including closing cost in commercial loan

[bonanzawealth]

I was wondering if we are able to put closing cost (legal, stamp duty, GST, etc) into the commercial loan?

Say for example the property cost is $350,000 plus GST.
Stamp duty + legal 5% of property cost $17,500 (just for simplicity)
And DD by pest report, survey, etc $2500
Total $405,000
70% loan = $283,500

Please do excuse me if you find my question makes you 'Duh!'

 

[Terry_w]

I was wondering if we are able to put closing cost (legal, stamp duty, GST, etc) into the commercial loan?

Say for example the property cost is $350,000 plus GST.
Stamp duty + legal 5% of property cost $17,500 (just for simplicity)
And DD by pest report, survey, etc $2500
Total $405,000
70% loan = $283,500

Please do excuse me if you find my question makes you 'Duh!'

Yes you could. But you couldn't go over the maximum LVR offered by a lender. So if the max lvr is 70% the max loan would be 70% x $350k.

If you want to borrow more than you would need additional security.

 

[Aaron_C]

No of course you can't borrow on stamp duty. You can only borrow on the property value, up to the prescribed max LVR.