Non conforming lenders in tough economic times

Discussion in 'Loans & Mortgage Brokers' started by Peter_Tersteeg, 24th Mar, 2020.

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  1. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Lol, no you are right. The terms and conditions or the agreement.
     
    Terry_w, 28th Mar, 2020
    #21
  2. Redom

    Redom Mortgage Broker Business Plus Member

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    Pepper about to do the same, large scale restrictions and changes in policy coming. Loan sizes, construction, sector by sector. Large price increases too.

    Non-banks rely on securitised markets for their funds (if they can't use the RBA's/Gov'ts 15bn announced facility). The buyers of these bonds will want to see a strong a very strong focus on credit quality in this market (to maintain ratings/price of funds). Hence they will need to adapt and adjust their policies to de-risk their books further loans.
     
    Redom, 1st Apr, 2020
    #22
  3. Never giveup

    Never giveup Well-Known Member

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    Any popular banks for refinancing to pull equity during times like this?
     
    Never giveup, 2nd Apr, 2020
    #23
  4. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Very hard for cash out with no direct use
     
    Terry_w, 2nd Apr, 2020
    #24
  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Wrong q :)

    How popular will your income be with the banks, and is your equity easily valued with an auto val

    And is your end DTI less the 5 to 6 for at least one lender, and a few other odds and sodds

    CBA
    Macq
    ANZ



    This is NOT a place for DIY in my opinion nor for more DD.

    Choose and move NOW, since this small space will close off more quickly than standard lending !

    How much cash out?

    ta
    rolf
     
    Rolf Latham, 2nd Apr, 2020
    #25
  6. berten

    berten Well-Known Member

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    Even with mainstream lenders?
     
    berten, 2nd Apr, 2020
    #26
  7. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    yep

    see my post above

    ta
    rolf
     
    Rolf Latham, 2nd Apr, 2020
    #27
    Terry_w likes this.
  8. Closet

    Closet Well-Known Member

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    Pepper rates have gone up almost 1%...wow...
     
    Closet, 2nd Apr, 2020
    #28
  9. berten

    berten Well-Known Member

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    I did, but a bit too much lingo for me to follow. Sounds like all banks tightening. Probably prudent considering whats coming down the pipes.
     
    berten, 2nd Apr, 2020
    #29
  10. Morgs

    Morgs Well-Known Member Business Member

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    Where is this? I have only heard on the grapevine it is coming but not seen anything public yet...
     
    Morgs, 2nd Apr, 2020
    #30
  11. Closet

    Closet Well-Known Member

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    I heard it on the grapevine myself and got my broker to check...also tightening of lending restrictions as others have mentioned previously...just the risk of going with these lenders :)
     
    Closet, 2nd Apr, 2020
    #31
  12. Never giveup

    Never giveup Well-Known Member

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    I will PM you
     
    Never giveup, 2nd Apr, 2020
    #32
  13. TopCat

    TopCat Well-Known Member

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    Bump.

    Going through a new broker to hopwfully get a 3rd investment property.

    Bluestone is the only provider that is happy for our unique income streams (old casual job, moved to permanent part time 7 months ago / my long term job / x2 current investment rents / government tax free benefits (fostering) / hopeful 3rd property rent.).

    I will be trying to get as much info as I can about Bluestone, as they don't provide any 100% offset options.

    They do have a cheaper investment rate of 2.59%, which we would need to transfer our current loans to then to get equity (x2 investment properties, current ppor).
     
    TopCat, 29th May, 2021
    #33
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