Hi guys
I am currently in the processing of financing a home split into 2*2 bed units with own kitchens and metering. Bank west is apparently having reservations about lending 95% . Is this normal and do other banks look at this differently. Anyone had experience with this ? Thanks guys
You need to use another lender that will take mutliple properties on the one title – there's options out there.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
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Thanks Jamie. Does it matter if its not an approved dual occ. apparently the building is old and there is no documentation around this ?
duplicate post, apoligies.
Colin Rice | CDR Finance
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Email Me | Phone MePerth Based Mortgage Broker - Investment Property Finance Specialist | E: [email protected]
You would struggle to get a 95% lend in my experience and if not approved valuation could be an issue as well.
Colin Rice | CDR Finance
http://cdrfinance.com.au/
Email Me | Phone MePerth Based Mortgage Broker - Investment Property Finance Specialist | E: [email protected]
Hmmm – that's an interesting one.
At 95% it will be tough because it will need a valuation – and the valuer is likely to flag that issue.
If it was at 90% and you were able to get by without a val then you could be ok.
Generally speaking though – a couple of units on the one title can be considered at 95%
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]
Bankwest shouldn't have an issue financing this unless there is a specific issue.
What have they advised you?
Are you dealing with them direct or via a broker?
Also have they done the valuation? Do you have the valuation report.
You shouldn't just apply with another lender because at 95% LVR you don't want multiple hits on your credit file.
TheFinanceShop | Elite Property Finance
http://www.elitepropertyfinance.com
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Hi guys. Thanks for all the replies. Valuation should be back today. Hopefully I am overreacting. Fingers crossed it goes through. I went through a broker. Apparently they have only "mentioned" it to him after they saw the property. Will post the update on here tofay
The valuer spoke to the broker? Hmmm that doesn't sound right?
TheFinanceShop | Elite Property Finance
http://www.elitepropertyfinance.com
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Hopefully things will go through for you at 95%. I know how it feels when you aren't getting much information back and you don't know exactly what's going on.
My fingers are crossed for you also and I hope it will be a good investment for you.
Will it be positively geared?
Ryan McLean | On Property
http://onproperty.com.au
Email MeHi Guys
Thanks again for the comments
Shahin – I think the issue arose when there was 2 different lease agreements supporting the rental income as the valuer hadnt been out as yet. Valuer has been out today . Awaiting to hear back
Ryan – Cheers ryan , It just seems like a silly policy . It sounds like if I was to live in it then there wouldnt be an issue. Not common sense at all. It wont be positve as I am using equity as a deposit. Purchase price is $380k with rent of $450 although I could do a small cosmetic touch up and push rent to $500
I like the fact its a 784sqm block and has options down the line for development. I also want to move there in the future so could also be PPOR
Will come down to the valuation and would have been a better CBA deal as you could have ordered the valuation first and look out for any negative comments + CBA would have supported this sort of security. But not sure about the rest of your financial position so maybe bankwest would have been the only fit? not sure..
Mick C | Shape Home Loans
http://www.shapehomeloans.com.au/
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Thanks MIchael
I have 40k cash and 23 k equity so could have squeezed a 90%LVR but went through bankwest because apparently allowed 95% LVR with LMI
Awaiting there response … didnt even consider the dual occ issue as this deal came on very quick and wanted it done before weekend but will see how it goes
My broker said it bankwest Val comes back at 380k and dual occ is the only issue then commbank should be alright with it hopefully
I assume commbank more room to move with riskier deals as they are a bigger bank . I remember 4 years ago bankwest actually knocked me back for a deal due to my investment partner only being part time and commbank took us on so maybe with the track record there that will go in our favour
Still have current loan with commbank
Hi Guys
Just to give you all an update.
Bankwest declined the loan due to the dual occ/dividing wall between the property which makes it dual occ
I can only go off what my broker has told me
Waiting to hear from commbank.
Hopefully they will be ok . fingers crossed
CBA does dual occ- i do it all the time with CBA + various other lenders…never done dual occ with Bankwest that's why i was a bit surprised your broker suggested bankwest.
The only issues you "may" have is having multiple credit hits, not sure how your credit file looks likes but CBA is very strict on credit rating and even a small $1 default on a CBA saving account would trigger an auto decline.
Mick C | Shape Home Loans
http://www.shapehomeloans.com.au/
Email Me | Phone MeSame Banks. Better Rates. Served With a Passion.
Thanks Michael
Its not so much declining the "dual occ" but its the reinsurers because I have got less than 20% deposit
I had no plans on buying dual occ hence going through bankwest so just a bit of bad luck
Had 2 home loans through CBA with good record plus $40k savings and $25k usable equity with property with CBA.
I can afford to chip in 12% deposit for loan so hopefully CBA see that as enough and previous history is good enough to get me by
Will know in the next few days I guess
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