Wednesday, June 25, 2014
Sunday, June 22, 2014
Thursday, June 19, 2014
Monday, June 16, 2014
Why choose a Mortgage Coach ? 3
Why choose a Mortgage Coach ? - 3
.
A regular Mortgage Broker will usually act as an 'Order Taker'.
This Order Taker role can be indifferent
to important issues related to the Home Loan process,
and in particular the purchase of Investment Property for SMSF.
.
In an Article in the Sydney Morning Herald entitled,
'Property spruikers scent big opportunity in super',
with a subtitle,
'Regulators are struggling to keep up as the nexus between real estate operators
and financial advisers gets stronger.'
.
The Article states,
'Property investment seminars being held around the country
are striking a chord with those seeking a comfortable environment.
Usually the main speaker will be from a real estate company,
though the exact nature of the business is not always clear.
But the pitch is clear enough:
how real estate, particularly apartments,
can be mortgaged inside a Self Managed Super Fund (SMSF)
where existing super is used for a deposit on the property.
Some even advise that if you do not have enough super
for the deposit,
you can borrow against the equity in the family home.
.
Each week, about 700 self managed super funds are established.
No one is saying holding mortgaged property inside
an SMSF cannot be a good investment.
But it is the hard sell from unlicensed property spruikers
that has the Australian Securities and Investment Commission,
and others, worried.
.
'In the right hands , SMSF's can be very effective retirement saving vehicles',
ASIC Commissioner said....'In the wrong hands , however,
SMSF's can be high risk'.
.
A regular Mortgage Broker will usually act as an 'Order Taker'.
This Order Taker role can be indifferent
to important issues related to the Home Loan process,
and in particular the purchase of Investment Property for SMSF.
.
In an Article in the Sydney Morning Herald entitled,
'Property spruikers scent big opportunity in super',
with a subtitle,
'Regulators are struggling to keep up as the nexus between real estate operators
and financial advisers gets stronger.'
.
The Article states,
'Property investment seminars being held around the country
are striking a chord with those seeking a comfortable environment.
Usually the main speaker will be from a real estate company,
though the exact nature of the business is not always clear.
But the pitch is clear enough:
how real estate, particularly apartments,
can be mortgaged inside a Self Managed Super Fund (SMSF)
where existing super is used for a deposit on the property.
Some even advise that if you do not have enough super
for the deposit,
you can borrow against the equity in the family home.
.
Each week, about 700 self managed super funds are established.
No one is saying holding mortgaged property inside
an SMSF cannot be a good investment.
But it is the hard sell from unlicensed property spruikers
that has the Australian Securities and Investment Commission,
and others, worried.
.
'In the right hands , SMSF's can be very effective retirement saving vehicles',
ASIC Commissioner said....'In the wrong hands , however,
SMSF's can be high risk'.
Thursday, June 12, 2014
Why choose a Mortgage Coach over a Mortgage Broker ?
Why choose a Mortgage Coach over a Mortgage Broker ? - 2
.
If you are deciding to buy Investment Property,
it can be quite difficult to obtain the best advice from Property Seminars
and Property Spruikers.
.
Subsequently when it comes to choosing which area in Australia
to buy Investment Property,
you need to obtain truly independent advice.
The problem with getting impartial advice,
is that nearly all Property Marketers
are spruiking the benefits of the Properties from their own Property Group.
.
How can you tell if the Investment Property is a good opportunity
if the Property Spruiker has a vested interest in the Sale ?
.
.
When you are purchasing an Investment Property
your Mortgage Broker should be acting as a Mortgage Coach
in the negotiation of the Property transaction.
'Jack Parrot' the Mortgage Broker ( our fictitious character, a pirate parrot )
is merely an 'Order Taker',
and shows no real interest in the Property transaction process.
Jack Parrot repeats the same line ad nauseum ,
"We'll find the right loan for you",
and ignores the critical question for Property Investors,
"Are you buying in the right area ?".
.
.
The above illustration is an analogy of 'Jack Parrot'
in collusion with a Property Group
to persuade Clients to buy Investment Property,
not based on impartial advice
but because of the Commissions paid.
.
We are not suggesting that every Mortgage Broker is a Jack Parrot,
but it is very important to understand the point of difference
offered by a Mortgage Coach .
.
If you are deciding to buy Investment Property,
it can be quite difficult to obtain the best advice from Property Seminars
and Property Spruikers.
.
Subsequently when it comes to choosing which area in Australia
to buy Investment Property,
you need to obtain truly independent advice.
The problem with getting impartial advice,
is that nearly all Property Marketers
are spruiking the benefits of the Properties from their own Property Group.
.
How can you tell if the Investment Property is a good opportunity
if the Property Spruiker has a vested interest in the Sale ?
.
.
When you are purchasing an Investment Property
your Mortgage Broker should be acting as a Mortgage Coach
in the negotiation of the Property transaction.
'Jack Parrot' the Mortgage Broker ( our fictitious character, a pirate parrot )
is merely an 'Order Taker',
and shows no real interest in the Property transaction process.
Jack Parrot repeats the same line ad nauseum ,
"We'll find the right loan for you",
and ignores the critical question for Property Investors,
"Are you buying in the right area ?".
.
.
The above illustration is an analogy of 'Jack Parrot'
in collusion with a Property Group
to persuade Clients to buy Investment Property,
not based on impartial advice
but because of the Commissions paid.
.
We are not suggesting that every Mortgage Broker is a Jack Parrot,
but it is very important to understand the point of difference
offered by a Mortgage Coach .
Monday, June 9, 2014
What are the Risks of SMSF Property Lending ?
What are the Risks of SMSF Property Lending ? 1
.
There has been a recent rapid increase in borrowing by Self Managed Super Funds
to purchase property.
.
.
According to a recent article in the Sydney Morning Herald,
entitled 'Fears over SMSF property lending',
Self Managed Super Funds are 'splurging' on real estate.
It states, 'A five-fold increase in borrowing to help fund a $40 billion splurge
on property for self-managed super funds has prompted the Reserve Bank of Australia
to warn about further increasing investor debt-load through more borrowing.
The nations monetary mandarins warn the spending and borrowing binge
is "raising concerns" about exposure to increased risks,
such as another market crash wiping out property values,
or interest rate rises creating repayment difficulties.
.
But the research used by the bank and other independent analysis
is based on Australian Tax Office returns
that are at least 12 months old and miss recent boom market conditions
that have pushed up prices and lending.'
.
.
There has been a recent rapid increase in borrowing by Self Managed Super Funds
to purchase property.
.
.
According to a recent article in the Sydney Morning Herald,
entitled 'Fears over SMSF property lending',
Self Managed Super Funds are 'splurging' on real estate.
It states, 'A five-fold increase in borrowing to help fund a $40 billion splurge
on property for self-managed super funds has prompted the Reserve Bank of Australia
to warn about further increasing investor debt-load through more borrowing.
The nations monetary mandarins warn the spending and borrowing binge
is "raising concerns" about exposure to increased risks,
such as another market crash wiping out property values,
or interest rate rises creating repayment difficulties.
.
But the research used by the bank and other independent analysis
is based on Australian Tax Office returns
that are at least 12 months old and miss recent boom market conditions
that have pushed up prices and lending.'
.
Subscribe to:
Posts (Atom)