Tag Archives: Investment

SMSF Finance Available

In the Australian Financial Review today, “Westpac has stopped lending to SMSFs wanting to buy property in response to growing credit and market risks, regulatory pressure and funding costs” and we are happy to confirm Prudential Finance has SMSF finance available through our investors and private lenders.

Self Managed Super Funds Funding

Call 1300 550 669 or complete to online form at the bottom of this page to discuss your SMSF funding requirements.


Prudential Finance has provided professional finance services for over 16 years and we look forward to hearing from you about your SMSF loan needs.

Once we have solved your SMSF funding, you may be interested in viewing our property investment video click here

Interest rates start from 7.75% per annum and we can lend up to 70% of the property valuation (terms & conditions apply).

SMSF finance available

Building Bond Scheme

Industry Reforms the Building Bond Scheme

Further industry reforms have taken effect 1 January 2018 (Building Bond Scheme) where Developers of residential Strata schemes will be required to execute Mandatory Defect Inspection Reports along with lodging a Building Bond equal to 2% of the final contracted construction cost of the building.

building bond scheme

The building bond scheme applies to building work to construct residential or partially-residential strata properties that are four or more storeys. Buildings that are three storeys or under are covered under the Home Building Compensation Fund.

We thought it would be worthwhile to remind yourselves of these changes which I’m sure your already up to speed with these reforms, if not you can find more information on Fair Trading NSW website below and or speak with your property lawyer.

FairTrading.nsw.gov.au

James Okkerse

“Prudential Finance does not provide financial product advice and does not hold an Australian Financial Services Licence. Prudential Finance recommends that investors consider their own objectives, financial situation and needs before proceeding with any investment and seek professional advice. All information contained within this Website is specifically structured for corporate, business, commercial, construction clients, wholesale and professional investors.”

 

Development Finance Sydney Melbourne Brisbane

Development Finance Sydney Melbourne Brisbane

 

Prudential Finance established 14 years has proven relationships with development finance lenders and investors who are interested in providing funds for property development finance Sydney Melbourne Brisbane.

Development Finance Sydney Melbourne Brisbane
Watch the Development Finance Video

Private Lenders

Our private lenders/investors can lend up to $50M+ on senior debt (1st mortgage) and mezzanine (2nd mortgage) or preferred equity (Equity in development company). read more

Lending Oportunities

Prudential Finance is also seeking opportunities to directly invest or loan funds in quality projects.  If you have a development project or commercial real estate requiring funding call Prudential Finance.

Mezzanine Finance

Mezzanine finance is readily available for projects.  Interest rates from 17% p.a.  With Banks tightening their lending criteria and in general reducing loan to cost ratios (LCR) down to 70% or less has stressed the development finance market. read more

Investment Opportunities

Investors interested in participating in property development projects or lending money secured by mortgages over real estate are invited to discuss their investment requirements.  We have a number of property investment and lending opportunities coming up.

For for extraordinary property development finance Sydney Melbourne Brisbane call 1300 550 669

Development finance applications in Perth Western Australia, Adelaide South Australia, Darwin Northern Territory, Hobart Tasmania will also be accepted.

Invest in Tech Startups

Invest in Tech Startups is a speculative investment that may yield extremely high returns or potentially lose your entire investment.

Invest in Tech Startups
Invest in Tech Startups for High Returns

Prudential Finance currently has Tech Startup Investment Opportunities from $500,000 to $5M.

Investing in Tech Startups is a higher risk than say real estate or public listed shares although the rewards can be significantly higher.

Go to our Tech Funding Page

If your seeking a higher return on your money, call Prudential Finance today 1300 550 669

invest in tech startups

 

Mezzanine Finance

Mezzanine finance is available for projects located in Sydney, Melbourne, Brisbane and Perth.

Prudential Finance has investors with funds for Mezzanine Finance.

Mezzanine Finance
Mezzanine Finance from “The Developer’s Financier” PRUDENTIAL FINANCE

Rates vary from 15% p.a. to 25% p.a. generally.

Mezzanine Loan amounts $2M to $50M.

If your project requires more funding than a mezzanine finance top up, Prudential Finance is actively searching for direct Property Joint Ventures.

