Finance for Property Purchases
Been let down at the last minute by your bank, or you have a shortfall in funding? It’s great to know there is a finance company out there who can fund you either on the same day. or within 24 hours. This means you can still settle on your property purchase on time, and NOT….
- Go into rescission
- Lose your deposit
- Be hit with fees and penalties
- Damage to your reputation
If you apply before 9am, we can actually be ready to fund you that same afternoon. How fast is that!!!
All you need to do is Apply Online, and supply…
- A scanned copy of the Contract of Sale
- The finance contract that has been delayed or cancelled
- Photo ID for each person going on title
- A scanned copy of a Trust Deed (only if being purchased in a Trust)
We can have you approved within 2 business hours, and can fund you in 24 hours. It is literally that fast and that simple.
What is Required?
Very Little! As our Bridging Loans are purely for business or commercial investment purposes, your purchase needs to be one of the following…
A Commercial Property being purchased in EITHER a personal OR Company name
A Residential Property being purchased in a Company Name
Unfortunately, laws prohibit us from funding you if you are buying a residential property in your own name.
However if you have taken all the necessary safeguards for asset protection, and bought your residential investment property in a Company Name (or a Trust with a Company as Trustee), or if it is a Commercial Property, we can fund you RIGHT AWAY.
HOW MUCH CAN WE LEND
Max LVR: 75% of the purchase Price (including costs). If you need more than 75% and you have equity in other real estate, WE CAN STILL FUND YOU
You can take the bridging loan for a minimum of just 1 month, or up to 6 months.
We can tailor it to your needs.
Then as soon as your long term finance is in place, they simply pay our bridging loan out, and they become the 1st Mortgagee and we are done and dusted and gone.
Are you Looking for a Business Loan to buy Property? HomeSec can help you With This.
A business property loan is business funding, specifically for the property purchase, which the borrower can use for business. The property can include office space, warehouses, retail shop or industrial land. In short, any property the company will use and not for any personal purpose. Any individual, discretionary trust, partnership or any other group can apply for this loan on behalf of a company or a business.
The borrower can apply for a high amount in short-term property loans, but it also includes higher interest rates than residential property finance. It is due to the higher risk involved in this loan. You need to make regular repayments, or you can have all costs capitalised. You can opt for terms from 1 to 12 months. Besides this, any costs associated for the loan can be tax deductible.
The borrower has the flexibility of making interest-only payments or no payments for the term of the loan. If the costs are capitalised you have a lump sum at expiry of the loan to repay.
Things to consider while Applying for short-term property finance
There are some aspects to consider before applying for property finance. They are as follows.
The interest rate
How much you have to pay in interest for the property loan will affect the total loan cost and the monthly repayments if applicable. The interest rate varies according to the lender’s risk.
LVR (Loan to Value Ratio) will determine the loan amount. Homesec offers a maximum LVF of up to 75% of the value of the property being used as security.
Fees for short-term property funding vary according to various conditions. The most common fees include establishment and legal fees. But there are no other charges for early repayment when repaying the finance for the property.
HomeSec offers a maximum amount of $5 million to a minimum of $20000 as the loan amount. You might borrow more, but it also depends on your repayment capability.
HomeSec provides immense flexibility in repayment terms. You can pick a monthly or capitalised repayment facility according to your cash flow seasonality.
The loan term for a business loan for a property purchase is the time within which you have to repay the loan. With a short loan term, you have options of 1 month to 2 years. The terms are flexible and can be structured to meet your business needs.
Different Types of property Loans in Australia
There are several property loans you can apply to HomeSec, based on the funding type you require. These are as follows.
Commercial property loans
This loan is primarily for commercial property or refinancing a commercial property loan. The borrowing amount and interest rates are competitive in the market.
Subdivision of the land increases the property value with no necessity for further construction. You can use this business loan on the property for construction purposes also.
You can use this loan to purchase a factory with equipment.
Rural short-term property loans
Rural property finance is also available however the LVR is reduced according to size of property or location.
Construction and property development loan
This funding helps construct sub-divisions, commercial properties and residences.
The borrower can use mezzanine finance for an expansion, completing a project or borrowing additional capital. You can use this short-term property finance when the bank does not cover all your financial needs.
You can use this funding to buy vacant residential or industrial land. You can hold, develop or subdivide properties and convert them into marketable assets to double or triple your investment.
Documents Necessary to get a business property loan approval
The documents and information you will require to submit to HomeSec depend on the property type and the loan amount. However, you have to submit the following documents as a general rule.
Company and personal information
You should submit your contact details, name, ID proof and address proof while applying for short-term property funding. You will also have to give ACN or ABN.
No financial documents are required unless you take out a 12 month loan, you will then need to provide bank statements to show you can meet the monthly payments. By providing these documents, the lender will determine your ability to repay the property loan.
For easy approval for a business loan for property purchase, you should submit details of the property such as type and location. Even if you are buying a commercial property or an investment property, you should provide the current lease agreement details that are currently in place on the property.
HomeSec’s finance for a property is dedicated to supporting the commercial investment sector. Our financial specialists are highly-trained to deliver customized solutions for property loans in Australia.
Urgent Finance For Property Purchases
Need to Borrow the Deposit, or you need Funds to Complete a purchase? HomeSec can help in just 24 hours, with our Business Bridging Loans.
No more running the risk of losing land for a major development, just because the bank can’t deliver. No more feeling embarrassment because for whatever reason, you just don’t have the funds.
Thankfully, we are here to help. If we can secure our loan against real estate, and keep the LVR under 75%, we will fund you in 24 hours. Plus we don’t need to see financials, and credit history is irrelevant.
Real Estate Agents & Mortgage Brokers across Australia and New Zealand are also becoming aware of HomeSec Business Bridging Loans, and are actively telling their clients about them.
This is a smart move, because nothing breaks a Real Estate Agent or Brokers heart more than a hard fought sale falling over because of issues with finance.
Sadly, the reality is, it happens every day. So the smart real estate agents and brokers have partnered with HomeSec so they can have all the information to pass on to their clients, should the need arise.
This means their client can even Apply Online on the spot
If you have sufficient equity in real estate, you are almost certain to be APPROVED and funded within 24 hours.
Frequently Asked Questions
Business loans can be used to purchase a property in a company name or a commercial property.
If traditional banks are taking too long to approve the finance and your settlement date is fast approaching, this type of funding can be a life saver.
Interest rates start from 1.95% pm.