Hi AnnaFirstly welcome to the forum and I hope you enjoy your time with us.Certainly the amount of deposit will aid your cause but the biggest hurdle i can see is showing sufficient serviceability to borrow anything as the new Credit Act which came into play Jan 1 places greater emphasis on your ability to repay the loan.Of course you will be able…[Read more]

Hi WynardYes lender would look to take 40% of the capital growth.Personally i would think when you are getting into a property that maybe better than would be if you had to support the total loan  then giving up some of the capital gain isnt a bad thing at all. A percentage of something is a lot better than 100% of nothing.CheersYours in Finance

Hi CarlHate to say that Private Investors and Vendor Financiers are still required to fall under the requirements of the new National Consumer Credit Protection code so using a Private Investor doesnt get you around the serviceability guidelines.Even on a LVR basis maximum loan a private financier would probably look at would be 70% of valuation /…[Read more]

Hi CathNo you an certainly buy in your personal names but you cannot change the structure or percentage ownership wihout incurring Stamp Duty or possibly triggering Capital Gains Tax.With a Discretionary Family Trust you have such flexibility.CheersYours in Finance

Hi ILSure feel to shoot us an email if you like.I am actually in the UK on holiday but flying back to Brisbane this weekend so will back on board from Tuesday onwards.Why not ask NAB to give you a current interest rate and then we have something to compare it against.By the way we dont charge any fees as like most lenders are remunerated by the…[Read more]

As Terry mentioned taking the lodoc option used to be the easy route for a lot of bankers and brokers when with a bit of financial understanding you might find it is not necessary.CheersYours in Finance 

Hi IronladyCant see an issue with what you are doing however raising a 20% deposit on a Commercia property may mean the lnterest rate and set up costs are higher than they would be on a residential loan. Also NAB legals will want to charge you even under a Choice Package to assess the Trust Deed and Constitution.Could certainly do…[Read more]

Hi blakeRegretfully whoever told you this is incorrect and as SNM mentioned can only be done with a SMSF.In saying this of course even with a self managed fund there are many restrictions and requirements.CheersYours in Finance 

Alternaitvely contact Jamie who has answered your enquiry already and should be able to assist.CheersYours in Finance 

Hi AirstrikeNot suprised Anz said the deal was borderline as they are not the best when it comes to self employed clients.You mentioned that the majority of your income is earned between September and April so this will show up in your Annual Tax return upto June 30 of each year. Based on the fact that everything else remains equal i cant see…[Read more]

Or look up Nigel Kibel from the forum here (based in Melbourne) and ask him to share his experience as he has been involved in the US market for sme years now.Just look up previous posts and get his contact details.CheersYours in Finance

Hi CathWhy would you be concerned by the valuation of your properties if they are not be cross collateralised ?Also sure you can put 3 names on the mortgage but how will you hold the property – that is the important part.Your husband would not be a Trustee given his Credit History but a Beneficiary (There are a few lenders who require personal g…[Read more]

Hi WendyAlistair (A Perry) is an expert on development finance and has already given you some information so if you decide to proceed why not give him a shout and get him to assist you with the process.CheersYours in Finance

Didnt he invent the telephone ?Sorry just couldnt resist that one.CheersYours in Finance

Wont comment on the pluses and minuses of doing this but would make comment on the lending side.Strongly recommended that you if you have a  P & I loan you switch it to an interest only with 100% offset as this will preserve the interest deductibility

Hi CathyHate to say under NCCP it is not as simple as that and there are too many variable to listAs Jamie mentioned some lenders will take between 75 – 80% of the potential rental income into consideration others will take between 0-100%. Some lenders use a sensitised rate (so assume you are paying 7% they might add on a margin and work out the…[Read more]

And of course potential rent and negative gearing if aplicable.CheersYours in Finance

Hi TommyFirstly you could probably save 0.7% plus by considering refinancing the IP and this will make a big difference to your cash flow.Couple of lenders i can think of and you would be looking at circa 6.9% for an equity loan (even less if the lvr is less than 65%).I assume you have lodged a PAYG Tax variation so should be seeing the benefits…[Read more]

Hi CathWouldn't use a maximum lvr loan as LMI will be high and unecessary. Put the property and loan in the name of the Trust and that will benefiit you for future deals especially when your husbands income can be used when his credit history improves.  Probably still make him a beneficiary anyway.CheersYours in Finance 

Hi TommyFirstly welcome to the forum and I hope you enjoy your time with us.Whilst I have to hand fairly limited information in relation to your incme and expenditure I will ignore this for the purpose of the exercise and focus mainly on the structure question.I will assume that your investment LOC was used solely for investment and that there is…[Read more]