Alan Stott

BANKS & MORTGAGE INSURERS MAKE IT HARDER TO BORROW!

YES....IT'S TRUE! 

Despite the grate success of the First Home Owners Grant Boost, the Banks and Mortgage Insurers have changed their lending policies and have reduced the maximum we can borrow to 90%, and now require all borrowers to have a minimum of 5% genuine savings. The borrower must evidence the prescence of these funds in their account for at least the last three months.

I still have access to very limited 95% lend products, but the borrower must fit strict criteria.

I also have a very useful 98% lend product, where the lender does not charge the borrower lenders mortgage insurance. Again, strict criteria exist in terms of debt ratio's, maximum joint incomes of $120,000pa and a maximum purchase price of $412,000.

For FREE ADVICE call me to find out how we can help you with your new borrowing requirements.

FIRST HOMEOWNERS GRANT BOOST TO CONTINUE!

The industry is breathing sighs of relief after the government revealed it will be extending the boost to the First Home Owners Grant (FHOG).

Speaking at the official announcement of the federal budget last night, Treasurer Wayne Swan said that since it was introduced, the boost had "supported employment and helped 59,000 Australians buy their first home."

He went on to say that in light of the continuing global uncertainty, and the success of the initiative, the government would extend the boost for a further six months, with a reduction coming into place for the final three months..

Going forward first homebuyers will be eligible to receive the full boost of $14,000 for established and $21,000 for new housing until 30 September. After this date, $14,000 will be offered for new homes and $10,500 for established homes for the three months to 31 December.

The move has been applauded by the industry.

This will give First Home Buyers an opportunity to save a 5% deposit over the next 3 - 6 months so as to meet lenders' requirements that borrowers now have a 10% deposit of which 5% must be genuine savings where the loan involves lenders mortgage insurance.

To discuss how you can plan to take advantage of this extension, phone me now on 0400 649 700 or  email alan@beatthebanks.com.au.

INTEREST RATES LOWERED AGAIN BY 1% BY RESERVE BANK!

 

MEDIA RELEASE      No: 2009-01      Date: 3 February 2009      Embargo: For Immediate Release

STATEMENT BY GLENN STEVENS, GOVERNOR
MONETARY POLICY

At its meeting today, the Board decided to reduce the cash rate by a further 100 basis points, to 3.25 per cent, effective 4 February 2009.

There was a significant deterioration in world economic conditions late in 2008. The effects on household and business confidence of the financial turmoil following Lehman’s collapse, and continuing strains on major financial institutions, saw a significant downturn in demand around the world. As a result, the major advanced economies contracted sharply in the December quarter, as did a number of emerging market economies. The Chinese economy, though still growing, has slowed markedly. Global inflation, having reached high rates during the middle of 2008, is now declining.

Measures to stabilise financial systems have contributed to an improvement in the functioning of credit markets over the past couple of months. This, in conjunction with expansionary macroeconomic policy measures being taken around the world, should assist in promoting global recovery over time. But the near-term outlook for the global economy is the weakest for many years.

Economic conditions in Australia have also been affected, though less than in other advanced economies. Australia’s financial system remains in a strong condition and large interest rate reductions over recent months have been passed through in substantial measure to end borrowers. Nonetheless, the combination of last year’s financial turmoil, a severe global downturn and substantial falls in commodity prices has had a significant dampening effect on confidence, and therefore on prospects for growth in demand. Inflation has begun to moderate and, given recent developments, it is likely to continue to decline.

In these circumstances, the Board judged that a further sizable reduction in the cash rate was appropriate, to give further support to demand. In making its decision, the Board took into account the package of measures announced by the Government earlier today. The combination of expansionary monetary and fiscal policies now in place will help to cushion the Australian economy from the contractionary forces coming from abroad.

IF YOU WANT TO KNOW HOW THIS EFFECTS YOUR MORTGAGE REPAYMENTS, OR IF YOU WANT TO KNOW IF THIS REDUCTION NOW MEANS YOU THINK YOU CAN AFFORD AN INVESTMENT PROPERTY, THEN CALL ME TO FIND OUT!

REFERER OF THE YEAR FOR 2008.....MICHAEL PATERSON! THANK YOU MICHAEL!

I would like to introduce and acknowledge MICHAEL PATERSON.

Michael is both a freind and a client, and is my most prolific business refererr.

As well as being a Solicitor, Michael Paterson is also a software developer and is actively involved in both the legal and computer industries. He has dual qualification in both disciplines: B.Sc. (Computer Science) LL.B. (Hons.) A.N.U. (1982-1986).

With his knowledge and practical experience in the computer industry, Michael Paterson has developed a niche practice area in computer, technology and intellectual property law. In addition, he regularly presents seminars on computer-related legal issues to various industry and professional bodies and gives guest lectures at Curtin University and Edith Cowan University.

Michael has been referring his clients and his staff members to me ever since I arranged his own personal and investment finance some time ago.

Thanks to Michael, I have quite a number of new clients, and I too have been able to refer my clients to him on a number of occasions when I have known about issues facing my clients and freinds.

Michael has advised and sorted out my clients on issues such as property leases, wills, enduring power of attourneys, property disputes and in establishing the owning entities of businesses and establishing family and unit trusts.

Thank you for the business you refer to me Michael. I appreciate your business and the confidence shown to me in referring your clients, freinds and staff member to me!

......and if you need a good solicitor or good legal advice, please give me a call and I will gladly put you in touch with Michael. 

MESSAGE FROM MAX....YOU ONLY GET TO KEEP WHAT YOU GIVE AWAY!

  IT'S A UNIVERSAL LAW: YOU HAVE TO GIVE BEFORE YOU GET.

You must plant your seeds before you reap the harvest.

