As Terry says, Tony Cordato is the man:
Cordato Partners
Level 5
49 York Street
Sydney 2000 (near Wynyard Station)
Ph (02) 8297 5600

The following may also be worth a read:

Should All Home Buyers Get ‘National Credit Code’ Protection?

Cheers, Paul

I have no argument regarding the information given in the posts above. However, when it comes to the “consumer marketplace” things become quite grey. Rulings in courts and tribunals seem to rely much less on what’s written in the legal paperwork, as against what is fair to the consumer.

For an indication on how various consumer advocate…[Read more]

The following may help:

Should All Home Buyers Get ‘National Credit Code’ Protection?

In short, I believe that, if all home buyers using traditional home loan finance get the protection of the National Credit Code, then all consumer, residential home buyers should get this protection, no matter what…[Read more]

As you are leaning towards Victoria it may be best to utilise an Instalment (Terms) Contract for the on-selling of the property you buy/build. This is because VIC is unique in that it doesn’t charge Stamp Duty until the Contract of Sale “settles”. In other States, Stamp Duty is payable within a number of days after “exchange of…[Read more]

A couple of links that will help to get you going with Vendor Financing are:
http://www.vendorfinancelawyer.com.au/ and
https://vendorfinanceinstitute.com.au/category/blog/

It’s worth noting that a number of consumer groups and other “powers that be” are pushing to get Rent To Buys (Lease/Options) banned in the consumer/residential…[Read more]

Yes the FBAA Vendor Finance Meeting in Brisbane is still on next Thursday, algeit a a different venue from the last one. Full details and registration are available at: CLICK HERE

Also, if you’d like to keep up to date with happenings in the Vendor Finance Industry, take a look at the Vendor Finance Professionals FB group. It can be…[Read more]

If you are thinking of coming along don’t delay as there are only a few seats left. It’s looking like another sell out which shows just how many people are interested in bringing Vendor Finance into the mainstream.

The Queensland Inaugural meeting for the Vendor Finance arm of the FBAA will be held on the 30th of April. We were lucky enough to get the registration link early but not early enough, half the seats have already sold. If you are in Queensland I would suggest you book in early as this event will sell out quicker than Melbourne and…[Read more]

The Finance Brokers Association of Australia (FBAA) and its Vendor Finance Steering Committee would like to announce its Vendor Finance Meeting dates for the remainder of 2015:

Sydney – Wednesday 25th March 2015 – Thu…[Read more]

I am currently a Responsible Manager for both our ACL’s and have recently resigned from another Responsible Manager position I was covering for a third party due to various concerns.

How do you see such an arrangement working? Please PM or email me.

Cheers, Paul

First up, may I suggest you have a look at a page on our website, entitled ACL Coverage; CLICK HERE

Then give me a call, as there may be a way of structuring the transaction so you are not the credit provider. It is worth remembering that , if someone is simply disposing of an asset, e.g. one property, they may not be seen as providing…[Read more]

Cheers, Paul

Terry’s recommendation is spot on, i.e. Lewis O’Brien is, in my opinion, the ‘go to’ vendor finance solicitor in Vic.

However be very careful of Victorian state legislation regarding Lease/Options and Stamp Duty. Unlike most other States of Australia, Stamp Duty in Victoria is not normally payable until Title transfer occurs. In most…[Read more]

Yes we’ve been running our vendor finance business since 2003 and went full time in 2009.It’s been a pretty lazy January ;-) but we’ll start marketing again at the beginning of Feb (have got 4 to sell).

Vendor Finance has been fighting it’s ‘cowboy’ reputation for some time now but a combination of new legislation (the NCCP Act 2009) and…[Read more]

I like the ideas here regarding the retention of this property. As a number of people have mentioned, there does seem to be an opportunity to do something with the hospital.

However if that doesn’t work out, you may get some ideas regarding a long distance ‘negative2positive’ vendor finance sale at CLICK HERE.

Cheers, Paul

Cheers, Paul

Knowing Jason personally and knowing how long he’s been in the industry I’d suggest you take his advice to heart ;-)

Back in 2003 when we started in Vendor Finance (VF), marking up a property by 20% over market price was the standard. How things have changed! Our standard way of pricing a VF sale these days is to do an auto-valuation on…[Read more]

We write our Terms Contract (Instalment Contracts) to mimic traditional home loans, i.e. they have a 30 year term with a variable interest rate. Therefore, if you make your regular payments over 30 years the loan will be paid out.

If for some reason you could you cannot continue to pay a traditional home loan, the property is put up for…[Read more]

Hopefully the following link to a media release from the FBAA (Finance Brokers Association of Australia) can help to start to clear up the ‘shady’ image: CLICK HERE to view the media release regarding Vendor finance.

Cheers, Paul

Would I be correct in thinking that you may be talking with Sellers about selling their home, without being an RE Agent or authorised RE Sales Rep?

If you are, may I suggest you have a look at Tony Cordato’s paper on the subject. To get access to the paper CLICK HERE. The relevant rule is Rule 4.

Cheers, Paul

Thanks for your post.  As a full time vendor financier and one of your ex students I found it fascinating.  Good luck to you and the WA law society for backing that young fellow.

It's always been interesting to me to see how vested interests react to new ideas that threaten the status quo

Cheers, Paul

Getting Australian Credit Licence coverage for these transactions will just be one of the  hurdles you face for this project, but it shouldn't be too difficult to jump.

Cheers,  Paul

In NSW it's easy as you have to attach the Contract of Sale to the Option, so we just attach an Instalment Contract.

