Purchasing a property when self-employed
As a self-employed plumber, Steve wasn’t sure he would be able to use debt to start a property portfolio. Traditionally, banks would view him as less reliable than PAYG earners, making it more difficult for him to build a property investment portfolio.
Reorganisation of financial accounts
Adding back charges to books
Rollover of existing loan into a new facility to reduce overheads
Our Proposal
Steve needed a new strategy for purchasing an investment property using the equity he had in his house. While he would have been able to service the loan with his earnings, he needed to be able to show that clearly in his application. Intuitive Finance walked through his accounts and added back a number of charges to more accurately reflect his annual earnings, and also arranged to roll over a small business loan into the new facility. This reduced his estimated overheads by the amount of the interest the business had been paying.
The Outcome
After the review and refinement of his finances, Steve was able to establish a line of credit with his lender and then purchase a bayside property (with an LVR of 80%, thus avoiding mortgage insurance). Since then, he has been renting out the property and is looking to keep growing his property portfolio.
with clients all over Australia and around the world. Andrew has over 30 year’s experience in the finance industry and has assisted clients to secure over $2 Billion in mortgage lending over his time. Intuitive Finance deals with all aspects of lending from helping first homebuyers, someone wanting to upgrade their home or starting out and experienced investors looking to secure that next investment property, we can assist with all those requirements. We also specialise in working with self-employed clients and getting them the best outcomes, along with Commercial and Asset finance solutions. Intuitive Finance is highly regarded in the industry and has been recognised as a national winner of the MFAA customer service award and also one of the finance industry’s top mortgage employers. Our brokers also feature regularly in the Top 100 mortgage brokers list in Australia.
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