The Borrowers, overseas buyers based in New Zealand, had purchased an off the plan apartment through a company they had established in Australia. The apartment is in Equity Central‘s recently constructed building, Southbank Place, in Melbourne’s Southbank district.
They weren’t able to get bank finance as their financials didn’t demonstrate traditional bank servicing requirements.
The security on offer was the recently constructed apartment consisting of two bedrooms and one lock-up garage. The 52-level tower also houses an indoor heated pool, gym, relaxing lounges, dining area with two kitchens, theatre & a landscaped rooftop BBQ terrace with panoramic views of Melbourne’s skyline.
The Sponsor’s exit strategy was to prepare financials and refinance out at the end of the term.
Private Mortgages Australia was able to loan $408,000 with an LVR just under 65% at a 12.75% interest rate. The loan had capitalised interest for nine months plus three monthly extensions. Please note that PMA is only able to lend for genuine business purposes. In this case, the borrower purchased the property through an established Australian company.
“Private Mortgages Australia (PMA) have recently assisted our client in purchasing an investment property in South Bank, Victoria Australia. This was the first time we had facilitated a home loan for a client based in New Zealand – purchasing in Australia. The team at PMA were very accommodating with their time and expertise and we would have no hesitation in using their product and services again in the future”.
Kim Lyons, Director of First Rate Mortgages Ltd and Nonbk Ltd, Auckland, New Zealand