Toowoomba Home Loans

Toowoomba Home Loans 2010-03-10T10:55:02+11:00 Toowoomba Home Loans urn:http://www.toowoombahomeloans.com.au:news Identitification Fraud Is On The Rise urn:http://www.toowoombahomeloans.com.au:news16 2008-11-24T17:10:08+11:00 2008-11-24T16:56:00+11:00

Step by Step Guide To Buying Your Next Investment urn:http://www.toowoombahomeloans.com.au:news11 2009-08-10T15:36:19+11:00 2008-07-17T12:12:00+11:00

<div class="node"> <div class="content"> Buying an investment property can sometimes prove exhausting and confusing, making a step by - step guide to the purchasing process is a valuable tool for any investor, weather your new or an old hand! Here are 7 helpful guidelines to get you on the right track to investing: 1.Build a team of experts to support you You can't be an expert on everything and when it comes to property you can't do it all yourself. <a href="http://www.toowoombahomeloans.com.au/about/find_home/">Call the team</a> at the Toowoomba Home Loans Centre and get the right advice to get you started! 2.Establish the right entity to buy your property in Decide whether to buy the property in your own name, your spouse's, child's or partner's name, or in some form of trust. Choosing the wrong entity could see you paying more tax.<a href="http://www.toowoombahomeloans.com.au/about/find_home/"> We can help</a> 3.Establish the right buying strategy Decide whether a negatively geared property, a cash fl ow neutral property, or a positively geared or cash flow positive property would most benefit your financial position. And which can your current finances support? <a href="http://www.toowoombahomeloans.com.au/about/find_home/">Just ask </a> 4.Establish your buying rules Narrow down the type of property you want to buy. Ask questions such as: Will it be a house, townhouse or unit? How many bedrooms should it have? Is a garage a must? How many bathrooms should it have? What yield should it provide? <a href="http://www.toowoombahomeloans.com.au/about/find_home/">Find out more here</a> 5.Find the property Use the internet and local agents to track down a property that matches up to your buying rules. <a href="http://www.toowoombahomeloans.com.au/about/find_home/">We can help you work this out</a> 6.Crunch the numbers Factor in the purchasing costs, property expenses and likely rental income to come up with an estimated net weekly loss or income from the property. See whether it fits with your buying rules. If not, see if you can make it fit. <a href="http://www.toowoombahomeloans.com.au/about/find_home/">We can help</a> 7.Negotiate the price Money you save through negotiation is money in your pocket rather than the vendor's. In a booming market, set to achieve a 5 to 10 per cent discount; in a flat market, look for 10 to 15 per cent; and in a bust market try to achieve 20 per cent plus off the asking price. The<a href="http://www.toowoombahomeloans.com.au/about/find_home/"> team at the Toowoomba Home Loans Centre</a> can help you every step of the way so call us today to help you unlock your dream!! </div> </div>

Housing Affordability For First Home Buyers urn:http://www.toowoombahomeloans.com.au:news9 2008-08-14T09:41:41+11:00 2008-07-17T11:45:00+11:00

Finally our government has recognized to need to provide a way/path for our first home buyers to take in order for them to enter into the property purchase market. When the State Budget was handed down in early June, the Deputy Premier, Treasurer and Minister for infrastructure, Hon Anna Bligh, promised to unveil an Affordability Strategy within weeks; in late July, she released the strategy to get positive support from industry. The Government intends to establish the Urban Land Development Authority in late 2007 with the power to develop a range of housing products to meet the needs of diverse communities. Initial sites to be acquired, planned and sold to developers, subject to conditions to achieve affordable and social housing policy outcomes, have been identified. These include Bowen Hills, Fitzgibbon, Northshore Hamilton and Wolloongabba in Brisbane as well as the Mackay showgrounds. The Government is also seeking to fast track other sites identified in its South East Queensland Regional Plan such as Coomera and Ripley Valley. Importantly, the government has recognised that the issue of land supply and its impact on affordability is a Statewide issue. The government's approach to these issues will include consideration of issues in high growth centres in regional Queensland. The economy, society and our industry needs sustainable policy to develop to ensure that how ownership remains within the reach of those who aspire to it." Recently reported by Dan Molloy MD REIQ. This together with most lending institutions now introducing special products to cater for the First Home Buyer This is finally making it easier for them to secure a loan, especially with the ability to utilize the First Home Buyers Grant to assist with covering purchase fees or to go towards purchase deposit. To be sure you are heading in the right direction to make your first property purchase call now for a FREE consultation to assess your loan borrowing and property purchase capacity. Call NOW at no cost to you. This FREE consultation is confidential.

