Do lenders prefer equity or cash ?

[blaster]

With a to sell or not to sell decision I'm trying to make right now one of the first things for me is supposing it were equal numbers, do lenders prefer equity or cash - either ?


Cheers

 

[Qlds007]

Cash always looks nice especially when it has come from genuine savings but in saying that a good asset base can count for just as much.

I think with either you are pretty well ok.

 

[Bradsdad]

With a to sell or not to sell decision I'm trying to make right now one of the first things for me is supposing it were equal numbers, do lenders prefer equity or cash - either ?


Cheers

If you meet a lender's LVR criteria then either should do. Serviceability models are the main concern.


Regards
Steve

 

[Rolf Latham]

depends if that equity is in an neg cashflow asset that has borrowing against it.

if by selling that asset you release that neg cashflow, the lenders may deem you have much improved serviceability

ta
rolf

 

[blaster]

Thanks Guys , helps a lot.

The one I'm thinking about is just a cheap rental but with no money owing on it and so CP.

Cheers