Over 65, bank switched to principle + interest.

Discussion in 'Loans & Mortgage Brokers' started by NHG, 24th May, 2018.

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  1. sumterrence

    sumterrence Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    448
    Location:
    Sydney
    Recently I've encountered more and more people that borrow money from the bank with I/O only arrangement for their O/O property and expect to keep it that way for the rest of their life.

    I always told them that technically you don't own this property until you receive your Land Title.

    And the fact that just because as a borrower paying interest to the bank for the money they borrowered it felt like they are doing the bank a massive favour?o_O

    I thought it should be the other way around? :oops:
     
    sumterrence, 20th Jun, 2018
    #21
  2. sash

    sash Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    15,663
    Location:
    Sydney
    If you dad has say 5 properties...get yo dad to put together a plan on how he will sell out over time.

    The ask them if they can allow IO on 3-4 loans on IO...the others can be PI with a view he will sell one a year......

    I got asked about my plan..I demonstrated I had a plan and plan to sell 1-2 a year. I already sold this FY...so that was proof.
     
    sash, 21st Jun, 2018
    #22
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