Steve, Elka,
                     Thankyou for your time, i know its in short supply for most of us in current times, maybe even steve??? lol. I have spoken to a realestate agent and am advised that ill be looking at around $420pw to rent my current PPOR.

A have taken into account what everyone is saying – this forum, friends etc..- and although i understand all the tax deductions and ability to restructure my lending position, i still cant help but think to have the cash and not the debt is the best way to go? this way i have more cash each week to sink into other properties, even if they are negatively geared to start with.

Say for example i make for arguments sake 150k after everything from my current house i then could put a larger deposit down on the first property making it CF+, i know this may not be the best return on my money, but at least that first investment is paying for itself as well as a small passive income, that leaves me with the rest to use on a smaller growth property as well as the invested equity in the first. Also per week as i was paying $700pw in mortgage payment im only paying $350 to rent this now leaves me with the other $350pw to sink into the second smaller IP and possibly a reno?

I just think being into more into debt especially as a new investor is the way for me right now. THis way allows me to move forward with what i can see as some flexibility.

I definately appreciate everyones comments they are a real help. As always any thoughts would help.

Thanks again.

 Rudolph, Marc,
                            Thankyou for your replies, i appreciate it.

-If you were to sell you still have to live somewhere and pay rent so the extra $350 + per week disappears with no capital growth.

Reference above, sorry mate perhaps i didnt explain myself enough, at the moment we pay $700 per week in mortgage repayments on a house that is worth- im guessing based on other properties in the region- 550k ish. So if we we moved out and payed 350pw rent then it would free up 350pw to invest. That was what i was saying. 

Yeah the house is only 1 year old. What exaclty is the depreciation schedule, i have talked about it with friends is it to do with the fittings on the house?

As for restructuring the mortgages, you are saying just borrow from the available equity in the house to put down deposits on 2+ IP's, then borrowing the rest to settle on them, all the while claiming the interest for all the IP's on tax? is that right?

Thanks, Chris