Resi: Refreshed Product Offering and Experience

We're delighted to announce the launch date of our refreshed Flexi Options product offering and broker experience being 25th March 2019.

The Flexi Options product provides you with the sharpest rates and fantastic product features which include 100% offset on the full fixed rate along with flexible product and credit policies.

The refined product offering will also be accompanied by an improved application process and streamlined back office procedures. Download the new workflow Application Process.

The above changes have been made to improve our service offering and will save you time and effort whilst providing a superior customer solution.

If you have any scenarios, questions on product or just need some help in placing a deal, please let your Sales Team help you out.

Key Broker Contacts

Sales Team 1800 737 448 option 1 or brokersupport@resi.com.au

Craig Herden National Sales Manager 0478 537 841 craig.herden@resi.com.au
Tony Wakim BDM NSW 0416 409 100 tony.wakim@resi.com.au
Jason Hulbert BDM VIC 0468 755 419 jason.hulbert@resi.com.au
Rimi Begum Office BDM 1800 737 448 rimi.begum@resi.com.au

Smarter Money Investments Administration Support Fee

Smarter Money Investments (SMI) will no longer facilitate the payment of administration support fees effective immediately. Where an adviser has provided comprehensive advice and is receiving an ongoing advice fee, these will continue.

Please note, the only way we can track and ensure the payment of ongoing advice fees is when the ongoing fee arrangement has been registered on XPlan.

Your continued support is valued and SMI will continue to be available to all of your clients.

For more information, please contact Luke Bouris or Cosimo Vallelonga on 0414 549 400 and 0402 895 072 respectively.

Pepper Money Commercial Official Launch

Prime and Near Prime customer solutions with options for both full documentation and alternative documentation. With evolving market conditions and tighter credit availability, we are committed to providing you with a healthy breadth of loan options for your commercial real estate customers.

With our efficient Apply Online functionality, you can get started right away. The system will be very familiar to you in terms of the way you are already working with us with mortgage applications. And as always, we're with you every step of the way. So, if you have any questions about a scenario or application, you can get in touch with us.

To obtain accreditation please contact 1300 730 050 or alternatively your Commercial BDM Khan Inanli on khan.inanli@vow.com.au or 0488 020 361

ANZ Loosens Investor IO Lending Policy

Source: Mortgage Business

The major bank has announced changes to its credit policy criteria for investor home loans with interest-only terms, less than a month after conceding that its tightening measures were "overly conservative".

ANZ has revealed that effective Monday, 25 March, it will be making the following changes to its residential investor interest-only (IO) lending policy.

Interest-only availability for investment lending will be increased to a maximum 90 per cent loan-to-value (LVR) for new and increased lending.

The maximum interest-only period will be increased to 10 years for investment lending.

ANZ stated that the change follows the removal of the Australian Prudential Regulation Authority's (APRA) cap on investor and interest-only lending growth.

"In response to APRAs responsible lending guidance in 2017, ANZ made a series of policy changes to manage the growth in interest-only and investor lending," the bank noted.

"On recent review, we have made a decision to increase our focus on the investor market.

"The upcoming changes demonstrate our continued appetite in the investor market, whilst ensuring we remain in line with our APRA requirements."

Last month, ANZ CEO Shayne Elliott also acknowledged that credit tightening measures imposed by the lender off the back of scrutiny from the banking royal commission were "overly conservative".

Reflecting on subdued mortgage growth reported by ANZ in its first quarter update for the 2019 financial year, Mr Elliott said: "Consumer sentiment has remained generally subdued with uncertainty around regulation and house prices impacting confidence.

"While we are maintaining our focus on the owner-occupier segment, we acknowledge we may have been overly conservative in our implementation of some policy and process changes."

Mr Elliott went on to say that the bank has taken steps to "prudently increase volumes in the investor space".

The impact of ANZ's credit tightening was reflected in APRA's latest monthly banking statistics.

The APRA data revealed that in January 2019, ANZ was the only major bank to report a decline in both its owner-occupied and investment mortgage portfolio.

ANZ's owner-occupied loan book fell by $300 million, from $179 billion to $178.7 billion, while its investment portfolio declined by $400 million, from $79.7 billion to $79.3 billion.

In total, ANZ mortgage portfolio dropped from $258.7 billion to $258 billion, representing a month-on-month decline of 0.27 of a percentage point.

Government Now Collects Over 1.5 Billion Every Day in Taxes

Source: Deppro.com.au

By Paul Bennion, Managing Director, DEPPRO

If you have the feeling that you are being taxed too much, then the following figures will confirm that view.

The latest Government finance figures produced by the ABS shows that there has been a big jump to taxation revenue collected by all levels of Government in Australia during the December 2019 quarter.

The figures show that overall taxation revenue increased by 13.4% from $126,740 million in the September quarter 2018 to $143,709 million in the December quarter 2018.

This represents an overall increase of $13,969 million over this three month period.

Overall, the figures show that all levels of Government in Australia are now collecting over average around $1.5 billion in taxes every day.

If you are paying thousands of dollars in income tax every year, then investing in property could be worthwhile consideration once you have discussed your personal financial circumstances with an authorised financial advisor.

The option of investing in property is particularly attractive to people who are processing rapidly in their career and resulting higher wages means even more payments in personal income taxes.

With the new financial year fast approaching, these taxation figures underline the importance of all Australians claiming their legitimate tax allowances to help reduce their taxable income.

For example, an accurate tax depreciation report for an investment property can generate thousands of dollars in potential tax savings each year.

These generous tax depreciation benefits can equate to up to 60% of the property price of a property. That's means potential tax benefits of $300,000, for example, on a property purchased for $500,000.

Over the coming months, many investors will be looking at buying investment properties to coincide with the start of the new financial year.

This is particularly the case with high income earners who want to reduce their taxable income by investing in property to create wealth.

If you buy an investment property, it is important to complete a tax depreciation schedule as soon as possible after settlement so that it complies with ATO guidelines.

For the initial cost of a tax depreciation report - which is tax deductible - by legitimately claiming their full depreciation allowances clients can achieve thousands of dollars in tax benefits each year from their investment. Even an older style home can also qualify for substantial tax depreciation benefits if a depreciation schedule is undertaken around the time of settlement.

To protect their interests and ensure the depreciation report is fully compliant with ATO rulings, property investors should select a company, like DEPPRO, that is a member of the Australian Institute of Quantity Surveyors (AIQS) and uses systems that are fully compliant with ATO rulings.

Better Business Awards Best Regional Office Winner

The Better Business Awards kicked off in Perth, Thursday 14th March and what a fantastic night it was!

Our very own Tamara Virgo & James Durrant of TV Financial Services & Planning took out the Best Regional Office Award.

Congratulations on the win and well-deserved success, we're extremely proud of your achievements.