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Commercial to triumph after 'soft' 2011

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Australian Broker | 19 Jan 2012, 07:00 AM Agree 0
Commercial property finance could yield strong broker opportunity in 2012 as interest rate cuts and latent demand boost the sector
  • ChrisC | 19 Jan 2012, 09:57 AM Agree 0
    Sounds good - also look forward to reduced business/commercial rates IF the Banks pass on the rate cuts in these areas.
  • Jeff Mazzini - AAMC Training Group | 19 Jan 2012, 10:11 AM Agree 0
    Everyone involved in the lending process should be aware also that the fastest growth area of lending is via clients self managed superannuation funds. In today’s age whereby Australians are now ranked number 2 behind the USA for suing when things go wrong, I would strongly advise that everyone considers Self Managed Super funds as an option area to fund the Commercial or Investment Retail Property through.
    Traditional lending has been done via the stand alone commercial/Investment property structure in the past and you must now understand what will benefit the clients more and hence suggested you undertake the studies to understand the “what, how’s and whys” of both structures and what is the best for the clients. Failure to effectively undertake this process may lead to issues for both parties that all could do without.
    AAMC Training Group can assist you in obtaining your qualifications in this area.
  • Country Broker | 19 Jan 2012, 01:33 PM Agree 0
    Having been involved in Commercial lending for 30+ years this position in tne articles is ambitious. Yes I am seeing an increase in Commercial applications, not just because of rates, but also because there is some return of confidence and growth in profits,and some increase in demand for rental properties . If you are going to go into Commercial Broking and do not have the qualification by all means get them , but also seek a mentor from within your aggregator. This type of lending CAN BE complex time consuming and at times very rewarding , but it not like home loans , most deals take 2-3 monthsd to settle and consume a lot of time , have a go but be aware of all the compexities and pit falls . I have been in this area of lending for 30 yeaars and still learn nearly every day. As for SMSF yes it is growing fast and it is complex , and every bank has a different way of doing things , get trained in tghis are before you try and work in it , have a good Financial Planner who is qualified in this area ( some are not) cloase to you even when you are trained. The statement about funding Commercial /retail via ASMSF funds is not for everyone but it is an option, the structures need to be understood including the benefits and short comings, if you are not trained in this area STAY AWAY until you are!!
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