The so-called 'standard variable rate urn:http://www.toowoombahomeloans.com.au:news8 2008-08-14T09:42:58+11:00 2008-07-17T11:44:00+11:00

Don't compare against the so-called 'standard variable rate' InfoChoice Don't allow any lender, bank or non-bank, to tell you you're getting a good interest rate because it's lower than the banks' standard variable rate (SVR). The SVR of the major banks has ceased to become a meaningful yardstick. Its not the typical rate paid by Australian borrowers, far from it. We estimate that at any one time less than 10 per cent of borrowers are paying the prevailing bank standard variable rate. Infochoice analysis shows the true benchmark variable rate is 0.5 per cent lower than the bank SVR. It's not just that the plethora of non-bank lenders undercut the banks. Even the banks themselves hardly ever lend at that rate. Anyone borrowing more than $250,000 will be offered a professional package of discounts which cuts the SVR by 0.5 to 0.7 per cent for the life of the loan. The SVR minus 0.5 per cent, that's your market average for comparing loans when shopping around.This is where the expertise of the consultants at Toowoomba Home Loans can help their clients achieve the results they want. They understand the differences between variable rates and lenders and can pass this assistance on to you.

Can't get a standard loan? urn:http://www.toowoombahomeloans.com.au:news7 2008-08-14T09:43:30+11:00 2008-07-17T11:43:00+11:00

Can't get a standard loan? There are alternatives  InfoChoice If the banks, building societies and credit unions won't lend to you because you're self employed, newly arrived in the country or have a poor credit history, consider the booming non-conforming and "low doc" loan market. A number of non-bank lenders offer loans which especially cater for this type of borrower. The interest rates on non-conforming loans are generally higher but come down after a few years of on-time repaymentsWe have access to several lenders who specialise in these type of loans. Now because of competition between these lenders interest rates, in most cases, are very competitive when compared to your standard type loan.Call us now 1300 308 105 we would be happy help you achieve your goals.

First Home Buyers Buyers urn:http://www.toowoombahomeloans.com.au:news6 2008-08-14T09:44:03+11:00 2008-07-17T11:42:00+11:00

Lenders Mortgage Insurance (LMI) enables lenders to offer higher loans on a property's value, helping first home buyers into the property market. According to recent statistics the residential mortgage backed securities (RMBS) market in Australia, on which sales of LMI depend, rose 20% in 2006 to A$63 billion (Axiss Australia's newsletter February 2007) This makes Australia the fourth biggest market in the world, after the US, UK and Spain.   Peter Morgan, head of St.George Insurance Australia Pty Ltd (SGIA) explains, "Without mortgage insurance interest rates on loans would be higher. With the availability of LMI, lenders can provide higher loan-to-value loans. This means they will lend an amount closer to the sale price of a property. This has allowed first home buyers to purchase homes earlier because they will need a smaller deposit.   This is excellent news for anyone saving their deposit to purchase their first home. The First Home Owners Grant will help to cover purchase costs and now borrowers only requiring to save a small deposit, can enter into the property market earlier.   Call us now for your FREE consultation to see if we are able to help you with the purchase of your first home.

What is Lenders Mortgage Insurance? urn:http://www.toowoombahomeloans.com.au:news5 2009-11-26T11:52:37+11:00 2008-07-17T11:41:00+11:00

This question is frequently asked by our clients. To help explain what Lenders Mortgage Insurance is and how it works we have set out below, answers to some of our most frequently asked questions. Lenders Mortgage Insurance (LMI) protects your lender in the event of you defaulting on your home loan. In the event of a loan foreclosure, if the property is subsequently sold and the amount from the sale is not enough to repay the loan in full, this insurance will meet the shortfall for the lender. LMI should not be confused with Mortgage Protection Insurance, which covers you for the payment of your mortgage instalments in the event of unforeseen circumstances, including unemployment, illness or death. This insurance is paid annually and can vary depending on the outstanding balance of the loan. <h4> Who uses LMI??</h4> Lenders Mortgage Insurance is taken out by Banks, Building Societies, Credit Unions and non-bank lenders.These institutions use the money from deposits held in savings accounts and term deposits, or borrow, to provide mortgages to customers. In agreeing to lend a customer money, banks take a risk that they won't get the money back. Although they have the house as security, if property values decline and security may not be enough to cover the outstanding loan. Because they operate in a very competitive environment, these lenders opt to take out LMI on these loans, rather than increasing interest rates, and let the LMI provider wear the risk. LMI providers are heavily regulated by the government authorities to ensure they hold enough money in reserve in the event that a large number of customers default on their loans and claims increase substantially or unexpectedly. <h4> How does LMI Benefit me??</h4> Before LMI was available, lenders required a deposit of at least 20% to protect them in the event of foreclosure, where the property has to be sold at a price less than the outstanding amount of the loan. Now with the ability to pass on the risk of default to an insurance company through LMI, lenders have been prepared to accept a lower, or even no, deposit and also to offer lower rates for mortgage lending than they would otherwise be able to offer borrowers. By reducing the deposit required and helping to minimize lending interest rates, many borrowers are able to purchase a home much earlier, or buy a better property, than they would otherwise have been able to afford before LMI. <h4> Who pays the LMI Premium ??</h4> The LMI provider's contract of insurance is with the lending institution and the premium is usually passed on to the borrower as a cost of providing the loan. The loan were a deposit of less than 20%, or even no deposit, is required represents a higher risk to the lender than one where a traditional 20% deposit is paid. Lenders pass the cost of this premium on to the borrower as a sort of compensation for them now being able to obtain a loan, whereas previously would have had to have saved a much higher deposit. <h4> How is the fee for Lenders Mortgage Insurance paid??</h4> The fee, in most cases, is charged as a one-off premium. The amount will vary depending on how much money is being borrowed and the size of the deposit, if any. <h4> How do I apply for LMI??</h4> Your lender will prepare and provide all necessary documentation and information should your mortgage require insurance. In order to qualify for LMI, your finance consultant, in conjunction with the lender, will check to ensure that you are able to make the repayments on your loan, and that your desired property meets the appropriate LMI underwriting guidelines. We hope the above information has been helpful to better explain Lenders Mortgage Insurance, if you require additional information you can contact one of our experienced finance consultants at Toowoomba Home Loans who will be able to help you. In fact, if you have any questions about mortgages, or are unsure about your own mortgage, whether you have the best loan for YOU just call us to arrange a time for a FREE no obligation consultation. <a href="http://www.toowoombahomeloans.com.au/about/Contact_Us/">Contact Us</a>

