John and Emma, a married couple in their mid-40s, approached Zenith for assistance in obtaining financing for an investment property they planned to purchase through their family trust.
As successful business owners, they had already established a family trust structure for asset protection purposes and were now seeking expert help to navigate the complexities of trust property financing. This case study outlines how we helped them secure the best possible loan for their unique situation.
The Challenge
John and Emma faced several challenges in their quest to finance their trust-owned investment property:
- Many lenders have stricter criteria for trust-owned property loans
- They needed a broker who understood the intricacies of trust lending
- They required assistance in finding lenders who offer competitive rates for trust-owned property loans
- They wanted to ensure the loan structure aligned with their existing trust arrangement
Our Approach
At Zenith, we specialise in complex property financing scenarios, including trust-owned properties. We began by thoroughly assessing John and Emma’s financing needs:
- We reviewed their family trust structure and property investment plans
- We discussed their borrowing capacity and preferred loan features
- We explained the lending landscape for trust-owned properties and potential challenges
After our assessment, we developed a strategy to help John and Emma secure the most suitable financing option.
Securing Trust Property Financing
Here’s how we assisted John and Emma in obtaining financing for their trust-owned investment property:
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Lender Research and Selection
We identified lenders experienced in trust lending by:
- Analysing our panel of lenders for those with favorable trust lending policies
- Comparing interest rates, fees, and loan features across eligible lenders
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Loan Application Preparation
We prepared a comprehensive loan application package that:
- Clearly outlined the trust structure and its beneficiaries
- Included all necessary trust documentation required by lenders
- Highlighted the strength of the trust’s financial position
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Negotiation with Lenders
We leveraged our industry relationships to:
- Negotiate competitive interest rates for trust loans
- Secure favourable loan terms that accommodated the trust ownership structure
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Documentation and Compliance
We ensured all paperwork was in order by:
- Double-checking that all trust-related documents met lender requirements
- Coordinating with their legal team to obtain any additional required documentation
The Process
Throughout the financing process, we provided John and Emma with ongoing support:
- We kept them informed about the progress of their loan application
- We acted as a liaison between them, the lender, and other relevant parties
- We promptly addressed any lender queries or requests for additional information
The Outcome
With our expertise and support, John and Emma successfully:
- Secured a competitive loan for their $750,000 investment property under the trust’s name
- Obtained an interest rate that was on par with standard investment property loans
- Ensured the loan structure aligned with their existing trust arrangement
- Gained a clear understanding of their loan terms and repayment obligations
John and Emma were able to move forward with their investment property purchase, confident in the knowledge that they had secured appropriate financing that complemented their trust structure.
Conclusion
This case study demonstrates the importance of working with a broker who understands the nuances of trust property financing. At Zenith, we specialise in navigating complex lending scenarios to secure the best possible financing options for our clients. If you’re considering purchasing a property through a trust structure and need assistance with financing, contact us today to explore your options.
