Forum Replies Created
The title passes to a purchaser on settlement of a property transaction. That title simply has a mortgage over it meaning that any sale of the property would need to address the mortgage before title can pass again to a new purchaser. It is not a big deal.
If the clients are about 50 now, they should have no problem getting a mortgage. In any case, if they a wrapping, they would want out as quick as they could to take advantage of cheaper rates. They will only be with you for a few years.
Also, lenders cannot discriminate by age. If they can service, they can get the loan! Tell them to find a good mortgage adviser.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
If you are going to copy and paste this thread to Aussie, let John know that he owes me around 40k and if he keeps ripping his old brokers off, it will eventually come back and bite him in the bum!!!
At Aussie, they will save you…
At Mortgage Packaging, we’ll REALLY save you!!!!
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
You should be able to borrow more than you think. Some lenders will use child support if it is regular and you will be able to use rental income as well. There is always something that can be done especially with all the equity you already have.
Find a good mortgage adviser and things should become clear.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Yes.
Your advice was poor if you were being knocked back on LMI.
Crossed or not, if the total borrowings exceed 80% in most cases, there will still be LMI. If your borrowings were under 80%, you could have done the loans as stand alone.
The main reason I am against cross-collateralising is because if things go bad, the lender will sell the most ‘saleable’ property and you will have no say in the matter. If they are stand alone, you can focus on making payments on the properties you want to hang on to and the risk will lie with the ones you are not so concerned about. Good management avoids losing anything of course.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Do you want to do me a favour 2young???
Can you write to the Minister asking him why you are not allowed to select your own broker if they are not licensed in WA?
It is a breach for a Mortgage Broker to write a loan for a WA resident if they are not licensed in WA.
Mention my name if you like as he is very familiar with me!
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
I think the Bloodline Trust would have had to be created before the father died. I believe it is too late for that.
Regarding the existing assets, the new guardian will probably become the trustee for the children. If there are no relatives, it may be the Public Trustee.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Everyone is assuming there are Capital Gains. The property was bought in the beginning portion of a downward or sideways property cycle 8 months ago so the Capital Gains, if any, would be minimal. You would probably even have a huge tax loss to offset against future income when considering costs to get in and out.
Unfortunately, the property being a holiday house (ie: not available for rent at market rates) may result in no deductibility on expenses.
I think it is up to you if you have an emotional attachment or want to turn over your funds to increase returns.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
I should add to my earlier comment about the main difference between a Line Of Credit and Standard Loans is a cheque book before someone bites my head off.
A true Line Of Credit is also evergreen. This means that it can go on forever. You get approved for a set limit and can draw up to this limit as often as you like. A standard loan has a set-term (amortizes) – usually 30 years.
I consider this difference obsolete in the current market as the average loan term is now less than 4 years as a result of such a competitve market and forever changing products.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
I loved ‘The Young Ones’. I was shattered when it went off the TV.
Vyv, you might have some trouble with security types. They are not considered favourable when they are so big and so far from Metropolitan or Regional centres. More deposit will be needed and/or possibly higher interest rates.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
There is a little bit of information available at:
http://www.mortgagepackaging.com.au/index_files/product_types.htm
Don’t forget to check out “No Doc” loans as well. These are also commonly known as “Asset Lends”.
The main difference with these types of loans are the different documentation requirements. The products are predominantly the same.
Happy hunting.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
You can get 80% on Commercial if it is a strong deal. I would also advise trying to secure funds against residential security as the interest rates for Commercial Finance are often 1% or more than that for residential security.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
A 30% vacancy rate is very commonly used by lenders in their servicing calculation.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
You could always keep your house and buy the new place if you can afford that.
Alternatively, you could utilise a bridging loan so you would not have to rush to sell your house.
Either way, you might like to at least get a conditional approval (pre-approval) done as soon as possible to know the lender will forward the funds. Sit down with a good mortgage adviser and all will be clear. Ask about bridging finance!
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Good point.
I am having a very relaxing weekend overall. I am juat playing around online all weekend.
I hope yours is going well also.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
The only person benefiting from cross-collateralising is the lender taking the security. Having multiple properties provides them with the opportunity to sell the most ‘saleable’ property in the event of default (taking possession).
I think people are mad to cross-collateralise unless there is a security type issue that requires it to increase the LVR.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Anna, try this….
http://www.mortgagepackaging.com.au/index_files/professional_pack.htm
I would also advise interest only.
You can set up the investment loans as you need them. Stay away from a Line Of Credit (http://www.mortgagepackaging.com.au/index_files/line_of_credit_all_in_one.htm) as they are usually more expensive and the main difference is a cheque book.
Find a good mortgage adviser.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
You do not need big deposits to buy property. You need an imagination and some knowledge. You can buy properties for less than $50,000 where the deposit is minimal and you can buy properties worth $750,000 and the deposit can still be minimal or nothing. It is how you want to proceed that must be decided.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Life,
Just quickly, it does not need to be a LOC.
Regarding your example, I would assume you did the CoCR calculation when you bought the first property that you now have equity in. Taking equity to buy another changes a lot of figures. I personally do not see this as a new CoCR but as a continuation of the existing CoCR figure if I have not put more money in.
I do not consider equity as cash until I sell and the funds are in my account. The new purchase is funded by your initial cash outlay so why would you calculate a new and seperate CoCR? It might be a technicality but I call this an opportunity cost calculation when deciding how to use funds raised from equity.
Maybe Steve could comment on this one????
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Adrian,
This applies to all loans. In any case, if the acreage is less than 50, it should not pose a problem and vyvyen said it was in Perth so it does not sound remote.
Also, being a “licensed” broker has nothing to do with reputation. Licensing is a WA thing and means nothing in the rest of Australia. I have more qualifications, as do most of the brokers on this site, than is required in WA but we cannot be licensed because we don’t live there. If living in WA makes a broker reputable, I will retire today.
In case you haven’t gathered by some of my posts, I am at the forefront of getting the MIAA, the FBAA and the AIMB to push the FBSB to have the residency requirement removed from the legislation so we can operate freely in WA just as WA licensed brokers can operate freely in all other States.
Nothing personal – the WA legislation just fires me up because it is preventing a large marketing move I wanted to make in WA.
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
Do you really care if it is ’embarrassing’ or not? If I could get a property for 100k or 200k cheaper, I would dress up in a chicken costume on national television. Who cares what other people think?
Robert Bou-Hamdan
Mortgage AdviserM: 0414 347 771
E: robert@mortgagepackaging.com.au
W: http://www.mortgagepackaging.com.auFREE Finance-Related Newsletter: See – http://www.mortgagepackaging.com.au/index_files/newsletter.htm
Comments made are of a general nature and should not be construed as individual advice.
© 2004 Mortgage Packaging Pty Ltd
