• The place to find the right expertise and make better decisions
  • Find the right expertise

About Me

Richard Kirby

Current Rating: 4.75 / 5
Mortgage Broker
North Shore Mortgages
North Sydney, New South Wales
I have been in the finance industry since 1995 and have three customer friendly staff. Clients come back to us because of our knowledge and experience. We provide our clients with informed advice, assistance and solutions.

My Activity

Q: I got my first home loan when Aussie Home Loans first started and undercut the banks. One of my kids is about to buy their first home and I was wondering if there was a new non-bank doing what Aussie did many years ago?
A: hi Adrian
there are several second tier lenders that have rates for unoccupied properties which are around the 3.85% which is less than most of the banks. if you would like my information don't hesitate to give me a call.
Q: When selling a portion of your business do you need to pay capital gains tax on the percentage that you are selling?
A: this is probably a question for your accountant as it will depend on how much capital gain and your personal tax position
Q: Is the policy different for an international student to buy a house compared to a permanent resident/citizen?
A: hi there Henry.
yes it is. Permanent residents need a job to evidence their ability to repay the loan. As a student you would need to have a job in Australia and permanent visa or meet the criteria set down for foreign residents.

you would need approval by the foreign investment Review board and the option to either pay cash for the property or have a deposit of approximately 40% of the purchase price . it will then depend on which country you are from and which currency be used to make ongoing loan payments. some lenders prefer certain currencies as they have businesses in those countries.

feel free to contact me should you need more information.
Q: Hi. i am buying a small business. Is is best tax wise , to get a business loan,or pay cash for the business , and get a loan for the vehicle required so i can claim depreciation?
A: Hi from a business perspective I would suggest you think about the cash flow for the business you are buying. Is there sufficient income from the business to look after the cash flow for at least 12 months or will you need to top up with your own money. In that case then it might be better to get a business loan. I would also suggest that you fully understand their business so that you can minimise the risk of financial surprises.

If you are considering getting finance then you can get loans that will allow you to use your residence as security and therefore you get business finance at home loan rates. also the interest on the loan would be tax deductible as it is for investment purposes.

all the best.
Q: Today the RBA decided to leave the cash rate at 1.5%.

The cash rate has not moved since August 2016 yet the banks have repriced a number of their loans in Dec 16, March 17 and again in June 17. The three rate increases (most recent by 0.30% on interest only loans) will conservatively generate in excess of $150M in additional revenue annually for each bank.

We all, along with the federal government need to be asking why? It'd be good to generate some discussion.
A: aside from the common thought that that they are grabbing the opportunity my thought is that they are being pressured by apra and the RBA to incentivise people to reduce their household debt.

I also understand that the cost of capital raising overseas has increased which pushes up rates here.

the next point is that apra wants the banks to hold more Reserves as part of the new banking requirements and therefore they using the additional rate increases in order to do this.

so raising the interest only rateds solves all three issues for the banks.
Q: I am about to sell a development can I give the proceeds of the sale to my wife?
A: hi Adam.
It will depend on the text position of your wife and yourself. This is really a question for your accountant. it will depend upon age, pension and income for both parties. That's why it's best talk to your tax accountant.
Q: I am looking at buying the freehold of a hotel and would like to know what the maximum LVR is with the hotel as the stand alone security?
A: generally it's about 60%. these are not the father of the month with lendors at the moment as quite a few have failed but if the numbers are right and there is good quick cashflow and profit from the business then it's likely to get approved. The other key aspect will be the experience of the owners and the management in running hotels successfully.
Q: Hi....I'm I able to roll my super into a self managed fund to purchase my first home?
A: Hi Ange,
the general rule is that to have a self managed super fund you would probably need to have a minimum of $300,000 to make it worthwhile as the costs of running a self managed super fund are higher than your normal tax bill. They have to have an audit done by an independent accountant each year. It's best to talk to account about your position with a self managed super fund.

You cannot live in a property that is owned by a self managed super fund. This self managed super fund is an investment vehicle and you are not able to benefit from it while you are under retirement age. Again you should talk to your accountant about this as I will give you all the rules around self managed super funds.

The above is based on general information that I know from being in the industry and having my own self managed super fund. That is my disclaimer. :)

All the best
Q: What is the best way to work out your home contents value you need covered. What type of insurance is best? One that is hooked up with my banking?
A: Hi Dave.
I agree with Charles that the best way to work out what your contents are worth is to have a quick walk around and recall how much you paid for them. You'll be surprised how the amount escalates very quickly.

There are plenty of insurance comparison websites out there. Another one is iSelect.

