All Topics / Help Needed! / Sorting out an application via Internet

Viewing 13 posts - 1 through 13 (of 13 total)
  • Profile photo of LadyMillionLadyMillion
    Member
    @ladymillion
    Join Date: 2008
    Post Count: 8

    Scenario: 1x self employed, earning average 50k nett year and partner govt employee earning 55k nett p/year.
    Already have a mortgage on a residential property and looking to buy an investment property which is residential and business. Only wanting to borrow around $430k and have 10% deposit. Will live in the investment property and rent out the current home for $380-400 p/week.

    We only want to secure a residential mortgage – no LMI would be great. Vendor is going to arrange finance for the existing business (we know the business and have no problems with turnover etc). We have a broker looking at splitting the loans resi/busi. But I want to ask the experts in this forum for your valuable opinion.

    This whole process is taking some time to get answers to and not to be 'doing nothing' – I'm always looking to try and hasten the process and generally look online to see what other products are available. I would prefer to apply online without having the follow-up calls and visits. And get an answer by email.

    Be great if there was one site you could confidentially pop the details in and send off to the banks/nonbanks and wait for a response. Is there such a site I ask?

    Moo

    Profile photo of GPSnetworkGPSnetwork
    Member
    @gpsnetwork
    Join Date: 2005
    Post Count: 313

    I guess you are better off being recomended to someone that works in the bank or broker whereby you can email them your situation and they can respond to you that way, what state are you in?

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024

    No there is no such site.

    In saying that most Mortgage Brokers will give you the same service.

    Couple of quick observations:

    1) Why are putting down a 10% deposit on an investment property when you have a personal mortgage with non deductible debt.

    2) What entity is being used to purchase the business ?

    3) Slightly confused as to the security when you say business and investment ….. can you clarify.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me

    100% Investment Finance now available on selected properties. Email us for further information.

    Profile photo of yarposyarpos
    Member
    @yarpos
    Join Date: 2004
    Post Count: 247

    "Will live in the investment property and rent out the current home for $380-400 p/week."

    If you are living in it , its not usually classed as an investment property (are you planning to rent out parts of it?).   Will probably come out when you clarify the points the other posters have asked for

    Profile photo of LadyMillionLadyMillion
    Member
    @ladymillion
    Join Date: 2008
    Post Count: 8
    GPSnetwork wrote:
    I guess you are better off being recomended to someone that works in the bank or broker whereby you can email them your situation and they can respond to you that way, what state are you in?

    NSW

    Profile photo of LadyMillionLadyMillion
    Member
    @ladymillion
    Join Date: 2008
    Post Count: 8

    1) Why are putting down a 10% deposit on an investment property when you have a personal mortgage with non deductible debt

    2) What entity is being used to purchase the business ?

    3) Slightly confused as to the security when you say business and investment ….. can you clarify.[/quote]

    Yes sorry – I am new at this.
    We currently have a mortgaged home but are looking to buy, as an investment – a freehold business which has a residence attached. We will put in a manager for the business but live in that residence and look to rent our current home. Hope that makes some sense. I guess I'm looking at an investment loan the same way I looked at our first home loan – maybe that's not the right way to proceed.

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024

    Again without actual figures and numbers it is difficult to make recommendation or comment.

    You will however find that as a standalone deal at a 90% LVR no lender will waive the LMI in todays climate.
    A few lenders do not charge LMI but charge a Rate Fee or similar to compensate for the lack of LMI.

    Structured correctly the loans would be standalone and not cross collateralised which potentially could reduce the LMI exposure.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me

    100% Investment Finance now available on selected properties. Email us for further information.

    Profile photo of LadyMillionLadyMillion
    Member
    @ladymillion
    Join Date: 2008
    Post Count: 8
    Qlds007 wrote:
    Again without actual figures and numbers it is difficult to make recommendation or comment

    May I ask if you do loans in NSW or just QLD? Would you mind if I sent you an email with our figures so that you may comment?

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024

    MM

    Yes i have clients all over Australia including dozens of forum clients from NSW.

    Feel free to drop me an email and I will respond to you in the morning.

    Be happy to offer you some advice.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me

    100% Investment Finance now available on selected properties. Email us for further information.

    Profile photo of GPSnetworkGPSnetwork
    Member
    @gpsnetwork
    Join Date: 2005
    Post Count: 313

    I also know someone in Sydney from the Stgeorge bank that is actually very freindly and happy to assist, if you like I can pass on her details.

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024

    Roy

    No disrespect talking directly to the lender they are never going to tell you that you can do better elsewhere.

    SGB also have a condition in their mortgage deed that all loans under the Professional package have to be cross collateralised which is hardly good advice for an investor.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me

    100% Investment Finance now available on selected properties. Email us for further information.

    Profile photo of GPSnetworkGPSnetwork
    Member
    @gpsnetwork
    Join Date: 2005
    Post Count: 313

    I hear what  you are saying and I agree with you, I just offer it cause some clients have a prefrence to deal with the bank direct and others rather talk to a broker, I think you are better hearing both offers before making any decisions, that's what I do.

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024

    Agreed just as i said no Bank is going to now what the rest of the market can offer or tell a client they can do better.

    Lending officers are not qualified or licensed to provide any form of financial advice and this day and age are merely information providers.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me

    100% Investment Finance now available on selected properties. Email us for further information.

Viewing 13 posts - 1 through 13 (of 13 total)

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