Multiple Unit Dwellings - Flats



From: Glen Monahan

Hi, would like to hear from anyone that has purchased blocks of flats with a view to Strata Title down the track. Also, would this be classed as a commercial deal by banks. I was told by a NAB manager that they would not do an interest only loan on commercial property. If it had to be P&I its not worth it.
Last edited by a moderator:
Reply: 1
From: Rolf Latham

Hi Glen

Huge variability here.

Most lenders will do 70 and I/o

Some will do 80 % at i/o for a "strong" applicant.

And as you have found some want to do a commercial loan over 10 years.

Other things to look out for are State based planning laws that may disallow a strata conversion. Here in NSW Sepp 10 is doing exactly that in a lot of areas. Sepp 10 deals with affordable housing.


Last edited by a moderator:
Reply: 1.1
From: Glen Monahan

Thanks Rolf,
finance might be a tough one. I'll sound out the seller for vendor terms for 1 to 2 years and use rent & improved value to go for finance later.
Last edited by a moderator: