commercial loans at 5.7%. is this true

[eggnog]

well, just had a general chin wag with a RE agent today about all things under the sun and in passing he mentioned that he could secure commercial loan rates at mid to high 5%s to help fund any property purchases - something about money from hong kong. Did I hear correctly. Kinda sounds too good as comm yields are 8% net with IR at only mid 5% you'll be laughing to the bank.

 

[Dragon]

Only way I could see that happening is with the security being offered is a residential property and the funds being used to purchase a commercial property.

 

[Aaron Sice]

bendigo do construction loans at 5.9%...?

 

[Ausprop]

ask him if has ever actually done it. I hear a lot about overseas funding but a lot of it (most of it) seems to be a scam, starting with the small matter of the upfront application fee

 

[steveadl]

Also factor in exchange rate risks, like they're now finding out the hard way in Eastern Europe.