For WA, I'd suggest you get your lawyer to specify, in the Option, that upon exercising the Option the buyer will have the choice of a standard Contract of Sale or an Instalment (Terms) Contract with the following…[Read more]

The hurdle you're facing revolves around the number of transactions you be undertaking, i.e. around 50.  Obviously, these transactions will be undertaken with consumers and 'in the course of a business' (ASIC's wording).

As both 2nd Mortgages and Instalment Contracts are credit contracts, in both cases you would be providing credit and…[Read more]

As Tamara mentioned and in the interest of balance, both press releases can be viewed at:
https://vendorfinanceinstitute.com.au/consumer-protection-wa-our-industry-moves-forward/

Cheers,  Paul

We have been working in the residential real estate vendor finance market place since 2003 and you may be interested in a blog post I've posted called '10 Mistakes to Avoid with Vendor Finance'. It's at:

10 Mistakes To Avoid With Vendor Finance

The Vendor Finance Association is a great place to meet…[Read more]

Cheers,  Paul

Regarding Instalment Contracts, Stamp (Transfer) Duty is payable, in all States except Victoria, within a certain number of days of 'exchange' of contracts.  In Victoria, the trigger for the payment of Stamp Duty is the transfer of title (for Instalment Contracts).

Yes, it is difficult to cover increasing interest rates using the Rent…[Read more]

You may get a more 'friendly' price point in the Newcastle region and the market is not as hot as the current Sydney market.

Cheers,  Paul

Also, a number of people here have been alluding to Deposit Finance, i.e. the buyer gets an 80% or 90% LVR loan and the seller provides a second mortgage for the remainder.  In this scenario it's important to remember that the lender under the…[Read more]

We have two small cheap vendor finance specific calculators:

The Joint Venture Calculator at  CLICK HERE, and

The negative2positive Calculator at CLICK HERE

Cheers,  Paul

Cheers,  Paul

Yes, the knock on effect for all seminar presenters may be interesting.

Cheers,  Paul

And paying the full 10% now places you in danger of the Contract going 'unconditional' at the end of the cooling off period, not the…[Read more]

A list of vendor finance educators/mentors for you to consider is:
Sean Summerville – http://www.thepropertyking.com.au/
Rick Otton – http://www.rickotton.com/
Dave & Julie Siacci – https://vendorfinanceinstitute.com.au/siacci-system-of-vendor-finance-1997/
Paul Zalitis – http://www.aussiewrapper.com/
It's worthwhile researching all these…[Read more]

Cheers,  Paul

I've got to agree with Terry.  We've been running our vendor finance business since 2003 and, without fail, every one of the the lease/options, instalment contracts, 2nd mortgages and deposit builders we use, to buy or sell with, is drawn up by our solicitor.

We also buy audit insurance from our accountant and we view using a solicitor…[Read more]

We use Joint Venture (JV) agreements for most of our vendor finance transactions.  Around 50% of our core business is JV's with investors who want to get into vendor finance (VF).  This involves buying a property traditionally and then on-selling it with VF.  The other 50% of our core business is JV's with frustrated, negatively geared…[Read more]

We have been working in the residential real estate vendor finance market place since 2003 and you may be interested in a blog post I've posted called '10 Mistakes to Avoid with Vendor Finance'. It's at:

10 Mistakes To Avoid With Vendor Finance

The Vendor Finance Association is a great place to meet…[Read more]

Also, mentioned above is the idea that you can do your own vendor finance legal paperwork.  You can but I strongly suggest you don't. Unlike the standard sale and conveyance of a property, that normally takes a few weeks to complete, a vendor finance sale is…[Read more]

Cheers,  Paul

I've never used APM but I've now used both PriceFinder and RP Data.  My experience is that they're both very similar but PriceFinder is much more competitively priced.

Cheers,  Paul

We've been with RP Data for many years and we still are, as we have to give 3 months's notice to RP Data to close down our subscription.  Therefore I still get all the updates and newsletters from them.  No mention of any changes there.  So, if there's nothing happening at RP Data, I guess the same applies to PriceFinder.

Cheers, …

I guess it's worth looking at the risks involved, as compared to buying with a traditional home loan'

1/ You pay well above market rent which goes towards a deposit for the home.  Most people understand that you pay more per month to buy a home than you do to rent it.  As you say, with a Rent To Buy, you do pay a higher monthly rent but…[Read more]

I'm guessing it should work well, especially when coupled with eligibility for the FHOG.

Cheers,  Paul

There are specialist vendor finance solicitors in Australia and I suggest you get an example from one of these…[Read more]

The level of regulation is quite extensive for the three most popular forms of vendor finance, i.e. Instalment Contracts, Deposit Finance and Lease/Options (Rent To Buy)

Instalment Contracts and Deposit Finance are credit contracts and are regulated by the National Credit Code (create by the National Consumer Credit Protection Act…[Read more]

Some of your questions can be answered by knowing the difference between types of Agent Listing Agreements used.

In NSW an Exclusive Listing entitles the Agent to get paid their commission if you speak to the Agent or the Vendor about the property during the term of the Listing Agreement.  Even if you come back after the 'Exclusive'…[Read more]

Jules does quite a bit of work for vendor financiers regarding Options.  He should be able to help.  His contact details are:
Jules Lewin – Solicitor
Charthill Legal
88 Cresswell Rd
Dianella, WA 6059
Phone: (08) 9375 5161
(m) 0417 921 428

Cheers,  Paul