For more information go to our development finance page

 

 

Tech Startup Funding

Tech Startup Funding

7 early signs that your startup will fail

This was posted on Facebook by BRW.  Very interesting reading!

Published 08 July 2014 10:53, Updated 08 July 2014 10:54

Source: Alexis Knight

If one or more of the following scenarios apply to your startup, you need to change them quickly or go back to the drawing board.

Tech Startup Funding
7 early signs that your startup will fail

THE PRODUCT YOU’RE LAUNCHING HASN’T CHANGED FROM YOUR INITIAL IDEA

If you are launching a product that you sketched out on the back of a napkin and you haven’t deviated from your original idea, then you’re in trouble. It means that you haven’t listened to your market. It is very rare (I’d even say impossible) that someone will have an idea that has product/market fit from day one. Every company has to have a period where its soul aim is to find what that product/market fit is and you need to be obsessive until you get there. This can involve anything from rewriting your product, changing your team, moving into a different market, or saying yes to opportunities you had never considered.

THE ONLY FUNDING YOU’VE ATTRACTED IS FROM FAMILY AND FRIENDS

This might sound contentious, but the reality is if the only funding you can attract is from family and friends, then signs are not great. Sure, they know you well and believe in you, but unless they have direct experience in the industry you’re targeting, then you have nothing but fools’ money. Even at the angel stage you need to try and attract money that you have had to earn, money that validates both you (investors invest in people) and your idea. Early stage funding is not that hard to come by these days (if the people and idea are solid), if you’re not attracting that, then you need to think long and hard about what this might indicate.

YOU DON’T HAVE A CO-FOUNDER

Solo founders are weak founders. Your co-founder doesn’t have to be a tech person if you’re not one and vice versa, but you need a tight team with a solid vision, and skills that compliment each other. Finding the right founder is something that needs time and patience, but a strong team will beat a solopreneur any day. Paul Graham is well-known for famously listing the solo founder as one of the biggest mistakes a startup can make. A startup is simply too much work for one person

YOU’RE PURSUING MULTIPLE MARKETS AT THE SAME TIME

Small teams, on small budgets, need to focus. If you’re pursuing all your options at once then you are spreading yourself too thin and you will fail. You need to find a focus and nail it before you move on to other markets. If you’re having trouble getting traction in one area, fail fast and move on. But if you are focusing on one thing at a time, then when you find the right product/market fit you have a much better chance at success than if you were trying to establish other markets along with it.

YOUR MONETISATION ONLY KICKS IN AT SCALE

If the only way your BIG idea works is at scale, then … you’re stuffed. This is the easiest way to set a startup for failure from day one. Don’t do it. It makes your job twice as hard as it already is.

YOU HAVE NO DISTRIBUTION STRATEGY

So let’s say you have a great product, you have product/market fit and you have a fantastic co-founder. How are you going to get your “world-changing” product out there? Your distribution strategy has to be part of the product from day one. How many times do founders have to say that they failed because they “never got traction” before we wake up to the fact that their failure was a simple one: they had no distribution strategy. How are people going to find your product? If your answer is advertising, then consider it GAME OVER already. How people find your product is part of your product, social sharing should be a key part of that strategy.

YOUR PRODUCT IS NOT SOFTWARE DRIVEN (OR HAS NO PLANS TO BECOME SOFTWARE DRIVEN)

Innovation is accelerating and software is the reason. In the words of Marc Andreessen: “… the minute you can take something that was not software and make it software, you can change it much faster in the future. It’s much easier to change software than it is to change something with a big, physical, real-world footprint.”

You might not be software driven from day one (hell, it’s better if your minimum viable product is NOT) but that needs to be a temporary state.

Software implies one thing; that innovation is a driver. Remember in the future all companies will be technology companies.

*Alexis Knight (not her real name) has extensive startup experience in both running a startup, and working for an investment firm. This article originally appeared on pollenizer.com.

Go to our Prudential Finance Tech page

Property Investment – Chinese Visa Surge

Property Investment – Chinese Visa Surge

GOLDEN TICKET VISAS SURGE

Rich foreigners with the equivalent of $405 million investment applications for visas were approved in April and May.

