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Let’s say I have property A with $50,000 usable equity and property B with $50,000 usable equity.Can I buy property C using the combined $100,000 equity from property A and B?
Yep – that’s fine.
Just set up the $50k loans as separate loan splits for ease of accounting.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
So looking to be in contact with BA from Brisbane who can provide good suggestions and not put me in risk.
Hit up Richard above from this forum – he know’s a thing or two about the Brisbane market.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
They exist but there aren’t many lenders doing them – and your application has to be very strong to overcome credit scoring and LMI.
The costs of LMI at 95% is brutal too!
For high LVR loans – generally best to stick with 88% + LMI in my opinion. Your scope of lender options improves – and the LMI costs drops a lot.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Nothing wrong with making money :-)
Having said that – the situation could have been improved if the original loan was set up as interest only with an offset.
Here’s an article I wrote that explains the structure – http://passgo.com.au/blog/item/15-interest-only-with-offset-account-structure
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
I’ve got a spreadsheet that might help (I haven’t updated for a while) but hopefully you can get some use out of it – http://www.passgo.com.au/investment-property-analysis-tool
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
I’ve got a spreadsheet that might help (I haven’t updated for a while) but hopefully you can get some use out of it – http://www.passgo.com.au/investment-property-analysis-tool
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Certus legal are pretty good.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
In saying all of this a Banker can only offer a single suite of products and therefore is not able to offer a client the best rate in the market as they can only offer what their employer has to have offer.
That’s the single biggest factor when comparing bankers v brokers in my opinion. A banker can advise on one lenders products/policies. A broker can advise on dozens.
I wrote about this recently – http://passgo.com.au/blog/item/24-the-benefits-of-using-a-mortgage-broker-over-a-banker
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi up Richard above – he’ll do a good job.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Damn – a post from 2004!!!!!
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Careful with locking in for 5 years though Dean.
If your situation changes and you need to refi/sell up you could be slugged with a high break cost.
Personally – I wouldn’t fix for longer than 3 years. You can plan ahead for 2 or 3 years – but any longer than that becomes difficult IMO.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi all,First time posting here. We have a mortgage of $970k on PPOR with value of $1.7M. Currently finance with NAB via homeside and our mortgage rate 4.26%. We have good capacity to pay and have a line of credit for $250k with NAB for use for deposits for some IP we looking at now. Should i be able to negotiate much better than 4.26% based on short summary of circumstances? Interested to know what i should be targeting if i call the bank to negotiate something better.Thanks.
yes – you should be able to get that rate down.
I’m sure any big 4 lender would offer a variable rate with a 3 in front of it.
Even ING is pricing loans above $150k at 3.94% with no negotiations required.
As Corey said though – rate is just one factor.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Have you paid LMI on your current property before?
If so – then it’s likely to be more cost effective leveraging up to 88% against the existing property as the LMI costs shouldn’t be too high (just an adjustment to the premium you’ve already paid).
If you haven’t paid LMI previously – look at the difference in LMI costs when borrowing more than 80% against your current property compared to borrowing more than 80% against the purchase property.
I’d set all up as interest only – have an offset linked to the owner occ loan at the time.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Can’t speak directly for Loan Ave as I don’t have them on my panel of lenders – but there’s nothing wrong with smaller lenders per se. They are the ones loaning you the money – not the other way around. If your borrowing less than 80% of your properties value and the loan is variable – refinancing later on won’t be too costly (if you decide you want to stop using them).
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Keep the offset. I’d pay the $10 per month to avoid taxation implications down the track.
I don’t know what rate you have – but $10 per month for a loan with an offset isn’t too bad considering most other lenders charge a package fee that’s $350 to $400 p.a
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Use the search function on this site – or even just google
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Contact your solicitor and get them onto the case – that’s a pretty big oversight.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Sounds terrible – you’ll be as likeable as the charity workers that harass people outside of Woolies.
What is a property membership exactly?
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Would a broker be aloud to give his client a copy of a certain policy if the client asked for it? i assume not but was curious.
I can’t speak for all brokers – but part of our role is explaining to clients why certain niche policies may fit their particular needs. So yes – of course that information is divulged. However – handing over a 100 page policy document that encompasses ALL of a banks internal policies would be out of line (I assume that’s the info you’re after).
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Yes – plenty of posts regarding them on this forum and others.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
