5 years ago i went bankrubt (failed relationship) in august 22 of this year it should fall of my credit history. I want to buy an ivestment property for about $80000 i have a deposit of $40000. my question is, is it going to be hard to get a loan and can i get a loan and what can i do to improve my chances or can anyone advise what road i should take to start my investment portfolio? kind regards. SJ
Cant see an issue in obtaining finance although it will depend on the date you were discharged (assuming you are) however the price of the property concerns me.
At $80,000 it is either very small or very regional and that may scare some lenders even at a 50% lvr.
In saying that all things being equal you should be fine.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi SJonesy
If it has dropped of your credit file and you’re only borrowing 50% you should be right. However, I’d double check that it will be removed this year.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
thanks for the feedback. the property is in the country its a four bed house being rented for 160 p/w so if my numbers are correct thats a 20.8% roi thats with a $40,000 deposit and thats if i pay the full asking price. this should help towards the loan being approved? should i use that amount as a deposit or should i invest in another property as well? or just go with the the first plan seeing that im coming back from a rough time?. kind regards SJ
If your have the serviceability capacity to put down a lesser deposit and buy a 2nd property then i would certainly consider that.
Going to need minimum 20% deposit plus costs based on the fact that your credit report is clean as a whistle.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
The credit history alone will not exclude you here. However, don't forget that lenders are going to see how you are using credit now as well. Number of applications etc. Use caution here.
Don Nicolussi | Mortgage Broker - Home Loan Warehouse
http://homeloanwarehouse.com.au
Email Me | Phone Me"I think of finance as a technology, a way of getting things done." Robert Shiller
Why not try 20% LVR 1st? Keep the rest for the next opportunity..
A broker should be able to tell you straight away if it will be ok or not, Id try that before going near any bank..
the rest of the $ you have for a deposit will only be repaid over a long period of time and that doesnt make sense to me as an IP
I guess it depends on how many you wish to own in your strategy..?
I think you may find that bankruptcy is listed on your credit file for 8 years.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
i just read my bankruptcy aggreement and and it says, ill be discharged at the end off three years and it will remain on my credit history for five years and if i brake my agrreement and found guilty ITSA will extend the period of bankrupcy up to 8 years or 3 years imprisonment. Ouch
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