My partner and I have nearly enough for a house deposit.. A home to live in.
However I want to eventually use property investing to earn a living. I need to know what is best way to go about it?- Do i put our first home in my partners name so if my property venture goes pear shape we dont lose our home?
Do I have to save for a separate deposit for the properties I will be purchasing? or do i use equity in the home?.
What are things I can actively start doing now?.. I am obviously clueless! Please help
Hi Carlio
Welcome aboard.
The first step is education yourself – read widely. This forum is a good source of free information – there's also a thread which recommends certain books.
When you're ready to go, surround yourself with experts that know their stuff – a decent finance person, accountant and a buyers agent if buying interstate.
In terms of using your own cash to fund deposits – it's generally best to use equity as it's tax deductible. But your options here may be limited early on – unless you can manufacture some equity in your first property by adding value through renovations or buying in an area that increases in value.
Best of luck.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Thanks Jamie
Hi Carlio
Welcome to the forum and i hope you enjoy your time with us.
I cannot see why you wouldn't buy your first PPOR in joint names as Jamie mentioned as you will need to utilise the equity in the property for your future IP projects.
In saying this you will need to ensure the PPOR loan is set up correctly from day 1 to avoid any issues down the track.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Maybe you should consider buying an investment property rather than one to live in. Consider the advantages, it means you can often afford to rent in a better location than you could buy.
Also when buying an investment property they will also count 80% of the rent into the calculations on how much you can borrow. Therefore you should be able to buy an investment in a better area and receive stronger capital growth.
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
Email Me | Phone MeWe have just launched a new website join our membership today
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