4 Critical Factors to getting Commercial Finance Approved

Getting banks to approve commercial deals is no easy game anymore. Go back 10 years (actually, make that about 11 and a half to 12, before that dirty 3-letter word “GFC” came into existence), if a deal made sense, then just about every bank would write it. It came...
John Howard & Peter Costello

Is Government Debt Good or Bad? (and did Kevin07 destroy Howard & Costello’s outstanding economic work?)

Is ScoMo right that that it would be irresponsible to rack up more debt now, by fast-tracking infrastructure spending? And did Kevin07’s government destroy all the good economic work that Howard & Costello did, by going on a typical Labor spending-spree racking up...
Prime Minister Scott Morrison

RBA’s hammer finds only screws, no nails: Parliament House full of tools, none of them screwdrivers

Lowering the RBA rate is no longer going to do what traditional economic theory expects, and Philip Lowe knows it. In fact, he’s shouting it (as best he knows how) at ScoMo & Frydenberg. But ScoMo has the latest noise-cancelling headphones on, with the volume...

How Low can the AUD go?

There has been continued downward-pressure on the AUD recently, this morning sitting below 68c on what has been a consistent downward trend for about 18 months (late January 2018 was ~81c). Below is the 5 years chart for the AUD/USD (Source: OFX), which...
50% equity is NOT necessary to acquire development sites

Site Acquisition at 65% LVR

Banks are even more increasingly uncomfortable with providing finance terms on site acquisitions that developers want or need - on large sites there's next to no appetite, on smaller sites the LVR will often be capped at 50% at best, or pulled back to around...
Leveraging STACs Business & Corporate finance capabilities to gain more favourable pre-sales terms

Bank funding $8.8m for 32 Townhouses with less than 25% Debt Cover

Being an expert ONLY in Development Finance can be like having the blinkers on, particularly if the Developer's wider Group includes other income sources. In this case, with the developer wishing to only have minimal pre-sales prior to commencing, the...

I have a Strong Relationship with my Bank

If we had a dollar for everytime we've heard this, particularly over the last 12 months... "I've been with my Bank for [insert big number here] years, I have a really strong relationship with them, my banker has always looked after me." Good for you. Unfortunately,...
Unlock Opportunity with STAC Captial

In-Fill Subdivision Finance with No Pre-Sales

Small-lot in-fill subdivisions can be great little projects - getting in & out quickly with good profit margins can result in solid returns on an annualised basis (IRR, for the finance geeks!). For small projects and relatively inexperienced developers...
STAC Capital Townhouse Development Finance with No Pre-Sales

Townhouse Development Finance with No Pre-Sales

With projects requiring less than $10m in debt, when we present our clients with the pros & cons of Bank vs Non-Bank development finance options, it is increasingly rare for developers to choose the cheaper bank option. Why? With this project, the developer "just...

Think that a Commercial Interest Rate in the 4’s is cheap? Think Again…

In a record-low interest rate environment, if you're not aware of where the market actually is, it's very easy to think you're getting a great deal, when you're actually paying overs. Commercial Property Investment is a perfect example at the moment. Think that a rate...
Personal Reflection on 2018

Personal Reflection on 2018

New Year’s Resolutions Everyone does them - or everyone is “supposed to” do them, right? Our plans for being a better person or achieving more, which we’re so passionate about on the 31st December… But often by the time the 31st January comes around, they’re usually...

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Buying your Home at Auction with Confidence

Buying your Home at Auction with Confidence

f 2019 is your year to buy a new home, the dream home you find may well be sold at auction... But do you have the confidence to buy at auction? "BUYER BEWARE" Thanks to the Royal Commission, the process and timeframes to get a home loan approved is causing problems in...

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Where is Brisbane’s Property Market heading in 2019?

Where is Brisbane’s Property Market heading in 2019?

We recently caught up with Brendan Whipps, CEO Harcourts Qld, and Martin Millard, MD Harcourts Solutions, to ask them what they see in store for Brisbane’s property market in 2019. Check out these two 50 second videos to find out what they see ahead! Video 1 of 2:...

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What’s the REAL Cost of Business Debt?

What’s the REAL Cost of Business Debt?

Think that a “good deal” in business finance is all about the interest rate & fees? Think again. Before you sign on the dotted line, realise that business finance is rarely that simple…

We look at true cost of asset finance, working capital finance, as well as the VALUE OF EQUITY, and whether it pays to pay more.