The “golden ticket” visas were issued to eighty-one successful applicants, the most issued since the program started in late 2012. Of those, eighty-five per cent were issued to Chinese nationals. So far, 255 visas have been issued by the Department of Immigration and Border Protection worth $1.28 billion sine the launch of the program.

To be eligible for the program, foreigners must invest a minimum of $5 million in government bonds, Australian proprietary companies or ASIC-regulated managed funds. The visa allows the receiver and their family to migrate to Australia and after four years they can apply for permanent residency.

Compared to other migrant visas the recipient has no age limit or standard English language proficiency requirements. Majority of the visas have been issued to people investing in NSW and Victoria schemes.

The NSW government’s Waratah Bond program is among those to have seen an uptick in investment. $1.5 million is the minimum investment over a four year, fixed rate with foreigners apply to be part of the program granted they have obtained a NSW government sponsorship.

Chief executive of ASX-listed Centuria’s, Jason Huljich says, “The vast majority of money is going into bonds. Investors want to put their money into something they believe will 100 per cent preserve their capital base. They don’t care that much about low returns”.

There has been a significant growth in interest in the visa program since the cancellation of long-running Canada’s immigrant investor program. It was cancelled in February with a waiting list of 59,000 people.

Michael Burstin of Oliver Hume Funds Management said “We now have over $30 million committed to our fund and expect a further $20 million once current visa applications are approved later this year.”

Bonds are considered an easy alternative for investors who are either unwilling or unable to identify worthwhile private funds to invest in.

Prudential Finance has many property investment opportunities and Tech Startup investment opportunities, go to our Investment page      https://www.pru.com.au/property-investment or call 1300 550 669.

Development Finance

Development Finance

HOUSING AND APARTMENT STARTS TO HIT HIGHEST LEVEL SINCE 1994: HIA

According to the Housing Industry Association, more new houses and apartments will be started this year than in any 12 months since 1994.

2014 will have the second highest number of new starts on record, with over 18,000 new homes being started. The HIA’s national outlook for autumn and winter points not only to the strength of the recovery in housing but also to fundamental changes in the construction market.

With the consistent flow of dwelling projects in Sydney and Melbourne, 44 per cent of the new apartment starts are multi-units compared with 32 per cent 10 years ago. The HIA notes that the growth in multi-unit starts is slowing while work on traditional detached housing slowing picks up the pace. HIA predicts apartment starts will drop back down to 36 per cent by 2016-17.

Leading the current recovery is NSW with approximately 49,000 new starts an increase of 21.9 per cent. However HIA has predicted Victoria will have 47,926 starts, although this is a drop of 5.9 per cent to the lowest level of starts in the past five years.

Taking a look at the other states, Queensland will have a total of 36,335 new starts for 2013-14, an increase of 24.0 per cent compared to the highest level in six years.  With Western Australia also increasing by 14 per cent with 27,852 new starts.

HIA warned that this seasonal recovery masked obstacles to Australia successfully housing its growing and ageing population over the next 20 years, with HIA chief economist Harley Dale stating, there was already a shortage of skilled labour and titled residential land within the two strongest new home building markets – Sydney and Perth.

Australia will need an average of 180,000 new dwelling started each year if the country is to sufficiently house the growing population, in comparison to an average of 155,000 new starts over the last 20 years.

Prudential Finance Development Finance will provide property developers with the winning edge in completing projects in the most timely and cost effective way.

Go to our Development Finance page https://www.pru.com.au/finance/property-development-finance   Call Prudential Finance to discuss your Development Finance requirements 1300 550 669

Development Finance – Sydney

Prudential Finance has available development finance – Sydney Melbourne, Brisbane & Perth.

STEINERT TIPS GOLDEN DECADE FOR SYDNEY Stockland chief executive Mark Steinert has denied claims national house prices have peaked, arguing some cities are on the cusp of a “golden decade” of price growth.

