So, my loan approval wasn't as generous as I thought ..
- Thread starter moses
- Start date
Did you go through with a broker or direct with the bank?
I think Logan might still have some around the 200-300K mark?
if you feel you can afford more, why put up with less than you can have or deserve ??
Very rare that a client comes back from the average broker or banker with the max that they can actually obtain.
if its important to you to achieve YOUR goals, rather than be held back by others, seek a second opinion, will only cost you a little bit of paper and some time.
ta
rolf
Best to have a chat with a broker, I'd be very surprised if you picked the most generous lender for your borrowing capacity. A savvy broker should be able to give you a strong indication of your borrowing potential without having to submit an application. 
With regards to that price range, there's still parts of Logan where you can pick something up.
With regards to that price range, there's still parts of Logan where you can pick something up.
I've usually found that it's possible to get significantly more money for most borrowers than would be financially prudent for them to borrow. Keep in mind this doesn't apply to every bank and every situation, but usually there's a way to get it done. The comment I often receive when showing someone their borrowing capacity is, "There's no way I can afford that much!"
In other words, if you've done your budgeting properly, figured out what you can reasonably afford and the bank wants to lend a lower amount, then you may be talking to the wrong lender.
Of course, there are exceptions. A lot of people define their budget by what properties are selling for, not by what is affordable for them. Also consider that people may have other circumstances or requirements which may eliminate certain lenders.
In other words, if you've done your budgeting properly, figured out what you can reasonably afford and the bank wants to lend a lower amount, then you may be talking to the wrong lender.
Of course, there are exceptions. A lot of people define their budget by what properties are selling for, not by what is affordable for them. Also consider that people may have other circumstances or requirements which may eliminate certain lenders.
Yea it's a tricky situation and realistically atleast it's an easy mortgage to manage !
If I could find a property for that $$$, I would consider it
But on the other hand, I'm not sure if I should be pushing for more ?
Can you still make some money out of 250k property's or is it tougher?
Thank you to everyone who replied
If I could find a property for that $$$, I would consider it
But on the other hand, I'm not sure if I should be pushing for more ?
Can you still make some money out of 250k property's or is it tougher?
Thank you to everyone who replied
Hey moses,
You can probably find stock at that price point in Brissy.
In terms of pushing for more, as others have alluded to, your best bet is likely to go to a lender that is has a more generous approach to 'how much you can borrow'.
Cheers,
Redom
Is it necessary to go for more .. Or can my wealth increase just as well from a 250k IP & Research ?
It's not necessary but put it this way, if you own $250k of property and it goes up 10% next year, you make $25k
Then the people who own $2.5m of property goes up 10%, they make $250k.
Unless you read Macrobusiness in which case they could lose $250k
Yes a $250k property can still make money, but if you can afford it - why not buy two of them? Depends what your goals are, if you don't mind a little risk of short term loss (if prices drop), then you can be get larger long term gains
Then the people who own $2.5m of property goes up 10%, they make $250k.
Unless you read Macrobusiness in which case they could lose $250k
Yes a $250k property can still make money, but if you can afford it - why not buy two of them? Depends what your goals are, if you don't mind a little risk of short term loss (if prices drop), then you can be get larger long term gains
do you have equity in the Sydney unit? If so are you tapping into it?
I'm not sure what you mean .. Can you explain please ?
Also, as far as equity .. I think I am.. They came back with this amount after doing a 'valuation' on it yesterday
I'm not sure what you mean .. Can you explain please ?
They're wondering if it's your "income" limiting you borrowing capacity or your "deposit"
Cheers
Jamie
thank you sir..
its possible its both, im guessing
my annual income isn't spectacular by any means
Nothing wrong with a $250 ip.
In fact i have IP ranging from $175- 1.3M and my low priced IP are performing better in terms of % in growth and rental yield.
Price is just one factor, you can buy a $500k house and still make a lost...it comes down to your due diligence and research.
Factors such as;
- Past CG
- Rental yield
- opportunity to add value?
- Opportunity to increase rent
- Rent vacancy
- Demand for the area or neighboring subrurbs
- Change in type of home owners ( More investors or home owners etc..)
- Gentrification potential?
- Upgrades?
- Council?
- Price segregation
In fact i have IP ranging from $175- 1.3M and my low priced IP are performing better in terms of % in growth and rental yield.
Price is just one factor, you can buy a $500k house and still make a lost...it comes down to your due diligence and research.
Factors such as;
- Past CG
- Rental yield
- opportunity to add value?
- Opportunity to increase rent
- Rent vacancy
- Demand for the area or neighboring subrurbs
- Change in type of home owners ( More investors or home owners etc..)
- Gentrification potential?
- Upgrades?
- Council?
- Price segregation
I contacted home loan agent today about possibly getting a little extra and she mentioned this.. Does anyone know what it means ?
"The first approval is for the refinance for your existing property.
I will amend the details for the second loan, for your purchase, to reflect the purchase price of $287,000.00. Can you please advise the rental income expected for this property?"
I'm not sure what to make of it? Can I in fact get more money for loan?
"The first approval is for the refinance for your existing property.
I will amend the details for the second loan, for your purchase, to reflect the purchase price of $287,000.00. Can you please advise the rental income expected for this property?"
I'm not sure what to make of it? Can I in fact get more money for loan?
deciphering your message
1.Your refinancing ( I HOPE it has some equity release and the loan is structured correctly to max your serviceability + she haven't chosen a "investor friendly" lender too early on)
2. Looks like your buying a $287,000 property?
Not sure if you can get more out of your loan, as you haven't provided enough details- but really your broker should be telling you this without asking ( Ie should really be prompting you ) + you should be comfortable enough to ask questions.
Cheers
