NAB 15% valuation DROPS - a finance lesson - top up early and often
- Thread starter DavidMc
- Start date
Keepass is your friend. I have 93 passwords, pins etc
Password Safe is a good one, too.
Keepass is your friend. I have 93 passwords, pins etc
I work in IT - I have 1405 passwords in Keepass
BTW the problem everyone is related to the outsourcing of the valuations through Vallex. As they are third parties, and liable if they get the valuations wrong, they are extra conservative.
Just so happened Matusik wrote a great article about this this morning.
http://matusikmissive.wordpress.com/2012/02/22/bank-vals-101/
Just so happened Matusik wrote a great article about this this morning.
http://matusikmissive.wordpress.com/2012/02/22/bank-vals-101/
I was advised by my accountant that if none of it is used for personal purposes, it was left there in view of investing in an IP or paying for IP expenses, it doesn't matter. The test for intention says it's used for income producing investment purposes.
He also likened it to a line of credit, but that bit went over my head.
Just tried to do a topup with cba and val came in 10% lower than 12 months ago (sydney prop), so tried to do a refi with anz syd prop val was the same and bne prop came in 10% lower than i paid 12months ago and after a renovation. no past sales support any of these vals,
- Banks haven't used in-house valuers in any real numbers in years.
- Valuers value today the same way they always have.
- The fact that developer's and owner's expectations have lagged market movements is the real issue.
NAB were still using in-house valuers in April 2011. They were apparently the last to change though.
Does anyone know of any bank using in-house valuations? Or at least a bank where at the Branch Manager level they still have the power to influence a valuation slightly for the sake of getting a deal through?
In NAB the Branch Managers have had their decision making power in this regard removed and it's all centralised up in Sydney with someone whom I have never worked with before (and they are not open to any negotiation on valuations).
will reduce a lot of their risk I reckon............there was often some "funny business going on", which is ok when times are going well, but when things are flat or down, the margin for fudge isnt there
tarolf
ta
rolf
Damn - which explains why I was the first investor from my Mortgage Broker hit by the change. How's that, just a month too late huh?
I know someone really close to me (really really close) who used to work at nab, and do his own valuations, for his own client's properties, and then write the loans for them.
No conflict at all given his bonuses were based on something other than lending growth for the role, so it was all above board.
I guess thats why the risk folk have decided its smarter to let Valex take care of it.
It was well known that the best vals came from NAB direct, sometimes by a long way, and usually just enough to make things work.
Might be an efficiency thing too.
ta
rolf
