Letter From My Mortgage Broker
2009
I received the following email from my mortgage broker today. Because of my diverse income streams I used lo doc for one of my loans. He is touting for business I am sure, but the letter also drives home the fact that we have a very different lending environment going forward into 2010.
Here’s the letter:
“I am sending you this email to advise you of some SIGNIFICANT changes that have occurred in the Low Doc market over the last few months.
Fortunately, NONE of these changes will affect your current Home Loan, but they may impact on any possible future borrowings that you may be considering.
So, if any of the following scenarios may apply to you, then please call me to discuss your financing options before you take any action:
1/ If you want to sell your current property and purchase elsewhere. It is particularly important that you do not sell your current property without being aware of what your financing options are with respect to purchasing a replacement property. You may find that you no longer have any options under a Low Doc scenario.
2/ If you want to increase your existing Loan.
3/ If you want to refinance your existing Loan.
4/ If you want to buy another Investment property”
I personally think we are returning to the nasty old days like in the 70′s, this means less people able to get loans and a stagnant property sector. I hope I am wrong. Take a look at interest rates in the 70′s, they are high, but not that bad. People just could not get a loan and banks were stupidly tough with lending. However the bankers of that day did not enjoy the extreme bonuses of their counterparts today, so I am guessing the rouges of Martin Place and Collins Street will find a way to gain from others misery.
Now, may just be the time to fix some of your loans for a year or two.
2. Right-Click then Copy
3. Paste the HTML code into your webpage
Comment