Regardless of what anyone thinks of McDonalds, their business models are exceptional and one that many people should aspire to.

Their model regarding purchasing of sites is done in such a systematic way that I don’t think they would ever lose on a property purchase.

Regarding their retail model, need I say more than they sell hamburgers?…[Read more]

Destined,

You really need to sit down with a mortgage adviser. You might not have any issues at all when you go through ALL the details with someone with some experience.

A tip….

Never rush into anything just because you fear you might lose the opportunity. You will find that another opportunity will almost always present itself and it will…[Read more]

He is looking to “borrow from” Nat.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and should not be construed as individual advice.

© 2004 Mortgage Packaging Pty Ltd

“Subject to finance”, “subject to valuation” and “subject to satisfactory pest and building inspection” are common clauses.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and should not be construed as individual advice.

© 2004 M…[Read more]

Kiwi, all accounts clauses are rare in Australia. I have yet to see one.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and should not be construed as individual advice.

© 2004 Mortgage Packaging Pty Ltd

Brahms, when loans are packaged and on-sold as outlined by Nat, there is no detrimental effect whatsoever to the borrower. It does not change the loan type at all. It merely takes that parcel of loans ‘off-balance-sheet’ meaning the lender can lend more money.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E:…[Read more]

Fire, don’t worry about the $4. It is only a rounding error. It is $20,000 a year.
200,000 x 10% = 20,000 per annum
20,000 / 12 = 1666.66 per month

The discussion would even confuse me so far. I hope the following helps. There are three types of repayments. These are P&I, IO and now PO.

P&I – principle and interest
IO – interest only
PO -…[Read more]

Jhopper, I think that is called fraud.

In destined’s case though it is a little different. You are still eligible for the FHOG.

Your dad’s full income can be used but I would structure the deal differently (if your dad has equity in his home) so the new loan and the new property will only be in your name (if he trusts you).

How much equity…[Read more]

You can get 80% LVR and possibly more if you have other property and cross-collateralise. It sounds like a hotel conversion to me.

Find a good mortgage adviser to help you through.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and…[Read more]

I think it is great how you structured that. I would look at the cost of all the finance first especially the cost from the vendor. Otherwise, 230% sounds good to me!

Remember, you need to sell to collect…

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are…[Read more]

No problem. Good luck with the hunt.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and should not be construed as individual advice.

© 2004 Mortgage Packaging Pty Ltd

Hey Ed,

It is not often I hear someone complain about the NAB personal banking service. WOW!

Anyway, you could also speak to a mortgage adviser before finding a property. It does not cost you anything to organise a pre-approval to your limit. It will also give you an indication of what price range you can look for.

Regrding your existing…[Read more]

You must be from WA. Try sarching for Conveyancers or Solicitors. They don’t use Settlement Agents in Queensland.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and should not be construed as individual advice.

© 2004 Mortgage Packaging Pty Ltd

Finding a property is not my area of expertise. You should get a lot of response on here from that question.

It is hard to say yes over the phone without submitting an application. They also need to do a credit check. I don’t know what your other liabilities are like, but this might also be an issue. With an 80k income, you should have no…[Read more]

http://www.mortgagepackaging.com.au/index_files/reverse_mortgage.htm

If that is not enough, let me know. I will send you a brochure from one of the providers which clearly explains it.

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.au

Comments made are of a general nature and…[Read more]

Also, you can keep pumping all your income into the non-deductible portion of the loan (the offset account) until you need so you will be reducing your non-deductible debt fairly quickly. Using a credit card may also help.

Check this out and let me know what you think:
http://www.mortgagepackaging.com.au/index_files/professional_pack.htm

Your…[Read more]

Terry, I think the huge thing that came out of Hart’s case was that the issue did not stop with capitalising the interest. It extended to loans that were structured to push more of the expense onto the investment property. There is no problem having a huge interest rate on an investment property but why would anyone do that if they could take a…[Read more]

There is alwas the reverse mortgage option when you hit age 60 and are retired. The way superannuation performs, I would rather pay off some properties and use the equity later if I did not have enough cash flow.

REVERSE MORTGAGES, REVERSE MORTGAGES, REVERSE MORTGAGES

[cigar]

Robert Bou-Hamdan
Mortgage Adviser

M: 0414 347 771
E:…[Read more]

Hi pwatkins,

The US is totally different to Australia. We do not use the term foreclosure for one.

A Line Of Credit is simply a loan type. I still do not see any benefit in using the more expensive Line Of Credit when you can achieve the same thing with a cheaper interest only loan and an offset account or an all-in-one loan. When the interest…[Read more]

In your example, changing it to commercial would mean that you could rent it for more money. This would mean higher annual rent which would increase the purchase price. A reduced rental return would most likely occur as well when considered in reference to the new purchase price.

I think of it like this:

If I had two properties side by side…[Read more]