propertyboy wrote:
In the end of the day, all you have to do is fill out a form and register it with the land titles office, no one checks the validity do they?

Who told you this? i wish it was this easy …would make some of my caveat deal easier lol

Regards
Michael

ris4rob wrote:
So if i am looking at maxing my borrowing power then i should definatly go for the variable

It depends on the bank. if it’s CBA that you want to go with; then it makes no big diff to your borrowing capacity if you go Var or Fixed.

Regards
Michael

Hi Rob,

Firstly Welcome to the forum and i hope you enjoy your stay and can learn + share some extra ideas!

Looking at the rate you have quoting im guessing your going with ANZ? or Suncorp? and there is a restriction that your LVR needs to be under 80%? if so then i would say your best to pay a bit of LMI for what you want to achieve ( buy more…[Read more]

With your equity- your employment won’t a major issue…

In fact you don’t even need to go down the No doc path- there are Low doc providers that deals with ABN less then 6 month.
As long as you can afford the loan; the lender is not going to have a issue.

These specialized lenders are small lenders; so they are not your traditional banks;…[Read more]

1. You pay stamp duty on the portion your buying
2. Yes the bank needs to assess your loan again…so yes you will need a job for the bank to be able to “lend” you the money for the buy out.

Regards
Michael

Jpcashflow wrote:
I agreeAlot of lenders have lost the plot at the moment.cheers

For you i be CBA

Haha

Regards
Michael

twafy wrote:
Stuck on the serviceability issue, my broker reckons I'm pretty much leveraged to the max, (maybe need a new borker I have 3 IP's and my PPOR, I want to get into CP+ properties in the mining ports Karratha, Port Hedland ect but servicing the loans would be an issue with the banks.Having read much material on using equity after your…[Read more]

Qlds007 wrote:
Yes Michael dont you love the Bank West Pre-approvals.We approve your loan conditional upon you submitting a new application and all supporting documentation and we going through it with a fine tooth comb and seeing if there is any reason why we cant decline it.Luv those lenders.CheersYours in Finance

God bless them,…they…[Read more]

Ossi89 wrote:
Thanks for the great infomation eveyone. I am very new to all of this so my questions are quite basic. The loan is relatively small as I am buying in a large country town, and my dad has agreed to cover any repayments (if the property is vacant) while I am finishing my last year of university. I currently have a pre-approval so…[Read more]

Hi,

1. If you fix you can choose P&I or I/O
2. Fixing a loan will generally improve your borrowing capacity- as some if not most lenders will be happy to use the “fixed rate” rather then their sensitivity rate which is much higher in term of serviceability calculation.

My personal thoughts is rates will drop; if anything it def wont go up…it…[Read more]

Hi Grant and welcome to the forum.

You sure have some big and well thought out plans!!
It’s good to have big plans but you should take it slow and not jump stright into the deep end at first go…your only 20 you got plenty of time left up your sleeve to make money from property investing….

Property development is a totally different ball…[Read more]

Ossi89 wrote:
Thanks Michael! Is is likely that the bank would find out that I’m no longer in full time employment? In other words, how often do they check the loan applicants financial details between the time of pre-approval and settlement? Also, am I obligated to advise the bank that I am no longer employed. As I said before, servicing the…[Read more]

Hi,

Is this a pre-approval only? meaning you have NOT found a place? and the bank has not issued a final unconditional approval??

The question of will the bank check?- WHO KNOWS …anything is possible. best to avoid problems so i would say hold off on buying till you have full or perm part time employment again…

There’s a famous case that…[Read more]

Sydney.

Regards
Michael

matthew.f wrote:
I thought I would share my frustration with some new bank lending criteria. I have sourced a property in Brisbane 2km from CBD. Returning just over $1,100 per weeks and for sale in the low to mid $800k’s. Gross returns for a house @ approx 7.2% gross returns. With 10% deposit and such great returns it seemed a no brainer. This…[Read more]

Hi Amanda and welcome to the Forum.

Based on what you have given- you can afford a loan of around roughly $265,000.
I added your child as dependent still as to become “financially independent” she/he needs to be over 18 OR have moved out etc…

The question of IF the bank would lend or not is a diff story and would require a lot more personal…[Read more]

There 4 banks in aus that would deal with NZ security, 3 small banks and of course there’s the well known ANZ.

ANZ- note your broker may not be accredited with ANZ (NZ); as i think there’s only less then 5 ANZ brokers in AUS that’s accredited with ANZ (NZ) – im not one of them as well ….but i can refer you to one who is. PM me.

Else you will…[Read more]

It’s good service that your RAM manger has given you a call.

But to be honest this 12 month fix rate is more of a “bait’.

1. Rates is unlikely to go up…in fact it will stay the same or come down
2. 6.3% for 12 month is a very poor rate in term of” fix rate pricing” …when you compare fix rate, you need to compare it to another fix rate as…[Read more]

wealthcreation wrote:
Thanks.

Therefore, in this case, I am doing the following steps –
1. Put IP deposit amount from the offset into home loan which is Principle Place of Residence(PPOR).
2. Then re-draw/recall the deposit amount and spilt the home loan into 2 parts 1. Line of credit and 2. remaining home loan.
3. Use the line of credit for…[Read more]

gabsman wrote:
Angus are you saying that these loans with an offset/redraw account would satisfy the taxman as a ‘proper’ offset account?

Similarly, Richard, are you saying that they would not?

Do either of you have evidence to back this up, or is it just interpretation? Why doesn’t FirstMac/Kim Cannon apply for a ruling on this and dispel all…[Read more]