I am seeing an increasing number of clients engage me who wish to sell their current property and purchase another. Anytime you do this there will be many moving parts involved, and many aspects which if unaware, can catch you off guard. You have the following options when considering selling and buying; ·        You can sell before you buy; o  You should ideally try get as long a settlement as possible, with the ability to bring it forward to meet the settlement of a purchase you make so you don’t have to…

Company Title is a unique form of property ownership in that you own a number of shares in a company which in-turn entitles you exclusive use of a particular lot in a building/complex. There are some important things to be aware of as it relates to lending, outlined below; ·        There are limited banks who will accommodate company title. Around six mainstream banks will accept this form of title. ·        You need to make sure there are a minimum of 4 or 5 units in the block. ·        The loan to value ratio…

Construction loans are helpful when you want to engage a builder for structural renovations to your home or a knockdown/rebuild. Construction loans allow you to borrow against the future value of the property once it’s completed as determined by the banks externally appointed valuer. There are some important aspects to be aware of when looking for construction lending; –         You often have two options for a construction contract with a builder. Cost plus or fixed price. Cost plus outlines the basic known costs for the build, with the builder then adding…

Often, the banks maximum borrowing capacity is below your highest comfortable repayment. This can be due to many factors, some of which I have outlined here; –         Although the interest rate is below 2% for fixed and low 2%’s for variable on an owner-occupied product, the bank is using a stressed ~5.5% interest rate to assess the loan. Taking a $1,000,000 monthly loan repayment from the actual ~$4,000 to ~$5,700 in the banks model on a standard 30-year term. 30% higher! –         It’s a common misconception that if the rent from an…