Case Study: Customer required $3m for investment purpose

Background

An expat Customer (Australian Citizen living and working overseas) wanted to purchase a high end investment property in Melbourne for $3m.

The Customer had $3m of equity in one of their existing properties, which they wanted to utilise so that they could have access to “clear funds” in their bank account, to enable them to make an unconditional offer on the investment property, and to be able to offer a short settlement.

Challenges Faced

Expat income (foreign currency) is complex, with currency conversions and Lender policies which apply to effectively discount the income to allow for possible currency fluctuations.

Other special Lender criteria / policies also apply for expat Customers.

Additionally, the requirement for $3m (using an existing property as security) is known as “cash out”.  Lenders have strict “cash out” limits and they require some evidence to substantiate what the loan is being used for.

Outcome

Our experienced Brokers were able to research Lender expat policies extensively, which allowed us to build a strong case that was supported by the Bank/Lender.

Our Customer was able to access the loan as “cash out” by using one of their existing properties to secure the loan.  The new property is now owned outright / unencumbered (free title).

We also negotiated a market leading interest rate for our Customer, who was very happy with the outcome.