At Blambles Finance Group, we always look for ways to structure finance that give you more flexibility, control, and long-term strategic benefits. One structure we regularly advise against is cross-collateralisation, where a lender secures multiple properties under a single loan.
Benefits of Buying Property in a Family Trust With a Corporate Trustee
When looking to purchase commercial property in particular, we recommend talking to your accountant regarding the best purchasing structure.
There are a number of benefits of owning property in a family trust structure, some of which are highlighted below.
How Much Should I Borrow?
How Much Should I Borrow? – A Guide for Property Buyers
When purchasing a property, one of the biggest decisions you’ll face is determining how much to borrow. While some buyers aim to maximise their borrowing capacity, others might find themselves in a position where they don’t need to stretch their finances to the limit. At Blambles Finance Group, we often encounter clients who have the capacity to purchase with cash or without the need for debt, but still wonder whether taking out a mortgage is the right move.
Offset v Redraw
Offset Account vs Redraw Feature: Which is Better for You?
If you’re a homeowner in Australia, you’ve likely come across the terms “offset account” and “redraw facility” while exploring ways to manage your mortgage. Both are powerful tools for reducing the interest you pay on your loan, but they operate differently and suit different financial strategies. Let’s dive into the benefits of an offset account compared to a redraw feature so you can make an informed choice.
Benefits of an Offset Account
Understanding the Costs and Benefits of an Offset Account
An offset account is a popular financial tool for Australian homeowners. It’s a simple yet powerful way to reduce the amount of interest you pay on your home loan while keeping your savings accessible. But like any financial product, it comes with both costs and benefits. Here, we’ll break it all down in a way that’s easy to understand, so you can decide if an offset account is the right fit for your financial goals.
Commercial property finance secrets exposed
Commercial property finance secrets exposed
When financing a commercial property purchase the mainstream mentality is,
- Interest rates are typically higher
- The maximum loan term is 15 years
- You can’t have an offset account on a commercial property loan
- The maximum LVR is limited to 65%
- Annual reviews are mandatory
- Directors guarantees are mandatory
How do Commercial lo doc loan applications work?
A common challenge for business owners when seeking finance is the need to have current (latest) financials, with the current year, not more than 18 months old (generally).
Having current financials certainly gives borrowers the widest selection of lender options available and therefore the best chance of securing the most competitive finance terms available. Read more
What is a lease doc loan?
A lease doc loan is a simplified loan application process some banks use to assess commercial investment property finance deals.
It is not available for residential property loans.
If a deal meets the lease doc policy, then this can substantially reduce the amount of paper work required as compared to a standard / full doc commercial / business loan application.
Can my parents provide a family guarantee to avoid paying LMI
What is a family guarantee?
A family guarantee is typically a means by which parents can support their child in getting onto the property ladder by using the equity in their home to reduce the size of a cash deposit and / or avoid the need to pay Lenders Mortgage Insurance (“LMI”).
Read on to understand what this means for you.
How to avoid paying Lenders Mortgage Insurance
What is Lenders Mortgage Insurance (“LMI”)?
Lenders Mortgage Insurance or LMI is a one-off insurance premium payable when you take out a new loan. The LMI premium is added onto your home loan and payable over the loan term.
Read on to find out how you might be able to avoid LMI on your property purchase…
