After giving it some more thought I think I’ll use the offset account on the PPOR to deposit the extra funds after the sale of the IP to reduce the interest on the PPOR. This will then allow me to use those funds to borrow again for next IP.
I thought that it might of been the case that you need something for it to be tax deductible against, but just wanted to put it out there to see if anyone else had come across the same situation.