The more you sow, the more you will reap.

In giving to others, you will find yourself blessed.

The law works to give you back more than you have sown. Those that obtain have little. Those who scatter have much. The givers harvest is always full. Nature does not give to those who will not spend.

This is the time of year to show appreciation to those you love.

 

Happy holidays!

CONGRATULATIONS BRENDAN!......WELCOME TO THE RAT RACE!

This TRUE STORY is unusual, in that Brendan is in the middle of Zambia handling logistics for his mining and resource employer. Brendan organised that his accountant (Domenic Papaluka of the Fabulous Stirling Accountants & Business Consultants) have Power Of Attourney over his affairs in his abscence.

Immediately before christmas, we were able to advise Brendan that his loan application was both approved and UNCONDITIONAL.

Naturally, Brendan was very happy to know that he is to be the owner of his FIRST HOME, and we also arranged for the BOOSTED FIRST HOME OWNERS GRANT OF $14,000!

Here's the breif paragraph he managed to get to us after the camps communications were destroyed by a lightning strike......

"Hehehe... Yup, finally got there eh... Dom can you just pass on my regards and appreciation to Alan despite my hissy-fit last week. Unfortunately our comms system got whacked by lightning on Sunday...so I'm a bit shy for email services just now.

Will get back to all soon and Merry Xmas to all.

... dem rats don't scare me...;-)

Brendan."

We can arrange finance wherever you are in the world!

 

 

IT'S 2009!........HAPPY NEW YEAR!

  I wanted to take the opportunity to wish you all....

HAPPY NEW YEAR.....AND MAY 2009 BE A HAPPY, HEALTH & PROSPEROUS YEAR FOR YOU, YOUR FAMILY & FREINDS!!!!

If the start of the new year means a review of your life and financial goals, then why not ask me to help you analyse your current position and look at options you may not have even thought about. If this is you, please call me on 08 9240 1990 to organise a confidential and free of charge meeting.  

 

 

RBA GOVENOR ANNOUNCES A 1% REDUCTION IN CASH RATE - LOWEST RATE SINCE 5TH DECEMBER, 2001!!!!

STATEMENT BY GLENN STEVENS, GOVERNOR
MONETARY POLICY

At its meeting today, the Board decided to reduce the cash rate by a further 100 basis points, to 4.25 per cent, effective 3 December 2008.

Recent actions by governments and central banks to stabilise their respective financial systems have begun to take effect.  Nonetheless, financial market sentiment remains fragile, as evidence accumulates of weak economic conditions in the major countries and a significant slowing in many emerging countries.  Commodity prices have fallen further.  This, combined with the likelihood of below-trend growth in the global economy, suggests that global inflation will moderate significantly in 2009.

The Australian economy has been more resilient than other advanced economies, but recent data nonetheless indicate that a significant moderation in demand and activity has been occurring. With confidence affected by the financial turbulence and a decline in the terms of trade now under way, more cautious behaviour by both households and businesses is likely to see private demand remain subdued in the near term. With that outlook, and with capacity pressures now easing, it is likely that inflation in Australia will soon start to fall. Global disinflationary forces will assist in this regard, though the depreciation of the exchange rate means that the decline of inflation to the target could take longer than would otherwise have been the case.

Weighing up the international and domestic developments of recent months, the Board judged that a further significant reduction in the cash rate was warranted now, to take monetary policy to an expansionary setting.  As a result of today’s decision, the cash rate will be at its previous cyclical low point.  Given trends in money market yields, most lending rates should fall significantly and will also reach below-average levels.

There has now been a major easing in monetary policy over the past few months.  Together with the spending measures announced by the Government, and a large fall in the Australian dollar exchange rate, significant policy stimulus will be supporting demand over the year ahead.  The Board will continue to monitor developments and make adjustments as needed to promote sustainable growth consistent with achieving the 2–3 per cent inflation target over time.

TO FIND OUT WHAT THIS MEANS TO YOU, GIVE ME A CALL ON 08 9240 1990

MIKE & TARYN'S NEW HOME IS NEARLY FINISHED!

It's great to hear from satisfied clients, and even better joining them at their housewarming party! Taryn sent me this email keeping me updated!

Hi Alan,

Its your Internet super stars here just wanted to say hello and let you know how the house is going. It is at lock up stage at the moment and is on schedule to finish at the end of January. We are both very excited and cant wait for it to be finished. Everything seems to be coming together as Mike and I have just started new jobs North of the river and are very happy.

Like we have always said we cannot thank you enough but just one more time won't hurt. So thank you! We are looking forward to seeing you at the house warming party.

From
Mike and Taryn

EXPERIENCED REAL ESTATE AGENT, JILL, UNRESERVIDLY RECCOMENDS MY SERVICE!

                    Thanks for the kind words in your email Jill!

I know how important it was to keep your promise to Mum and Dad!

"I contacted Alan Stott after having excellent service on the purchase of a property from his predecessor.
 
Alan was even better, with prompt service, appointments organised at my home, sometimes on very short notice, sound advise as to my best financial options and a pro-active approach to follow-up, without my instigation.
 
My dealings with Alan involved changing several mortgages from one bank to another plus the very distressing purchase of my recently deceased parents' home from my siblings. It was far from easy in many respects and Alan's suppport and understanding was second to none.
 
The process, as with many probate sales, was long and tedious and at times , so frustrating. Never having been involved in a personal probate sale, I called on Alan on many occasions and nothing was too much trouble for him.
 
I am a real estate representative dealing with banks, finance brokers and financial advisors on a daily basis. I would say categorically that Alan Stott is the stand alone BEST and would unreservedly recommend him as an efficient, honorable man to advise on your finances."
 
Jill McQuoid 

REAL ESTATE AGENT