Lol – does he want a job?

Cheers

Jamie

Anywhere between two weeks to two months. 

Normally I analyse a clients situation and make a recommendation on structure and lender. I'll then order a valuation whilst they compile their documents. They then email or bring their documents into the office. I write the application – they sign and I submit. This whole part usually takes between 3 days to a week.

Bank issues approval within the week. 

They issue loan docs, client signs and returns. They then prepare for settlement. Usually this all takes a couple of weeks.

So I'd say normal timing from start to finish is around a month – can be quicker if necessary and can be slower if we hit some hurdles along the way (most typical being loan docs going missing).

Cheers

Jamie

Hi there

There's a few tricks to boost borrowing capacity. Off the top of my head, you can reduce credit card limits, get rid of personal loans (if applicable), set up all loans as IO, use a lender that will take 100% of your rental income.

Sometimes we simply need to restructure existing borrowings.

Most importantly though – can you afford taking on more debt?  

cheers

Jamie

Hi there

Welcome aboard

You're spot on. The loan needs to be split up so you can distinguish deductible debt.

You only need one separate split for the IP deposit. For the renos on the PPOR, you could simply extend the balance on your current loan.

So end result is two loans accounts – the first is an increase on the existing with the extra funds used for renos. Second account is for IP purposes. This loan can be an IO loan or LOC.

No probs

Deductibility is determined by purpose. If the purpose of a loan is to secure an investment then it's deductible. If it was to secure a non investment like an owner occupied home (PPOR) it won't be deductible.

Most of my clients are based interstate – I'd guess it's an 80/20 split between interstate/local.

Everything is done over email/phone.

Even some of my local clients prefer to deal this way – it's more efficient and everyone's busy these days.

Technology opens up possibilities – in this instance, it allows the OP to choose a broker anywhere in the country. They're not restricted to just those within their local vicinity.

For that reason, I wouldn't suggest face to face as a must at all.

Cheers

Jamie

hi BB3

I'd take advantage of Richard's recommendation.

Cheers

Jamie

Hiya

Most lenders will let you take your borrowings up to 80% of the properties value when releasing equity.

Some will let you go up to 90%

If we take the 80% scenario for instance – we use 80% the value of your property ($300k) which is $240k and subtract the current loan ($240k) to work out how much equity you can access – which in this example would be $0.

If you borrowed up to 90% – we use 90% the value of your property ($300k) which is $270k and subtract the current loan ($240k) to work out how much equity you can access – which in this example would be $30k

Cheers

Jamie

I'm not sure if there's a dedicated section to those sort of resources on this site – but I do know that somersoft has a sticky thread that provides a collection of templates, lists and spreadsheets for property investing that you might find useful.

Cheers

Jamie