Search results

Not sure about question 2 or 3 but lenders do not like lending on commercial properties where the tenant is the landlord. They reduce the LVR on these type of deals. Oh and 80% LVR on a prime commercial property is pie-in-the-sky unless you want to pay double digit interest rates. And even less...

Yes that sounds right. That's not what I was talking about though. X-Coll is most annoying when you haven't even defaulted...if you choose to do a progressive sell-down of your properties, the bank will have full control of where the money goes. Most times, all the proceeds will be used to pay...

8.35% for a standard commercial property loan where the borrower is OK at best is pretty standard across all banks. You might get it a bit cheaper here and there, but you can't compare it with residential rates because it's so different. If you want a rate in the mid 7s, your comm LVR has to be...

I take it if he bought the new property he would close down the existing restaurant? Or will he keep both? In either case, commercial property's maximum leverage is ~70% so he'd need more than 50k even if he could service the debt. This may have to come from either a cross collateralisation or...