Having gained years of knowledge and experience at NATWHICHPAC BANK, you decide to take the plunge and go out on your own as a mortgage broker. On your last day at the bank, you receive an email from Alex Kopf thanking you for the way you handled her complaint. With a wry smile, you savour her feedback knowing that your manager is still on the receiving end of Harry Hausmanns own personal brand of pyrotechnics. Seconds after you respond to Alexs email, she phones you. She explains that she has found a property that she wishes to purchase and she wants you to broker the finance. You give her your new contact details and arrange to meet her the following day.

During the interview, you establish that Alex has been highly successful as a freelance graphic designer. She earns around $90,000 pa, enjoys being self-employed and adores working from home, but she is fed up with the living in the city. With genuine passion in her voice, she recalls how she fell in love with a rundown homestead she wandered past while on a yoga retreat in the country. The house, which was built in 1910, sits on a hill overlooking a stream and a modest three acres of surrounding bushland. She proudly states that it has exceptional Feng Shui.

As Alex continues, you note two issues that do not seem to dampen her enthusiasm or creative vision. The homestead itself is heritage listed. Even so, Alex wishes to renovate and extend the living quarters. Secondly, Joe Atkinson (a land rights activist and local elder) has made a native title claim over one acre of the property. Alex explains that this is why the property is for sale. Apparently Frank Smith, the former owner, was in a bitter battle with Joe for six months over the claim. According to Sally Smith, Franks daughter, the antagonism drove her father into his early grave. Sally, who is a Buddhist, does not want to enter into the conflict. This is why she painted For Sale on an old floorboard and nailed it to the gate.

Alex is not attached to the one acre under contention and is willing to purchase two acres instead of three. If Sally can arrange a private sale, she is prepared to sell the property for $500,000. Since your first dealings with Alex, her deposit has grown from $20,376 to $39,527. She has also entered into a committed relationship with a self-employed writer and editor, Christopher Carmichael. Christopher has saved $41,881 which he is willing to put towards the purchase of Alexs dream home. On average, Christopher earns around $65,000 pa. Because Christophers father was a carpenter before he retired and because Christophers brother is an electrician, Alex believes that they can keep the renovation costs down. With the help and support of Christophers family, she estimates that they will need a further $50,000 to improve their living and working conditions.

Neither Alex nor Christopher have any debts, although they are both keen to grow their own business and are looking for a loan that can give them flexibility to access cash if they need it. Having cash on hand is particularly important to Christopher because he has a 12 year old child from a previous relationship and currently pays $15,000 pa in child support. He believes that the amount will increase in a few years. Prior to his divorce, Christopher owned a family home outright and due to his early success as a copywriter and the workaholic nature he developed during his marriage he managed to repay a 30 year loan in 15 years.

Alex is very unsure about the loan process and particularly sceptical about whether she will be able to make an offer on the property that she desperately wants to grow old in along with Christopher. Christophers parents, who are very taken with Alex, have agreed to act as guarantors if it will help Alex and Christopher secure the property. Christophers parents own the old Carmichael estate, which is worth $1,200,000, and an investment property in the city worth $410,000. After providing these sweeteners, Alex adds that she and Christopher live very simply because they believe in a sustainable and self-sufficient lifestyle. In fact, while some of their friends call them frugal hippies, others call them professional hermits.

At the end of the interview, Alex is very clear with her instructions. She asks you to research her options and provide her with an amount that a lender would be willing to provide as soon as possible so that she can confirm her position with Sally.

(d) Write Alex an email confirming that she and Christopher now have conditional approval. i. Reassure her how you intend to provide appropriate levels of contact and support throughout the broking process. ii. Provide her with a timeline of events with the expectation that she will be able to secure the property she desires. iii. Describe how you would document the email exchange between you and Alex in accordance with the current industry documentation requirements