Consolidating Debt - Sydney

[Big Will]

Hi Forum,

Have a friend who bought OTP and is looking at consolidating his debt before he takes out the mortgage and before construction finishes in 12 months time.

Any recommendations of whom to talk with?

 

[Paul@PFI]

A good broker. Knowing the lenders and their approach to each situation is important. A person I know just found out his approved loan is no longer approved as construction has been long delayed. He has to reapply. His wife had a baby in that period since approval. Now there are questions being asked about her income

Try Shahin
M: 0420 987 683 | F: 02 9475 5323 |
10 Vale St, Gordon, NSW, 2072 |
www.elitepropertyfinance.com

 

[Big Will]

A good broker. Knowing the lenders and their approach to each situation is important. A person I know just found out his approved loan is no longer approved as construction has been long delayed. He has to reapply. His wife had a baby in that period since approval. Now there are questions being asked about her income

Try Shahin
M: 0420 987 683 | F: 02 9475 5323 |
10 Vale St, Gordon, NSW, 2072 |
www.elitepropertyfinance.com

That is what I told him lol

From: William
Sent: Monday, 2 March 2015 2:43 PM
To: Richard
Subject: RE: how

You could speak with a mortgage broker and see if they have a creative way to combine your debt into your homeloan.

 

[Paul@PFI]

Its actually not being creative. Consolidation can leave more free cashflow making the loan serviceability stand up on its own feet v's when there are other debts.

 

[Jamie M]

Definitely talk to a decent finance person before doing anything - the last thing your friend wants to do is consolidate the debt with his savings and then find out he doesn't have enough cash to qualify for a loan - or the reduced savings/deposit ramps up the LMI fee (I'm just speculating here - I don't know what their situation looks like).

The number one priority with OTP is making sure it settles!

How long ago did he sign the contract of sale? What sort of LVR would he be looking at for the purchase before consolidating debt? How much debt needs to be consolidated?

Cheers

Jamie

 

[Big Will]

Thanks Jamie I had already passed on your details to Richard as you seem knowledgeable from forum post already.

Have also sent him you post Paul.

He signed the OTP I think about 1-2 months ago.