ABOUT PRIVATE LENDING
Moshav Financial delivers the most effective property funding solutions from residential loans, commercial property investments and multi-stage construction projects. If the traditional banks have said no, and now all the second tier and specialist lenders are also struggling to meet your financial requirements – we can help you. We specialise in property-backed lending. We have a wealth of experience and a trusted network of private investors.
A private mortgage is traditionally funded from a private lender instead of a bank or non-bank lender. If your bank or lender has declined to proceed, Moshav Private Funding may be able to offer you a “Private Mortgage”.
PRIVATE LENDING SERVICES
12 MONTH PRIVATE MORTGAGE
A twelve-month private mortgage can be offered to borrowers to assist and restore credit or servicing history. When our team or potential investors are assessing your application we understand you may have payment arrears or event credit defaults. We offer a genuine solution to borrowers who wish to consolidate debt and repair their credit standing in order to obtain finance from traditional banks at some point in time.
6 MONTH PRIVATE MORTGAGE
A six-month private mortgage can be offered to help a project complete, continue, or perhaps conclude a renovation or construction on a property. We understand that perhaps your existing bank or lender has declined to provide further funds. We can also help with short term loans to provide business cash flow, pending a larger consignment or pre-purchase or to access equity in cases where it would not be feasible to break a first mortgage i.e. fixed rate loan.
SECOND RANKING MORTGAGE
A second mortgage involves applying for another loan with the same property as security. The second mortgage is ranked behind your first, which means that if you don’t repay your debt and your property is sold, your first mortgage is repaid before your second.
CAVEAT MORTGAGE
A quick way to settle a short term loan. A registered caveat provides a means through which one is able to retain an existing first mortgage, but extend credit beyond the capacity of the current provider.
SHORT TERM LOANS
Moshav Financial can help with funding for short term loans. We offer Second Ranking, Mortgages, Caveat Mortgages and Short Term loans. We have a variety of products and solutions that can successfully fund and support short term requirements.
FREQUENTLY ASKED QUESTIONS
WHAT IS THE LOAN VALUE RATIO (LVR) THAT YOU CAN FINANCE AGAINST MY PROPERTY?
Much like the contract rate, the LVR will vary depending on the property type, location, mortgage size, and whether the mortgage is in first or second position. In general, the LVR is up to 75% - but this may vary on a case by case basis.
WHAT IS THE LOAN-TO-VALUE RATIO (LVR) THAT YOU CAN FINANCE AGAINST MY PROPERTY?
Much like the contract rate, the LVR will vary depending on the property type, location, mortgage size, and whether the mortgage is in first or second position. In general, the LVR is up to 15% - but this may vary on a case by case basis.
WHAT IS THE LOAN TO VALUE LVR THAT YOU CAN FINANCE AGAINST MY PROPERTY?
Much like the contract rate, the LVR will vary depending on the property type, location, mortgage size, and whether the mortgage is in first or second position. In general, the LVR is up to 70% - but this may vary on a case by case basis.
| Purpose | Business/Unregulated | Business/Unregulated | Construction |
|---|---|---|---|
| Loan Term | 3-36 months | 3 - 36 months | 6-36 months |
| Loan Amount | From $150,000 to $20 million | From $150,000 to $20 million | From $150,000 to $20 million |
| Interest Rates | From 7.5% p.a | From 15% p.a. | From 7.95% p.a Line fee from 2.0% p.a. |
| Max LVR | Up to 70% | Up to 75% | Up to 70% |
| Repayments | Interest-only | Interest-only | Interest-only |
| Requirement | 1st registered mortgage | 2nd registered mortgage with priority letter from the first mortgage | 1st registered mortgage |
| Eligible Security | Lend on residential, commercial, industrial land in metropolitan areas and major satellite locations along the Eastern seaboard | Lend on residential, commercial, industrial land in metropolitan areas and major satellite locations along the Eastern seaboard | Lend on residential, commercial, industrial land in metropolitan areas and major satellite locations along the Eastern seaboard |
| Serviceability | Interest prepaid | No servicing required if interest prepaid. Otherwise, the borrower must be able to show clear ability to service | No servicing required if interest is prepaid. Otherwise, the borrower must be able to show clear ability to service. |
| Exit | Clear exit strategy to be provided | Clear exit strategy to be provided | Clear exit strategy to be provided |
| Credit History | Moshav Financial credit search conducted for purpose of full disclosure only | Moshav Financial credit search conducted for purpose of full disclosure only | Moshav Financial credit search conducted for purpose of full disclosure only |
| Early repayment fee | Minimum term 3 month | Minimum term 3 month | Minimum term 6 month |
| Commitment Fee | From $990 | From $990 | From $990 |
| Establishment Fee | 2.20% inc GST | 2.20% inc GST | 2.20% inc GST |
| Valuation Fees | Valuation to be quoted upon application - guide 0.1% of property value | ||
| At Cost | Estimated from 2% | ||