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How much does a mortgage broker cost you?

How much does a mortgage broker cost you?

Have you avoided using a mortgage broker because you think you’ll get a better deal by going directly to a bank? In this episode of Tom’s Tips, Tom explains how most mortgage brokers don’t charge anything to their clients – and that it doesn’t cost you in any way, in fact you probably have a better chance of getting a better deal than if you went to a bank yourself!

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Is your Home Loan Rate Over 4%?

Is your Home Loan Rate Over 4%?

What is your home loan rate? If it's over 4%, LISTEN UP. https://youtu.be/BQjomTG-RV4 Want to know whether you can get a better rate on your home loan? Here’s where you start. Check out your loan statement or your online banking and figure out what you’re paying right...

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Be careful what you believe

Be careful what you believe

Disappointing to read yet more media fear mongering from a writer who either doesn’t understand what he’s talking about, or chooses to miss the facts. Whilst it can be difficult to see through BS, there are a range of points presented here that we have the insight to challenge.

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“Bricks and Slaughter”

“Bricks and Slaughter”

Do we have a major economic problem in Australia? In our opinion, yes and no, which is exactly what we’ve been saying to people for a long time now. Here’s our perspective on the recent 60minutes episode, which ‘exposes’ Australia’s housing crises.

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A Spring in Brisbane’s Property Market Step

A Spring in Brisbane’s Property Market Step

Well, here we are…Spring. Where life begins, flowers blossom, days get warmer, and we start to think about how fast the year is going. Well at least that’s the case for most. I start to think about the real estate market.

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Mezzanine Debt. The Good. The Bad. The Ugly.

Mezzanine Debt. The Good. The Bad. The Ugly.

It’s understandable that people are pretty confused about the difference between Mezzanine, Preferential Equity and Joint Ventures. Are they as bad as people say they are? Mark Trayner discusses.

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Queensland Budget 2018

Queensland Budget 2018

The Queensland State Government announced the budget for 2018 – 2019 earlier in June. Here’s our summary of the key announcements and changes that relate to property development, including a reduction to The First Home Buyers Grant.

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Deal Breakers

Deal Breakers

Securing finance is one of the biggest and most important stages in the project lifecycle. And, it can be an extremely time consuming process, depending on the size and complexity of the project. But, it’s also one area that tends to be the least understood, and not given its due preparation, which can lead to negotiation breakdown.

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1 July GST Changes

1 July GST Changes

Disclaimer: GST is possibly the most boring topic known to man. We did our best to make this update bearable. We don’t think we succeeded. However, it’s none the less important to understand what is happening as it effects just about everyone operating in the property sector.

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Budget in Review

Budget in Review

STAC Capital had the pleasure of attending both Westpac’s & NAB’s Budget presentation last week. General consensus appears to be that the 2018 Federal Budget is very much a pre-election budget with nothing too exciting to write home about! But in any case, here’s our review.

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Brisbane’s Premium Market Benefits From Cashed Up Retirees

Brisbane’s Premium Market Benefits From Cashed Up Retirees

Cashed-up downsizers are propelling Brisbane into a global list of top-performing cities for the first time. An article in last Friday's edition of the Courier Mail outlined that increased demand has propelled Brisbane into a global list of top-performing cities for...

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All signs are pointing to credit tightening.

All signs are pointing to credit tightening.

The Royal Commission is in full swing. The effect on the banks is not just scaremongering – down in the trenches, we’re very much seeing significant tightening by the banks, both in commercial lending as well as in home lending. Mark Trayner outlines the changes and their implications.

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There’s no “I” in Property Development Team

There’s no “I” in Property Development Team

Think that you can run a property development by yourself, in a simple logical order? Forget about it. The best developers leverage a strong team that works in harmony to achieve outstanding results thanks to well planned strategy. Here’s some key pointers from us.

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Brisbane Property Market – Bull or Bear?!

Brisbane Property Market – Bull or Bear?!

There seems to have been no hotter topic this year than that of Brisbane’s property market – particularly, what on earth is going on with all of these apartments?! The media is of course all over it, everyone’s talking about it, so to see out 2017, we’re putting in our “no BS” two cents…

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Cancer Is S#@%!

Cancer Is S#@%!

This ride involves travelling about 660km in 5 days. 45 riders, with a goal to raise at least $350,000 for cancer research.

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