IP loan sales pitch Pt 2

[WebBoard]

From: Robert Longmore


Ok the loan person has been and gone, and strangely it all made sense! and yes i did ask him if he owned IP's, he said yes, 3 to be exact, all in sutherland shire. and yes he did compare their products to other major lenders, all the banks and others such as Wizard,Rams and others i cant remember right now. they also had a few good options i have never seen before. one that interest me was the 100%lvr loan at 6.49 variable interest rate, and you only need 3% of the value of the property to qualify, and the 7K FHOG covers all setup costs. conditions are, property must be in the Sydney Metro area Only. and a max loan of $300,000 usual redraw facility, revolving LOC etc. all others were the same but varied from 75 to 95%lvr loans. i am going to spend the weekend comparing loan and probably sign on monday.

Now to start shopping! should i buy new and get the 14K FHOG? or should i try to find an established property and +ve gear? my thinking so far is to buy new and take advantage of almost immediate capital growth, the 14K and depreciation, and used the equity to buy another property within 2 yrs. hmmmm thinking...........hmmm yup......hmmm

 

[Rixter]

Reply: 1
From: Rixter ®


Dont let Analysis Paralysis set in. As the slogan for a well known sports company says "Just Do It"

Happy Investing,
Rixter

 

[paulzag]

Reply: 1.1
From: Paul Zagoridis


Robert,

you asked asked if you should buy new and take advantage of the "almost immediate capital gain".

Please elaborate on this a bit.

Developers try to get the maximum the market will bear and are not normally motivated sellers. Am I missing something in your strategy.

BTW the loan looks good.

Paul Zag
Dreamspinner
Oz Film Biz is at
http://www.healey.com.au/~paulz

 

[WebBoard]

Reply: 1.1.1
From: Robert Longmore


i have a friend who recently built a new home near campbeltown, and another who has owned an established home in the same area. the new home has increased in value at a greater rate than the established, after the first 12 months, a revaluation was done that gave him $40,000 equity, and the other property took approx 3 years to achieve the same growth. and with the M5 motorway completion in a year or 2, that shoul help in the growth of the area as well.
I fully understand the Analysis paralasis bit, i have been trading shares for the last 3 years dont worry, a decision will be made ASAP. and one last thing, What are the chances of building new and still qualifying for the 14K FHOG if the cutoff is december??

 

[WebBoard]

Reply: 1.1.1.1
From: Sergey Golovin


Robert,

If you or you partner never had any residential properties in on your names - no problems.
Get the finance, buy the house and apply for FHOG. Who is going to stop you?
What are you exactly concerned about? Which part of it is unsettling for you?

Serge.

 

[WebBoard]

Reply: 1.1.1.1.1
From: Robert Longmore


I plan on using the property for investment purposes only. i am unsure of the grey area surrounding the FHOG and the time you as an owner occupier has to occupy the residence before giving it to an agent to find a tenant. Unfortunatly i am on my own with this one, i no longer have a partner (broken up)