Have fun.
Q: I often see banks and car loan providers advertising their comparison rates. What exactly is a comparison rate and is it the best way to compare mortgages and loans?
A: Hi Tom.
The problem with the Comparison Rate is that it compares the loan of $150,000 over 25 years and builds the cost in of application and discharge and any other ongoing fees. It does not include one-off charges such as over limit fees et cetera.

I actually think it's a little misleading because these fixed costs will be a lot less in relative terms to a loan of $600,000 compared to a loan of $150,000. So, I would take note of it but depending on your loan size it may have negligible difference to your loan repayments each month.

Unfortunately no one has come up with a better method of a level playing field for calculating or comparing loans across the market.
Q: Have you used a buyer's agent or buyer's advocate to purchase a home? What has the experience been like? Do they offer good value for money?
A: Hi there Larry.
Daniel is quite right. It's best to sit down and interview them to make sure they they understand what you're looking for.
Q: What are your thoughts on purchasing a residential property within my SMSF and why would this be more beneficial than investing in Managed Funds/Equities?
A: Hello there Peter.
I think the best person you should talk to is your account as there are lots of tax positions that relate to your personal circumstances that may make it beneficial or not beneficial to go down this path. Hopefully your accountant is well qualified and experienced in dealing with Self Managed Super Funds. If not, you should look around as this is not an area for those who do not have much in super already.

The self managed super fund accounts need to be audited each year and this can cost up to $1000
Q: We have just been notified our lender has increased the interest rate on our home loan by 0.10%. Before we call them I am interested to find out if other lenders doing the same and if so, why?
A: Hi there Lindsey.
Yes unfortunately most lenders have increased their rates from .10% to .15% per annum due to the cost of wholesale funds increasing. You may have seen something in the news of late about the American dollar and the profitability in the economy in the world which is the US. Anyway it just means we have to pay a little more.

We are expecting that rates will increase further during the year with possibly the RBA making two increases during 2017. A lot will depend on how the economy is going and the pressure on real estate prices.

It is always a good idea to keep your options open as products change all the time. It's always handy to see whether or not there are better options available in the market and the cost to switch. So, talking to a mortgage broker every couple of years to reassess your options is a sensible strategy.

You might also think about fixing some of your mortgage if you think that rates will rise beyond the current variable over the medium to longer term (say 3 to 5 years)
Q: My partner and I are renters in Sydney and applying for new units in Pyrmont. We are excellent tenants and have been in the same unit happily for almost 4 years, but have had at least 3 unsuccessful applications recently. Are homeowners/property managers looking for a certain percentage higher on the asking prices in competitive areas? How can we increase the competitiveness of our application?
A: Hi Lauren,
I agree with the previous comment that the more the agent knows about you the better you'll be placed for them to select you over someone else. My daughter is look in for a property to rent at the moment and is continually being knocked back and asked me how she could get up the queue in terms of being accepted by a real estate agent.

My response was essentially the same advice that Albert mentioned previously. Give them a reason to say yes to you and show that you are a low risk and a quality tenant. That will give you the best
Q: If selling 50% share in an investment property, how is the capital gains tax calculated?
A: You would pay capital gains tax on the increase in value of the property since you purchased it. Since you are only selling 50% then you would pay capital gains tax on the portion you sold. Your accountant will help you with this. You may to pay the tax in the next financial year.
So, best to put this money decide so that you're not short when the text meant come calling. Again, talk to your accountant about this one.
It depends on your tax position but the general rule is that you pay tax on 50% of the amount you gained from the sale of the asset.
If you made $100,000 on the sale then you would pay tax on $50,000. This amount would be added to your taxable income in that financial year.
Q: How do I pick the best homeloan for me? What do I need to be looking out for?
A: There are lots of things that you need to know about each of the Lenders products. These include: What flexibility is in the product to adapt to your changing life style? Are your circumstances different from the average person therefore will the product meet your needs?

If you're thinking of doing this yourself then there is a lot to learn about Lender credit policies, their products and how the system works.

So I suggest you talk to an expert about finance so that you make sure that you've got the best product for you. For example if your car breaks down then you take it to a mechanic as they know about cars. I suggest that you adopt the same principle about your loan and save yourself a lot of time and effort
Q: Hi, both my Husband and I are currently employed and earn an a steady combined income. I'm considering leaving work and commencing a start up business and wish to obtain a business loan to add to some savings. What implications do I need to consider?
A: There are many things to consider. Firstly how much do you need to find your business for the first 12 months? Do you have any other loans?
How much spare income with your husband have without you earning an income for a short period of time?
Do you have a business plan?
Is the industry that you're going to start in the same industry that you're working in now?
What research have you done to check on the demand for your business in the marketplace?
What is your Plan B if your business does not succeed – can you get work back in the same industry that you are in now?