SurferMan Posted May 6, 2015 Report Share Posted May 6, 2015 hi guys,Just thought I would let you know that I am working a new app that will allow you pay effectively have an interest free mortgage. Yes you read that right, no interest. Current projections show the following:300K mortgage - paid in 14.3 years, not 30 years. Saving you 15.7 years of heartache.500K mortgage - paid in 13.9 years, not 30 years. Saving you 16.1 years of heartache.1 Million mortgage - paid in 11.2 years, not 30 years. Saving you 18.8 years of heartache.I will keep you all posted as I refine the model and seek out ways to ensure this gets to you the consumer, because no doubt the banks would hate this to get out there. Thanks to the Lord for waking me up at 2am and giving me this idea! 3 Quote Link to comment Share on other sites More sharing options...
Rhyss Posted May 7, 2015 Report Share Posted May 7, 2015 This sounds interesting Surferman but are you sure you've not been drinking too much of your kids cordial? Quote Link to comment Share on other sites More sharing options...
Tiermelk Posted May 7, 2015 Report Share Posted May 7, 2015 Suferman would this work on your primary residence only or investment properties as well? Quote Link to comment Share on other sites More sharing options...
HansaPlease Posted May 7, 2015 Report Share Posted May 7, 2015 Hey Surferman, I don't mean to be negative, but since you put it out there - how would this actually work? My simple way of looking at it is - if you don't have the cash flow to pay off a $500k mortgage in 11 years, how is the app going to help you to do that, besides tell you to make unrealistic monthly repayments? I am intrigued though! Quote Link to comment Share on other sites More sharing options...
SurferMan Posted May 7, 2015 Author Report Share Posted May 7, 2015 @ Rhyss,Don't drink anymore...least of all cordial.@Tiermelk, yes, it does not care for what type of property it is, as long as it is a normal mortgage. It will work on primary, investment, vacant land etc. The app uses very sophisticated algorithims and in-memroy computing to take care of the backend processes. My dream is to make every homeowner debt free as fast as possible. i'm tired of watching banks screw people.@Hansa,No mate, I welcome your interrogation of my app. I think you missed the point though... You pay off a loan in 11 years because there is no interest payable. That's how you win, by not getting screwed. When you look at a typical loan, you pay more than the capital debt in interest over the life of the loan. That is simply disgusting in my book. So i have come up with a way to trim all the excess the banks make on your ass over the loan life.It is packaged into a super high-tech system that manages all the processes, but does not cost the earth. I know the mortgage systems very well, and I also designed the South african e-Cadastre system, regarded as the best in the world. (I had very good support, so don't claim the entire solutions as my own, but I was the main design authority)My next target are cars and credit cards, via a token exchange array. It will ensure you never pay more than 1% interest on your credit card.My energy app will cut your bill by up to 50% (Consumption dependant) and the app is also free. I have Google very interested in the apps for the 1st round of talks....here's to dreaming! 1 Quote Link to comment Share on other sites More sharing options...
HansaPlease Posted May 7, 2015 Report Share Posted May 7, 2015 Ok, still intrigued. I guess then my question is - who actually provides the finance, and if they're not making huge amounts of money to take on the risk - then why would they? Quote Link to comment Share on other sites More sharing options...
SurferMan Posted May 7, 2015 Author Report Share Posted May 7, 2015 it's an uber type model. There is actually very little risk in mortgages mate. You have the asset as security and the gearing is typically 30% or higher. The model uses super hightech technology to totally drive down embedded costs. Wish I could say more, but that is the IP...Suffice to say it is a valid model and it works. hardest part is getting past the gluttons at the trough. This will put their profit margins on a permanent diet. The profits from the model are very low. But the model is based on volume, not margin, unlike the banks. Quote Link to comment Share on other sites More sharing options...
monsta Posted May 7, 2015 Report Share Posted May 7, 2015 Hands,The world is exploding at the moment with innovative ways to use personal data. Look at the AAMI safe driver app. A phone can hardly do detailed tracking of your driving habits, but even some largely inaccurate data is hugely valuable. Another example is EBay. Today, I can go buy an HDMI cable for next to nothing from China. Its safe and reliable. All because eBay tracks statistics on these small businesses and points me to reputable ones who are still cheap. I have saved a lot by not buying from the shop down the road who is paying $100 000 per year in rent.There are even several companies in the states who claim not to be banks. People who want to loan out money register on the site, then people who need money register. These sites connects suitable lenders to suitable borrowers. Those sites can be way cheaper than using a bank.So, yeah.. I don't think EBay and PayPal are going to be the last major internet startups that save me a ton or cash. 1 Quote Link to comment Share on other sites More sharing options...
