If your looking at Commercial, then even an Australia resident working here would have trouble getting 80%. Parking lots etc will be even lower – maybe 50% LVR of less.

Terryw
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terry@discoverhomeloans.com.au

you can do a title search for $8 at http://www.lands.nsw.gov.au/OnlineServices/DIYSearch/default.htm

Terryw
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terry@discoverhomeloans.com.au

ring a valuer from the yellow pages and pay $300 approx. Could save you thousands.

Terryw
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terry@discoverhomeloans.com.au

Oh. I think it has sunk in.

You are purchsing a property, and the wrappee is moving in on the day you settle. I was wondering why you would need a loan if flipping.

You will not be able to get mortgage insurance for a property to be wrapped (if you tell the lender). If you don’t tell, then it may be possible, and this will mean less of your…[Read more]

If you think the growth has finished, it may still be better to keep it because of the yield, but if you think values could decline, maybe better to sell and buy elsewhere, or ivnest in a different area.

Terryw
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terry@discoverhomeloans.com.au

Sorry, I don’t understand what you are saying.

You are wrapping, yet onselling on the same day?

Terryw
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terry@discoverhomeloans.com.au

I know it is better to pay off your home loan asap, but i wouldn’t be too worried about doing it too fast at the exclusion of investing.

If it was me, I would borrow to invest first and use the extra cashflow to pay off the homeloan. eg. Something simple, if you could borrow another $100,000 secured on your home, invest this into something like a…[Read more]

What are you goals? Do you want cashflow to retire immediately or build it up further by investing in high growth stuff, or a combo.
I would pay off any non deductible debt first, then get some investment property, using 20% deposits and borrowing the rest. Put some in shares, maybe margin lending, and keep about 10% for investing in high return…[Read more]

Hi. What will you use as security for your loan? If the land is owned by the uncle, you won’t be able to get finance using this as security.

Terryw
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terry@discoverhomeloans.com.au

Hi again

I think it will be impossible for you to get approved by mortgage insurance. Due mainly to you being self employed overseas.

There are other lenders that may consider you at up to 95% LVR, but the interest rates are going to be high.

Terryw
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terry@discoverhomeloans.com.au

Karen

yes. it does happen, and can even be worse.

I actually don’t think you have much to go on, as the bank did give you formal approval before they changed their minds. And they had previously informed you that they would only lend to 70% in that area.

But, complaining may still get you somewhere so good luck.

Terryw
Discover Home…[Read more]

Hello Dave

I think I know the units you are talking about. Beware, that they are very hard to sell, and there has been no capital growth there -ever. One of my friends bought one for about $100,000 about 6 years ago, she tried to sell it a few years ago and gave up.

There will be problems financing these as they are very small – less than 25 sq…[Read more]

Hi Anthony

The trouble is not with the banks, it is with the mortgage insurers. There are only two in the whole of Aust. Generally mortgage insurers won’t touch overseas residents. I am not sure, but maybe you are an overseas resident for tax puroses, even tho living here???? If we can argue that you are a resident, then it may be possible. I’ll…[Read more]

If you sell shares in the property, you may still have to pay substantial stamp duty if the company is land rich. If in NSW, have a look at http://www.osr.nsw.gov.au

Other implications are, people worry about taking over a company as it could have debts/guarrantee/tax problems/other problems and they will inherit these.

If 3 investors are going in…[Read more]

Sounds like you just have to keep comming up with deposits. Wrapping property helps as you get the cashflow and small deposits. So you wil have to just save like mad, reinvest all profits, wait for a few cashouts or take backs and/or find investors to supply deposits.

Terryw
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terry@discoverhomeloans.com.au

If you hold under a trust structure, any profits/gains could be distributed to low income earners who may pay little or no tax on the income/gains. This money could then be gifted back to you.

Terryw
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terry@discoverhomeloans.com.au

What he can do is buy the land, then get a mortgage. When he wants to construct, he then gets a construction loan with the same bank. It is not a second mortgage, but an increase in the first. Many banks will lend based on a % of the end value of the project or a % of the construction costs.

He must still have a good enouggh income to…[Read more]

I am no tax expert, but think there may be problems with borrowing money to make loan payments. If not structured correctly the interest on this borrowed money may be not claimable.

Terryw
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Mortgage Broker
terry@discoverhomeloans.com.au

renaeg

Don’t be too impatient!

If your properties have no potential for capital growth, if may be better to sell them now, and reinvest into something better.

Otherwise, just keep saving for the deposit on the next ones.

Terryw
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Mortgage Broker
terry@discoverhomeloans.com.au

you will have to setup your trust before you sign contracts. Trusts can minimise tax, but not risk. Trusts cost as little as $175 setup. http://www.cleardocs.com.au or http://www.lawcentral.com.au
You are probably after a Discretionary trust.

Terryw
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Mortgage Broker
terry@discoverhomeloans.com.au