Do you have a client looking to refinance a commercial property loan?
Kylie has been running her bookkeeping business for 11 years. She owns an office and the interest-only period for her commercial loan is about to expire.
Roadblock
Kylie’s current bank tells her she will have to switch to a principal and interest loan and that the revaluation of her office has come in slightly lower than previous years. Kylie calls her broker to assess options.
Solution
Her broker speaks to RedZed, and we're able to refinance the loan on interest-only for five years. Kylie is thrilled and grateful that she only needs to supply a self-certified declaration and an accountant's declaration to verify her income.
Sound familiar?
Do you have a client in a similar boat? Workshop the scenario or give our team a call!
Seeking a short-term commercial solution for your client?
Bianca is a property developer who has several new developments in her current pipeline. She is looking to use one of her recently finished developments valued at $10m as security so she can obtain $5.6m cash out for her next project. Bianca requires these funds quickly and is seeking a short-term loan. Her exit strategy is to sell individual units within the complex at a suitable speed to maximise profits and clear the proposed debt in two years.
Roadblock
Bianca is struggling to find a lender who can assist given the challenges developers face with funding. These challenges include the loan size and purpose, as well as the ability to showcase servicing with a business model that has inconsistent cash flow.
Solution
Bianca reaches out to her mortgage broker, who speaks to RedZed. Due to Bianca’s extensive development experience and strong asset position, we can assist given we have products assessed based on the loan purpose and how Bianca plans to repay the loan at expiry. The purpose of the loan and exit strategy are clear, and they support an approval for $5.6m at 56% of the value of the property. Bianca is thrilled that we can turn the deal around so quickly.
Have a similar scenario you'd like to workshop?
If you have a client like Bianca, workshop the scenario or give our team a call!
Need examples beyond commercial loans?
Take a moment to explore our residential and SMSF loan scenarios and discover how we can help in all sorts of situations.
