rental consideration

Viewing 9 posts - 1 through 9 (of 9 total)

YoungInvestor
Participant
@younginvestor
Join Date: 2003
Post Count: 377
March 14, 2004 - 3:05 pm
For the brokers, what percentage of rental do NAB and Westpac each take into consideration for loan repayments?
Thanks,
Steve.
“Knowledge is Power”
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
March 15, 2004 - 6:46 am
Don’t deal with nab, but Westpac only takes into account 75% of the rental income. However, they are fairly good overall from a serviceability perspective.
Terryw
Discover Home Loans
North Sydney
[email protected]
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Stuart Wemyss
Member
@stuart-wemyss
Join Date: 2003
Post Count: 598
March 15, 2004 - 8:46 am
If the property is tenanted NAB may take 100% however if it is not yet tenanted then they may only use 60% (but there is some discretion).
NAB’s qualification interest rate is 2% plus the standard variable (i.e. 9.07%) which destroys borrowing capacity.
Overall, NAB is at the lower end in terms of borrowing capacity.
Cheers
Stu
FYI
Member
@fyi
Join Date: 2004
Post Count: 27
March 19, 2004 - 4:27 am
YoungInvestor,
Don’t you work for the NAB?
The other two people who quoted the percentages for you are 100% correct.
Sometimes NAB DO look at the whole rent, depends on who your personal banker there is, and whether it needs to be referred to a higher authority.
Cheers
[email protected]
YoungInvestor
Participant
@younginvestor
Join Date: 2003
Post Count: 377
March 19, 2004 - 4:32 pm
Thanks guys, that’s valuable info for me!
Matt: Yes, I do work at NAB. Also, under what circumstances would it need to be referred to a higher authority???
Thanks again,
Steve.
“Knowledge is Power”
FYI
Member
@fyi
Join Date: 2004
Post Count: 27
March 22, 2004 - 9:07 am
Coming from NAB, any loan that the Personal Banker/Personal Banking Representative/Private Banker can not approve themselves under their DCA.
Anything ‘referred’ by Siebel, or higher than their authority, is forwarded to the next level, usually LSU in Seven Hills.
They can approve anything that is reasonable – especially for staff – as long as your case is strong. I have heard they are cracking down though. It really can make a difference who your is banker is though!
[email protected]
YoungInvestor
Participant
@younginvestor
Join Date: 2003
Post Count: 377
March 23, 2004 - 12:18 pm
Very interesting Matt,
Did you / Do you work for NAB?
Would “who” your banker is be more useful than the “relationship” you have with any banker?
I’m assuming the former…?
Thanks again,
Steve.
“Knowledge is Power”
FYI
Member
@fyi
Join Date: 2004
Post Count: 27
March 24, 2004 - 2:53 am
Answer:
Used to – worked for NAB – left last June to go into broking…
You have the other spot on – often comes down to who they are, not how well you get along with them! (although this can help of course – is this what you mean…?)
[email protected]
YoungInvestor
Participant
@younginvestor
Join Date: 2003
Post Count: 377
March 24, 2004 - 4:43 am
Yeh, that’s what i mean… [biggrin]
It comes down to both!
Its no use being best buddies with someone if they can’t come through for you because they dont know anyone. [comp]
It’s also no use knowing someone who has the final say for every loan in Australia if you don’t know them well enough for them to actually be bothered helping you [cowboy2]
Thanks for the help,
Steve.
“Knowledge is Power”