NAB sharpening the pencil a touch

Wow fixed rate is now under 4%

 

Good to know. Is there any LVR penalties?

 

Not on fixed rates.

 

Getting people locked in while they can before the big (bad) announcement.

 

For those exhausted or near exhausted everywhere but NAB - better get all your NAB apps in now... Same goes for any variations ,top ups etc... get in while the going is good. ie while they are assessing OFI at actuals + 30% ..... otherwise your next purchases may well be limited to Pepper at 85% LVR or Liberty at 80% LVR

 

Can you elaborate on 'big (bad) announcement'?

 

Serviceability going out the window

 

As I predicted a few weeks ago. They gonna cut interest and lower serviceability to counter the move.

 

any idea when this may be announced
thanks

 

C. Lock it in Eddie.

 

It's confirmed, but not exactly when. Sometime in November.

 

Hi, just a quick quesrion that I only have 1 big IP and i want to bring it over to Nab, will the upcoming change affect me or it just affect multiple IPs portfolio.

 

This is so disappointing from NAB but I guess they couldn't be there on their own with how they assess existing debt. Any good/bad feedback with Pepper and Liberty? How long before they change also?

 

No word from either - Liberty as recent as this week was noting they have no intention of changing their policy. As always changes like this can happen overnight if circumstances change enough to warrant it. I'd wager Pepper's products would likely change before Liberty as their policies were quick to fold previously under the changes in comparison to Liberty.

In the end Pepper and Liberty aren't the only remaining options available for investors - those brokers who have their own licences and foresight into these changes have been growing their solutions ahead of the changes.

 

Please elaborate, is this something you are into?

I suspect your saying some licensed brokers are obtaining wholesale funding and writing their own loans with their own policies...

 

Not wholesale funding/writing their own loans - to write your own loans this generally requires a direct brand/mortgage manager role and reliant on the policy of the origin funds.

The key difference is that most brokers are reliant on their aggregator panels which restricts which lenders they can work with/use. If a brokerage is licenced through their aggregator - the restriction of lender use is generally enforced by the aggregator.

If instead the brokerage instead has its own licence, it can use its own discretion to form relationships with any lender which is willing to work with them.

In terms of the future of investment lending, I can see there being a significant need for investors looking to build significant portfolios will need to expand the types of lenders they utilised - which can include specialised lenders.

 

Do you have your own license?

 

Wonderful....even more opportunities....particularly in Sydney...

 

Yes he does