Looking for help with finance

hey guys,

Looking for a little advice around potential borrowing capacity please.

Details:
income: $360k + per annum
employment status: Director of our own business that is a Hong Kong based company so no AU tax returns at present.
dependents: wife + 2 kids
credit card: $20k limit, $0 owing
Savings: $80k
Car repayment: $900 per month
No other property owned.

Looking to buy either a PPOR or IP.

The place we are living in with a bank val. of $1,9 million in Sydney is available if we would like to purchase it, but not sure how with only $80k savings.

Looking for any ideas on how to get the place, or alternatively a max amount we could borrow with the current savings amount.

All help is appreciated.

Thanks in advance.
 
You don't need to have aux tax returns but you do need to at least show the HK tax returns.

Income aside - the other issue is deposit. If you want to purchase a house in Sydney for $1.9mil then you will require at least $475,000 deposit.
 
Borrowing capacity side should not be a problem but deposit might be the issue, just like Shahin mentioned.

Do you have share(s), other investment(s) or friend/relative owned property which can possibly form part of deposit ?

The house you are living in now value at $1.9M. Do you know the owner ? Is it possible to ask for the vendor finance ?

or is there any potential to increase value of the property by subdivision or construction ?
 
employment status: Director of our own business that is a Hong Kong based company so no AU tax returns at present.

.

Thsi sounds like a foreign controlled company which you would be required to declare on your Australian Tax return. Have you had tax advice? Your HK income will probably be taxed in Australia

Not sure a lender would pick this up or not.
 
Just to answer a few questions guys.

- There is no AU tax as im no treated as an AU resident as im out of the country more than 6 months of the year, as well as a number of other criteria that i meet. The Hong Kong company has no clients in Hong Kong and an even distribution of clients from around the world, so no AU tax payable.

- We have $30k of shares in a US company but no other investments, and can't use anyone elses equity.

- yes we know the owner of our existing place, im just a little fuzzy on how we would need to structure a vendor finance purchase. There is no subdivision or construction options available on the property to increase value in it.

Some people have said i would need the $475k deposit in cash to get the place. Are there no high LVR options available at all? 95 - 97%?

Thanks for all the help so far.
 
You can't get higher LVR's on that sort of purchase price, max would be 80% and you need to cover stamp duty etc as well.

Some bankers may be able to make exceptions and allow you to borrow over 80% but be prepared for them to ask the question...with that sort of income how come you don't have more assets / cash? If there is no reasonable answer I don't like you chances.
 
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