$1,250 cashback on IPs

Based on what you said...yes...is that maning up then?

I have never been sly....but if you want to go there yes....also even happy to man up and have the discussion face to face at Wenty mate! Perhaps I can teach you a few things about IP finance.

Over to you ...

 

Great that is it working for you...I know based on what he has said he would be not be appropriate for me. That would clip my wings to acquire more.

Westpac is flexible..if you can get to the right people on the credit team. The broker I used is Platinum Broker with Westpac and she has access to the highest level authority credit guys in the bank. They do probe a lot though...but in the end it was worth it.

Rent reliance is only one aspect...perhaps my friend Shahin is far to busy to go through the appropriate channels available within bank for mortgage brokers.

 

Its easy to get personal and make up BS stories on the net about my reputation and how I manage my clients so yes I'm going to go there with you.

Glad you are manning up now and not hiding behind comments like "some brokers". I wasn't planning to go to the wenty meet up but I'm sure we can arrange a time soon.

For the punters playing at home - it helps to respond back to my comments with factual information taken from lenders' respective policies. It would be interesting if your broker can actually state that

a) Westpac's rental reliance policy is a soft policy which is easy to get exceptions
b) Westpac's servicing calculator is generous in comparison to other lenders
c) St George doesn't take the lower of the YTD or last year's group certificate figure

Oh and I'm a platinum broker with Westpac as well and the irony is you are talking to someone who uses Westpac regularly and knows the policy inside and out. I also used to work at Westpac for 6 years.

There is no reason for me not to use Westpac. This argument can be summarised by me saying you need to use the right lender for the right scenario and you are saying that Westpac and St George are great lenders which should be used in most instances.

I have given you clear examples of scenarios they are not going to be competitive in and you havent provided any factual information back.

 

Shahin....you are missing the point...there are always exceptions to rules.....

The definition of a policy is a framework given by the bank to work within. The adjudicator of this is credit team...what they call usually goes unless a State GM or GM of Credit intervenes. Do I need to go on.

I agree that WBC and STG will not be appropriate for everyone..given they want solid deposits. The other trick is to ensure you have a diversified portfolio....if all your properties are in Druie....then you are likely to be declined.

Great to know you use Westpac....but that begs the question...if the policy is so hard and fast as you pointed out....why did my loans continue to go tot he keeper.

Let me ask a simple question...who do Westpac and St George as Lenders Mortgage insurance...that should give you a clue as to why they are flexible ..the other reason is as people have pointed out their loan book is growing as just under 10%...

Remember this is not personal...I am just calling it out the way I see it. Good luck to you....

 

Im aware of policy exceptions but what I'm saying is that why use a lender (unless you have no other options) and request for a policy exception when another lender does the same job and you don't need a policy exception?

Also the rental reliance policy isn't a particularly easy policy to get an exception for. Find be a broker that can say "ah yeh Westpac has a rental reliance policy but its easy to escalate it and get it overturned".

So why did your loans get approved? Because you are you and you cannot compare your personal situation with hundreds of other people. You may have attributes in your application which makes you an incredibly strong applicant and the broker can mitigate the exception by using these strengths.

Mate do you realise how irresponsible it would be for me to recommend a client to a lender knowing we would need a policy exception when there are lenders than can do the job? This isn't specific to Westpac but can be any lender.

 

Aaah....now we are getting to the crux of the discussion....

I am not comparing my personal situation only...others I know with much smaller incomes and portfolio have presented in a similar fashion and have got the nod.

Agree with responsible lending...but if you have 20%....I think you will find both WBC and STG will be open for business in most instance so long as you can service.

 

Let's simplify this:

1. I am saying that the Westpac's rental reliance policy is difficult to overturn. Can you get an exception yes sure but and next point is

2. Why use a lender that you need to request a policy exception IF another lender does the same job?

Remember you may get a policy exception now but it then becomes even tougher to go back again to credit to get the same exception.

Its great that you have been able to get these exceptions but this is a public forum and everyone's situation will be most likely very different to your situation.