Mr Steinert the chief executive of Australia’s largest residential developer believes there is an undersupply of housing in capital cities and anticipates a 4 to 5 per cent compounded growth in house prices for the predicted future due to this demand-supply fundamental. Housing supply will increase with major roads and infrastructure projects, in conjunction with accelerated land releases and planning changes in specific areas.

Morgan Stanley economist Malcolm Wood told investors in a note the current housing cycle was in danger of being held back, if interest rates weren’t cut again. “If you’re an investor, you’ve missed the boat,” Mr Wood said, with a potential oversupply of apartments decreasing their value in inner-city areas and house price growth slowing down.

However Mr Steinert remains positive, with factors such as improved business confidence, greater job security and including migration flow (Australia’s population increases by approximately 34,000 in a month from migrant) adding to the demand of dwellings. Stockland delivers around 5000 homes a year.

The property market in Sydney, Melbourne and Brisbane should show positive growth for the foreseeable future.   Property developers have a stable property and finance market to operate in at the moment.  Prudential Finance will provide property developers with competitive development finance, mezzanine finance and also joint venture select property development projects.

Call Prudential Finance 1300 550 669

development finance sydney

HOW HOT IS YOUR SUBURB?

HOW HOT IS YOUR SUBURB?

Since the beginning of 2013 we have seen price gains of almost 50 per cent in some areas across Australia. Although the market is slowing, in-demand suburb prices will keep rising.

Amongst the biggest value shifts during this period are Sydney’s Waitara, North Sydney and Manly Vale, Melbourne’s Caulfield, Armadale and Camberwell. As well as Brisbane’s Hamilton and Healthwood.

Looking at the suburb-by-suburb price growth, gives us a good indication of the potential for future growth. RP Data research director Tim Lawless points out that areas filled with affordable family homes in suburbs dominated by owner-occupiers, are the sorts of areas with room to grow as they are high in demand.

He says there is still plenty of buyer enthusiasm as they sense with RP Data figures showing Sydney area Old Toongabbie in Parramatta, show homes are selling on average within 12 days of listing. In other Sydney areas, homes in Blacktown, Lane Cove and Willouhby are selling in less than 20 days with the median price between $600,000 and $900,000.

We take a look across Australia at each states Top 2 suburbs for both houses and units according to RP Data Research.

 

Suburb Median Price ($) Change (%) Suburb Median Price ($) Change (%)
Sydney House Waitara 973,595 47.1 Sydney Unit Waverley 675,512 41.3
North Sydney 1,502,392 42.3 Rushcutters Bay 545,999 39.6
Melbourne House Caulfield 1,257,034 47.8 Melbourne Unit Murrumbeena 483,741 41.0
Williams Landing 477,321 41.7 Mount Eliza 461,058 39.6
Brisbane House Hamilton 1,280,654 33.2 Brisbane Unit Kangaroo Point 507,404 15.4
Heathwood 541,051 27.9 Highgate Hill 483,255 13.9
Darwin House Ludmilla 722,000 20.9 Darwin Unit Fannie Bay 575,981 30.3
Parap 880,000 18.3 Nightcliff 433,599 27.5
Adelaide House Hectorville 460,319 18.7 Adelaide Unit North Adelaide 474,413 16.6
Toorak Gardens 1,305,946 18.2 Goodwood 353,014 13.9
Perth House Burns Beach 989,465 37.9 Perth Unit Mount Hawthorn 600,258 35.0
Jarrahdale 510,711 30.4 Burswood 652,508 34.9
Hobart House South Hobart 443,045 16.3 Hobart Unit Sandy Bay 375,307 14.7
North Hobart 419,179 12.5 Lenah Valley 283,306 13.7
Canberra House Bruce 851,825 18.3 Canberra Unit Mawson 432,119 23.5
Yarralumla 1,340,937 16.7 Garran 565,077 7.5

Property Investors, earn higher returns on your money by investing in development finance mortgages go to our Property Investment https://www.pru.com.au/property-investment page    with Prudential Finance call 1300 550 669 to discuss current opportunities.

the property developer's financier

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Phone 1300 550 669
International +61 4 0084 0756

PO BOX 1450 Double Bay NSW 1360

Office
Level 25 Aurora Place, 88 Phillip Street
Sydney NSW 2000 Australia

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