks finance is not unconditional until settled. Advise the bank in writing the property has termite damage and you believe their security is compromised (noting if you are aware of anything impacting their security you should let them know). Also state you are not comfortable with the transaction as you have not factored in costs to…[Read more]

Hi Gary,

Although these deals look good you need to look at any exist costs – even though you have no intention to refinance.

When Westpac purchased RAMs they did not take over all of the existing book – RAMs lost around 80% of their share price within a few days when they started defaulting on their fundig arrangements – some clients are still…[Read more]

I have a client that had their house on the market for 6 months. They had approx 8 offers but rejected them all.

After a couple of agents and no sale they printed their own brochures and handed them out at local auctions. Within 2 weeks they had three offers, all within their price range, obviously they took the highest.

If people miss out at…[Read more]

Its normal – this is how almost all house and land packages are funded.

After the property is built yes. The bank can value the property and you can lend against the new value.

If you need to rely on the increased value to borrow for the contruction costs – The banks can do this via progress payments e.g. Most building contracts have 5 stages; the builder invoices when each state is complete, you give the invoice to…[Read more]

I think so. Google Them.

ryan mclean wrote:
Just because it has been repossessed by the banks doesn’t mean it is going for cheap. Banks like to make as much money as possible and they won’t sell cheap just to get their money back…they will try to make a profit.

Banks don’t get to keep the money – only clear their debt and costs – surplus goes to the owner. Most…[Read more]

I’ve got a recent transaction. There were 3 investment properties all with original debts of 80% LVR. All seperate loans.

The market had increased to a point where 2 of the investment loans were increased to pay out the third – leaving one title unencumberred. The unencumberred property has now been sold, as no debt was secured against it the…[Read more]

Mortgage Innovators are self employed CBA bank managers. Paid like brokers but run their own branch or office – Good to know one when you want a deal turned round in 3 days.

Will you have presales?

Are you able to expand on the type of property ?