Did somebody say EOFY?
The end of financial year is fast approaching and due to the current climate your situation may be very different to previous years.
There is some good news for business owners with the increase in the government asset finance write-off incentive which now allows you to claim an immediate deduction (business portion only) for multiple assets, new or second-hand, provided each asset costs less than $150,000. Great news if you are looking to purchase or upgrade equipment or machinery – and it’s been extended until the end of 2020!
Additionally, slow-moving car sales mean there are bargains to be had if you need to add to your business fleet. Double bonus!
Are rates getting lower?
Rates are at a historic low and have been for a while, with some banks offering fixed rates at a discount to the variable offering. What are the benefits? Lower rates mean you could pay off your loan faster, lower repayments, and save more (and that’s just the beginning). I have access to over 60 banks and lenders and am in a good position to help you negotiate a more competitive rate.
Is there a long wait time to get a loan?
Due to the current environment, some banks and lenders have been heavily impacted with overseas processing centres closed or at reduced capacity, while others have had a big influx of clients.
Turnaround times range from 1-day responses to an excess of 25 days. The key here is, talk to your finance professional nice and early…even if you are just thinking about your options.
Banks offering cashbacks?
Thanks to COVID-19 many banks are offering cash back or refinance rebates to attract new customers.*
Many are around $2,000 but we’ve seen one up to $4,000. Of course it all depends on your situation and these offers are only for a limited time so require quick action. Banks are looking for business and I can help you to understand your options.
Looking to buy your first home?
The First Home Loan Deposit Scheme (FHDLS) was introduced to help first home buyers get their foot in the door sooner. It helps provide a guarantee to the bank or lender which could save thousands of dollars while potentially removing the need for first home buyers to obtain Lenders Mortgage Insurance (LMI).
Although the spots for the 2019/2020 financial year have been filled, another 10,000 spots will be available come 1 July 2020.
On Thursday, 4 June 2020 the federal government announced a new $700 million housing stimulus package, “Homebuilder” aimed at rekindling the property market.This is good news for those renovating or considering a new build with grants of up to $25,000 available after 4 June.
Recipients will need to spend at least $150,000 of their own money and the government estimates approximately 27,000 grants will be handed out.
More information on the program is available on our website – click here.
Tips for property investors
There are many questions that are hard to answer right now – Is now a good time to buy? Should I hold off selling? What’s next for our economy and the property markets?
While we don’t have a crystal ball, we can help ensure you are in the strongest possible financial position for your situation. If you need help to:
- Take advantage of low rates – we’re seeing some in the low 2s (of course it depends on your situation and specific circumstances)
- Understand what equity you may have available in your current property
- Negotiate payment-deferrals
- Explore hardship options
- Connect with financial planning experts to explore a plan to grow your wealth.
Please make the call!
* Cash backs and rebates subject to lender terms and conditions and can be amended or varied.