Equity Discover Your Hidden Wealth urn:http://www.toowoombahomeloans.com.au:news4 2008-08-14T09:45:06+11:00 2008-07-17T11:40:00+11:00

Equity, this word is used all the time in property and lending businesses, but what exactly is EQUITY???? This report will reveal to you how Equity works PLUS How to use this Equity. We will show you an example and answer some of borrowers frequently asked questions. Equity in short, is the difference between the saleable value of a property and the amount of money still owed to the lender. What you need to do is subtract a minimum of 5% of the value of the property as well as the loan balance, then what you have left = Equity. An example is:- Example Property Saleable Value = $350,000 Less 5% of the Saleable Value = $ 17,500 Less current balance of mortgage = $150,000 EQUITY VALUE $182,500 This Equity Value can be borrowed against to allow you to invest in additional properties or it can be drawn as cash funds to provide a deposit for the purchase of an additional property. Why do I have to leave 5% value and Why would I want to draw cash and not just borrow against my existing property?? Firstly, the answer to this question "Why can I not use the full 100% of the value of my property?" Very few lenders will lend borrowers the full 100% value of their property. They like to retain a minimum of 5% of the value of your property, to provide a buffer zone, which means if the property was sold there would be enough to clear the debt . It is important to note that with loans that have less then a 20% equity buffer, Lenders Mortgage Insurance (LMI) will be taken out by the lender to cover the lender against any loss incurred ( see separate web article What is Lenders Mortgage Insurance ) . This is again to protect the lender however, the premium for this insurance, is paid by you the borrower and for investment property purchases is tax deductable ( always check with your accountant for the latest ATO tax rulings). Secondly, "Why draw cash and not just borrow against my existing property?" This choice depends on, to some extent, your long term goals regarding investment properties. If you choose to just borrow against your existing property to purchase another, this means, that you will have to use the same lender to borrow the funds for the additional purchase because they hold the current mortgage and will be using the value of both properties to secure both loans. However, if you draw cash you are free to choose another lender, because each property is secured independently ( called stand alone in lending terms) from the other. This may be a better structure for you personally as it will allow you to sell either property without having any impact on the remaining property. There are several variables that may effect which way you proceed. Things like, how long you intend to keep the properties, before selling either one or all of them, or if you intend to use future equity on either properties to buy yet another property. Our very experienced lending team are only to happy to provide you with any information you may need, to enable you to make an educated decision and choose the right path to suite your personal requirements. We are dedicated to help you achieve your goals and will show you all the alternatives you have available to help you make the right choice. Call us anytime 1300 308 105 and make a FREE, no obligation appointment to discuss your needs. We Look forward to hearing from you .

HELP IS AVAILABLE !! urn:http://www.toowoombahomeloans.com.au:news3 2008-08-14T09:45:37+11:00 2008-07-08T12:15:00+11:00

HELP IS AVAILABLE !!!!   Can't get a standard loan?   There are alternatives  InfoChoice If the banks, building societies and credit unions won't lend to you because you're self employed, newly arrived in the country or have a poor credit history, consider the booming non-conforming and "low doc" loan market. A number of non-bank lenders offer loans which especially cater for this type of borrower.   The interest rates on non-conforming loans are generally higher but come down after a few years of on-time repaymentsWe have access to several lenders who specialise in these type of loans. Now because of competition between these lenders interest rates, in most cases, are very competitive when compared to your standard type loan.   Call us now 1300 308 105 we would be happy help you achieve your goals.