Brisbane - Who'll lend 80%+ on CBD units?

[JoshyBoi]

Heya

Any lenders out there who will loan up to 95%+LMI on CBD units in Brisbane?

I'm contemplating a refinance and wondering if I can achieve what i want/need - current loan with homeside. The unit is being used by Oaks as a holiday let, however the building itself is residential.

Thanks
JB

 

[Peter_Tersteeg]

You're implying that you're looking for a 95% refinance? Regardless of location, it's almost impossible to fund a refinance higher than 90%. I'm aware of one or two mortgage managers who say they'll do it, but I haven't tested this (what's advertised and what is actually acheiveable are sometimes very different).

90% or below can be done with a few lenders, although the effect of floods is currently not known in terms of determining property valuations in many areas at this point.

 

[Rolf Latham]

be aware of frying your file with promises that cant be kept

Even though some of the smaller lenders say they can do miracles, while their in house policy allows it Genworth and QBE are unlikley to wear it.

ta
rolf

 

[Mick C]

95% Refin- not possible in this current market as the previous 2 poster mentioned.

Oak service apartment = even hardier! to achieve the higher % LVR. -

The question is;

1. Why are you wanting to change lender? ( homeside is not to bad and good rates - if you did Refin it be a lender less well known and slightly higher rate most likly like AFM )

2. How long have you been with Homeside? and is it fixed etc...

Regards
Michael

 

[Spectre]

...... although the effect of floods is currently not known in terms of determining property valuations in many areas at this point.

We've got a bit in the pipeline with flood impacted. Unconditional before the flood for the most part has been meaningless. In a few cases, banks want the properties revalued or they go back to valuers to comment.

Speaking to my valuers, they're trying to establish what it was worth before it flooded to give the place enough room so the bank isnt out on margins. So almost a case where the bank is saying they've got 400k outstanding, and need a val of 500k to keep their margins in check and so they're not chasing customers.

 

[JoshyBoi]

Thanks everyone...I'll need to consider what I am doing!

The loan is currently variable and has been with homeside for 2.5years. The purpose of the refinance is two-fold:

1) purchase out my brother's interest (always intended + he needs the money) - am happy to stay with homeside;

2) improve my serviceability from a joint and several liability perspective.

Would like to still proceed, not to sure if I could purchase out my brother's interest with much less then a 95% valuation because the original loan was at ~85%...so really depends on the current value.



And thanks Rolf...frying my credit rating is the last of my intentions.

 

[Mick C]

Thanks everyone...I'll need to consider what I am doing!

The loan is currently variable and has been with homeside for 2.5years. The purpose of the refinance is two-fold:

1) purchase out my brother's interest (always intended + he needs the money) - am happy to stay with homeside;

2) improve my serviceability from a joint and several liability perspective.

Would like to still proceed, not to sure if I could purchase out my brother's interest with much less then a 95% valuation because the original loan was at ~85%...so really depends on the current value.



And thanks Rolf...frying my credit rating is the last of my intentions.

Buddy if that is the case, Don't do anythign for now and WAIT!

if you re-fin at 95% or even 90% the LMI you have to pay is well over 10k.... DEF not worth it!

Also if you are buying out your brother's portion ( im guessing his selling his part of the home title deed to you) - you will have to pay a pro-rated stamp duty as well!! another 2-5k.


Regards
Michael

 

[The Sniffer]

Heya

Any lenders out there who will loan up to 95%+LMI on CBD units in Brisbane?

I'm contemplating a refinance and wondering if I can achieve what i want/need - current loan with homeside. The unit is being used by Oaks as a holiday let, however the building itself is residential.

Thanks
JB

If it is being used by Oaks it is a Serviced Apartment.

 

[JoshyBoi]

Buddy if that is the case, Don't do anythign for now and WAIT!

if you re-fin at 95% or even 90% the LMI you have to pay is well over 10k.... DEF not worth it!

Also if you are buying out your brother's portion ( im guessing his selling his part of the home title deed to you) - you will have to pay a pro-rated stamp duty as well!! another 2-5k.


Regards
Michael

Hey Michael,

I am aware of the costs...very unfortunate, but he needs the money and has been asking for a while now...its either that or sell...i'm still deciding on my best options

The reason now works to refinance is I have an OTP settling in about 14 months, which at this stage, I cannot afford - perhaps its best to sell this unit and wait for the OTP...hmmm....

 

[The Sniffer]

Can you get 90% stand alone on a serviced apartment?

I thought not...

 

[Mick C]

Hey Michael,

I am aware of the costs...very unfortunate, but he needs the money and has been asking for a while now...its either that or sell...i'm still deciding on my best options

The reason now works to refinance is I have an OTP settling in about 14 months, which at this stage, I cannot afford - perhaps its best to sell this unit and wait for the OTP...hmmm....

Sorry to hear.

If it makes it any better service apartment have close to no or low capital growth, so selling this unit may not be the end of the world.
You can use the funds to buy "better" IP. 1 bedroom units in the city etc. 95% LVR possible!!