Browse Forums Home Finance 1 Dec 11, 2016 12:08 am Any mortgage brokers out there know any bank that will lend for the following. Put a offer on some land. Offer accepted at $630000. Contract comes and the contract value is for $430000 less $20000 deposit paid by the our vendor for a deed option to buy at $430000. So basicly we have to pay the remaining $410000 on the contract and $220000 to our vendor. Asked a friend who works at St George as a BDM and he said they wouldnt do it unless the contract was for the full amount. Thanks! Re: Contract Sale + Deed option 2Dec 11, 2016 5:36 pm Hi, yep typically the lender will use the lesser of the contract or the valuation - and the valuer is going to discount the block on that basis. But when does it settle? If the land is unregistered and settlement not for a while there are lenders who will use the valuation rather than the contract if its more than 12m old. Provided the valuation comes in at full price or higher you're ok. Do you need to borrow maximum value? Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: Contract Sale + Deed option 4Dec 11, 2016 8:55 pm So you're settling soon? What state are you in? If you have equity elsewhere pull out all the stops! Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: Contract Sale + Deed option 5Dec 11, 2016 9:49 pm im in sydney. We havent signed the contract to settle because we arent sure yet if a bank will do the deal and we dont have $220k even with my equity. If hes willing to, ill try offer $150k for the deed option and get the contract revised to $480k. But then ill need to borrow like 99% lol Re: Contract Sale + Deed option 6Dec 11, 2016 10:03 pm Wait - so the vendor wants payment off contract of $220k? I misread that thinkijg it was a typo and difference was $20k incentive from vendor. No way! Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: Contract Sale + Deed option 7Dec 11, 2016 10:06 pm yeah so his company owns land.. he has deed option to buy land from them for $430k... hes paid $20k for the option... so our total buy is $630k. We pay him $220k to take up his deed option then pay his company the remaining $410k on the contract... property ours. Re: Contract Sale + Deed option 8Dec 11, 2016 10:11 pm Get your solicitor to check the terms & yep you're going to struggle to finance. What is the land really worth? Again if the registration is 12m or more and the value is there you may get around it but check that contract first. Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: Contract Sale + Deed option 10Dec 12, 2016 6:14 am Ok fingers crossed for you! Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Hi, I'd like some advice on the best option please on the estimate options we've been provided from our builder. This is for the… 0 4068 Newbie question for flooring options. We are thinking of changing the flooring for bedrooms and passage area. Last time we looked at flooring options was almost 8years… 0 3519 Would also like an opinion from anyone that has used xcem over hebel for floors. Thanks 1 14235 |