 

[QUOTE="
4. Non resident policy (Westpac) - they accept a lot of crazy currencies which is great BUT this is seriously negated but the fact they do max 70% LVR and take 80% of converted income. The craziest thing is that they apply this to expats. I have a couple which are aussie citizens working as solicitors in Hong Kong - the max they can go with is 70% LVR! Other lenders will take higher incomes - some take 90% of the converted income and some like NAB take 100% of the income.

There are heaps more but the point is that most lenders can be perfect fits and they can also be the worst lenders for other scenarios/investors.[/QUOTE]

Try STG, as citizens, they should be able to borrow 80% and they take 100% of income conversion. Negative gearing is sensitised at 80% and they require higher servicing NSR.

I was even told by one assessor they can apply local tax rates to make the deal work (ie. 15% for HK).

Made me think no wonder Westpac Group have such a large non resident book.

 

St George's non-resident policy is different to Westpac - the example I was giving was specific to Westpac.

Not sure how negative gearing can be included if the income/tax returns isn't declared/done in oz.

 

Sash I would have thought someone with your professional investing experience would be dealing/negotiating with the banks/non-bank lenders direct yourself as opposed to the non-professional less experienced mum/dad type home owner / investor, that mortgage brokers cater towards?

You are operating as a professional property investor enterprise arent you?

 

Nah mate...I am mere amateur.

On a more serious note..I do negotiate directly with banks...but recently I have started using funders backed by major banks such as RAMs but not under the APRA thumb. For these you can't go directly.

I have a lot on my plate so I do farm my requirements to certain brokers with clear instructions on what to do. It seems to be working for me.

 

Good stuff..as you know property investing is NOT about property - rather finance and more importantly always placing yourself in a position to be able to continue accessing finance to keep you moving forward.

 

Yep....this is fundamental to building a portfolio....you can't continue if your finance side is not sorted. This where you really need to learn the basics from the start leaving to other is wrought with issues which can quickly unravel your plans.

 

I got that Cashback 18 months ago. Funny enough it was switching from one of those banks to the other.

 

Don't you just have to have a very detailed loan submission and heaps of money in the offset account to get a loan approved @sash?

 

Detailed yes....but also knowing the unsaid rules which some of the banks and credit teams have with larger scale investors. Negotiating this minefield is the real issue. Yes I have lots in offsets...but believe or not they do still decline for some BS reason..

My thoughts...only obviously I am not a mortgage broker..but have the battle scars from the finance wars..so do you own due diligence. These lenders are on my do not touch list if you want to get a bigger portfolio:

1, MacBank - talk to people who got burnt by this mob during the GFC
2. NAB - poor customer service...as a serious investor you would want minimum of 10 yrs IO. Better to get it now or be prepared to pay PI that will damage your serviceability
3. ANZ - again the IO period is a worry
4. CBA - forget them altogether...too conservative...and way to hard to deal with.
5. Pepper - are you kidding me...once a credit officer sees this its all over baby

Some of the lenders I like

1. SunCorp - very conservative..but will offer pretty good terms when you start. Once you are over a million forget it. Limited to 10 yrs I/O..5 years at a time
2. Westpac - great and offer a lot of serviceability. They also offer 15 yrs IO upfront. Have appetite to take risks if you are the right sort of client. Another plus is they use an overseas LMI provider. Downside is they want 20% deposits
3. St George - similar to Westpac but less risk appetite
4. RAMs - Westpac products and have very good rates. Not many brokers are accredited with them...but an absolute must look in.

Note that this is an indicative list only...as time passes things such as policies and the market will change...

 

Your not a mortgage broker???

So all of your comments here are based solely on hearsay or your own direct experience?

You haven't done any training, have never submitted an application directly?

Have never spoke directly to a credit officer?

by the way, rams don't offer accreditation to brokers, and many would tell you they had the exact same experience with rams (or rhg) as you have outlined with Macquarie.

 

Why don't you become a broker sash?

 

Nope....don't need to.

Plenty trained Mortgage Brokers who are pretty useless at their jobs.

I have spoken directly to Senior Credit Managers and State Managers...

Aahh......cutting your grass.

Question would you like to disclose how much commission MacBank pays vs others??

 

Having too much fun doing property no need to become a Mortgage Broker....looks like I have some brokers hair up. Not surprised given some of the people double checking some of the dismal recommendations by some of the brokers on this site.