Professional packages offered by major banks

[Rolf Latham]

Hiya

Gotta be careful with things like that.....................all thats on the net is true .............often not

ta
rolf

 

[tobe]

Regarding the comparison above, to my knowledge, ING simplifier cant be taken interest only, so it wasnt the best pick for comparison.
Point taken though, it can sometimes be better with multiple lenders. I usually find the first 2 to 5 properties are cheaper to set up and run through a pro-pack, mostly because there are no fees to re-arrange current lending, and add new securities, and when servicibility issues arise, off to a second or third lender with better policies.
I had 3 securities with a pro pack, and had another 2 with 2 other lenders due to servicibility issues (Mac and RAMs). Lately, as the rents increased, and policies change (mac and RHG no longer do 95% cashout for instance) I have moved all my current lending to the pro pack to get the cash for the next deposit, which I will no doubt do through another lender with better servicibility (seeing existing debts as what is actually paid rather than a p&I plug rate)

 

[Peter_Tersteeg]

Hi there,

Has anyone come across this site before:

http://www.shamefiles.com.au/

Some interesting ratings especially for ANZ... Any thoughts? I was thinking of borrowing through ANZ.

This site is probably one of the biggest pieces of horse$hite I've seen in a long time. They're actually going out of their way to promote some lenders who are substantially more expensive than the one's they're bagging.

The examples they give may be true, but I doubt they're giving the full story. Other things stated as general fact have an element of truth, but don't address the real problem or include enough facts to provide a fair argument. The advice they offer probably won't really help you at all and may actually cost you substantially more.

I suspect they're simply using this as a fear based marketing tactic.

 

[Finance guru]

Regarding the comparison above, to my knowledge, ING simplifier cant be taken interest only, so it wasnt the best pick for comparison.
Point taken though, it can sometimes be better with multiple lenders. I usually find the first 2 to 5 properties are cheaper to set up and run through a pro-pack, mostly because there are no fees to re-arrange current lending, and add new securities, and when servicibility issues arise, off to a second or third lender with better policies.

Hey Tobe,
The ING Mortgage Simplifier can certainly be taken as an interest only loan, up to 5 years.

You are quite correct tho. If you have a number of properties with one lender, under the pro pack, it will be cheaper for you than taking loans at diverse lenders.

The things to be careful of when you do this however (and I'm not suggesting these effect you, tobe) are

• Ensure the lender does not cross collatoralise your properties
• Beware of having 'All your eggs in one basket'

Cheers

 

[rossdc]

I am about to have all our properties with one lender as Westpac looks like gaining St George. Some of our properties are cross collaterized, but I have had no problems with getting approval to add to our property portfolio. I just make sure I keep my home finance manager up to date with rental returns, income increases for both of us. As long as we meant the serviceability criteria we are fine. The plus with wealth package is the bank is now giving us .90% of their variable rate and it is interest free.
I also provide the bank with current sales of similar properties in our portfolio on a six month basis - We had to consider selling one of our proerties last year and the bank was very understanding and were going to release the property for us.

 

[Rolf Latham]

Hey Ross

Canna I have some of that interest free money please ?

Sounds like u have an Idenity crisis there

Wealth package is CBA jargon

WBC is Premier Advantage and Stg is something like advantage

But I think we all know what you mean 90 pts on the current climate is a good discount


ta
rolf

 

[Spectre]

Thats just subliminal advertising working into the minds of everyone....

 

[bris_cbd]

0.9% is a lot. Do mortgage brokers ever negotiate more than 0.7% off for loans of say 500k or is there more luck going directly to the banks? I'm thinking of refinancing at the moment but the best I'm been offered through a broker is 0.7%.

Also, can one claim exit fees with your existing provider as a tax deduction (assuming you are switching loans to get refinanced to buy more property).

Thanks.

 

[DavidMc]

Not in my experience. The next level for you is probably something like 800k or 850k to get to 0.75 - 0.85%. Different banks are different, your broker should be able to tell you these amounts.

 

[rossdc]

Good grief I certainly need to proof read my reply!! Thanks for pointing that out Rolf
If only there was a bank that gave interest free deals, mmm, and yes it is premier advantage at Westpac!!