SurferMan Posted May 7, 2015 Author Report Share Posted May 7, 2015 (edited) And thats my point, I am sick of banks caning people for 20-30 years. My model is a simple cost plus one, and the clincher is the the massively smart tech that drives it in the background. It was never designed to make high margins, but rather fair money for it's investors based on volume and prudent investment. That means the average person earning okay money can actually buy around 2-3.5 homes (Cost dependant etc) in their lifetimes if they did the same straight line investment at a classic bank.Think of the wealth creation that means. An entire generation can be free from pension support, afford to pass a home to the kids upon passing away, the permutations become awesome.But no, the banks want you in bondage. It is my goal and mission to free us from this fiscal tyranny. Edited May 7, 2015 by SurferMan Quote Link to comment Share on other sites More sharing options...
Jordy Posted May 7, 2015 Report Share Posted May 7, 2015 Looking forward to hearing more. 1 Quote Link to comment Share on other sites More sharing options...
monsta Posted May 7, 2015 Report Share Posted May 7, 2015 @Surferman I think you have missed the boat somewhat on your own product.People will always spend large amounts on their homes. But if you make sure that's going into bigger and better homes and not making banks rich.. Great! If almost everyone can eventually afford to buy a home, then why buy 3 rental properties?Also, there would be more homes built if mortgages were lower. Again, Aussie would be spending more on the builders and less on the banks. 1 Quote Link to comment Share on other sites More sharing options...
SurferMan Posted May 8, 2015 Author Report Share Posted May 8, 2015 Hahaha @ Monsta, No mate, it just took me a few years to refine the model. Remember, it is not the tech that is hard, it's figuring out how to side step Goliath (banks) when they start swinging. Remember, this is the biggest attack on the tradiional finance structures in say 100 years or more. Banks UTTERLY control all finance...if you doubt that and how crooked the world is...Why is not one exec from Morgan Stanley in chookie, after using TAX money to refund themselves, and getting over $100 million in bonuses for doing so...and many lost their homes. Disgusting. I don't evern care if don't make money on this (Although Google is keen...) it's more about some from of justice. This will wipe trillions off of balance sheets and cause a mass shock to run through the system, but it is for the good of people like you and I. This does not automatically mean a bigger home, but rather the means to own it in a fair time. I would love to see people own thier home, one more investment home and a fat Super. The reduction of pressure on the fiscus and the stimulation of the economy would be profound. But by now you realise that is not the banks objective, theirs is financial subjugation.My single elderely neighbour lives alone in a little 2x1, she is on RentAssist until the day she dies. In her 70's she cleans 3 times a week to survive. With what she gets paid, she could have owned that little place in 10 years, built on a granny flat for herself and rented the main place out for enough to live well. My app could have helped her..... Quote Link to comment Share on other sites More sharing options...
Heymanse Posted May 8, 2015 Report Share Posted May 8, 2015 I am quite intrigued by your app Surferman. I also wish we could afford to buy our own property and your app sounds like it would be amazing in helping to pay off that mortgage sooner. Nothing fancy, just a simple 3x2 house will do in a fairly OK neighbourhood. Your app sounds really good but for me, the thing I need more now is a bank/instituion that will grant me a 100% loan. With renting for many years, there is no extra cash to put away to that much needed desposit. We're not on the young side anymore and the dream of owning our own home in Australia seems to be quite unlikely. Maybe that was the issue for your neighbour too? 1 Quote Link to comment Share on other sites More sharing options...
SurferMan Posted May 8, 2015 Author Report Share Posted May 8, 2015 Yes it was Heymanse,She is a sweet old woman and owning that little house would have meant the world to her and her finances. instead she must work until she cant afford the rent, then get shovelled into an old age home. That is not fair or right. You are PRECISELY the person my app wants to help! 1 Quote Link to comment Share on other sites More sharing options...
AfriAus Posted May 10, 2015 Report Share Posted May 10, 2015 Is your model anything like these:http://www.societyone.com.au/https://www.ratesetter.com.au/ Quote Link to comment Share on other sites More sharing options...
Sunnyskies Posted May 10, 2015 Report Share Posted May 10, 2015 Don't forget your AFSL licence. Quote Link to comment Share on other sites More sharing options...
ottg Posted May 11, 2015 Report Share Posted May 11, 2015 Is your model anything like these:http://www.societyone.com.au/https://www.ratesetter.com.au/Like your links - the concept of bringing vendor & buyer together has so many potential: Airbnb, Uber, Elance, FiverNot to high jack this thread I'lI start a new one referring to this one with an idea for someone. I will be that person's first customer! Quote Link to comment Share on other sites More sharing options...
miran Posted May 13, 2015 Report Share Posted May 13, 2015 Will we actually see you on Shark Tank soon? We will soon be looking into buying property, so will definitely follow this post! Quote Link to comment Share on other sites More sharing options...
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