Finding the Right Plan, Not Just the Biggest Loan
Some of our favourite files start the same way. A past client tells a friend to call us. This one came to Kate Sadler that way, and it turned into one of the fastest, cleanest applications we've run this year.
The goal
The clients already owned an investment property and were ready for their next move, buying their owner occupied home in Sunshine Beach on the Sunshine Coast. They were working from a single household income while one partner took time to figure out his next career chapter, which meant borrowing capacity mattered just as much as finding the right house.
Location was non negotiable for them. Sunshine Beach is a tightly held, premium pocket, and their budget meant buying a renovator rather than something finished. They had a solid cash deposit, but they wanted to protect as much of it as possible for the renovation rather than pouring it all into the purchase.
Working through the options
We looked at a few lender scenarios. One option stood out on paper, refinancing their existing investment loan to a different lender with a lower servicing buffer. That single change would have unlocked around an extra $100,000 in borrowing capacity, giving them more room for the renovation.
The trade off was real. That option meant moving their investment loan onto a rate roughly 1 percentage point higher than their current one, on a loan balance of around $900,000.
Rather than just presenting the numbers and leaving them to guess, we walked the clients through every angle on a screen share, showing them what each scenario meant today and what it could mean in a few months' time. We asked about their plans, not just for the purchase but for the next year of their income and their goals for the renovation.
Once they could see the full picture, the decision was straightforward. The extra reno budget wasn't worth an ongoing rate increase on a $900,000 investment loan, especially with a clear path ahead. The partner who was between roles expected to be back in work within a few months, which would lift their income and their capacity again. When that happens, they can revisit a top up for the renovation on their own terms, rather than locking in a higher rate now for money they might not need straight away.
What made the difference
This wasn't about finding the single biggest number like they originally thought. It was about listening to what the clients actually wanted, now and later, and building a plan around that rather than around the loan structure that looked best on a spreadsheet.
The result speaks for itself. Application lodged the same day we met them, pre approval issued within 24 hours, and they're signing a contract tomorrow. A clean application, clear goals, and a plan already in place for their next step.
If you're weighing up a purchase where the numbers aren't straightforward, whether that's a single income, an existing investment property, or a property that needs work, our First Home Buyers, Buying Your Next Home, Investment Loans and Construction Loans pages are a good place to start, or get in touch directly and we'll talk through your options.
This case study is based on a real client scenario. Details have been adapted for privacy. Loan approval is subject to individual circumstances and lender criteria. This information is general in nature and does not take into account your personal financial situation. Please speak with one of our brokers to discuss what's right for you.
