If they’re good tenants then I’d keep them happy. Having said that – since you’re going to knock the place down soon I’d offer to sort them out with a portable heater….which don’t cost much.

Cheers

Jamie

Hi Yuley

I can’t tell you whether it will be fine or not because I don’t know what you situation looks like.

I do know that you can tell the lender that you’re taking out a line of credit to invest in property and that you can use other banks to finance the difference. How many you buy depends on your borrowing capacity and what you can…[Read more]

That’s rubbish.

You’ve disclosed what the funds are being used for.

The banker just wants ALL your business.

Cheers

Jamie

Spot on newguy – good post.

Cheers

Jamie

Here’s a little tool I created a while back – I haven’t checked it in a while but should still be helpful today http://passgo.com.au/investment-property-analysis-tool.html

Cheers

Jamie

Not sure if I agree with that and I’m not being argumentative :-)

For instance, I get paid by the bank when arranging a clients loan but I don’t give a stuff about the bank – only the client. The clients are the ones that I’m serving – and their ultimately the one that’s going to spread the word about my business.

Cheers

Jamie

I would covert current IP loan to IO now – no point in paying down this debt further if you’re going to be taking on a non-deductible PPOR debt shortly.

You should be able to increase the loan to $350k – but only $250k will be deductible (the current loan) and the other $100k won’t be (it’s being used to buy a PPOR).

Cheers

Jamie

It’s not always about the numbers – as Corey said, there’s a personal/emotional factor at play too. Personally, I couldn’t imagine not owning my house – I like being in control.

Cheers

Jamie

As above. Keep it nice and simple.

Cheers

Jamie

Can’t see why you couldn’t claim the interest given the purpose.

Cheers

Jamie

Too ambitious or realistic? It will come down to your borrowing capacity but the equity is certainly there – so if leveraged property you could purchase multiple IPs.

Don’t use cash – leverage against your PPOR. Take out a variable IO loan rather than a LOC. Use this to cover the deposit/costs on each IP purchase and set up a separate loan for…[Read more]

I hope you’re not driving to Sydney everyday – that would offset your sustainable living :-)

Sounds like the choice is a personal one – and with $500k to spend your options are huge.

I like Nowra – close to Jervis Bay and is quite large so there’s a bit of diversity in the economy.

Cheers

Jamie

Hi Tom

Most decent brokers will know which banks will take into account a desktop for an equity release.

Cheers

Jamie

You can rent it out – but take into account CGT implications as well as any concessions that may have been granted if you’re a FHB.

Cheers

Jamie

It all comes with time. Just keep reading/learning and asking questions.

Get the right people around you and it will make your job easier :-)

Cheers

Jamie

You need to trust the person you’re dealing with – and it’s your right to speak with more than one service provider (in any field) before deciding on who you’ll use.

Like Marty said – a quick chat over the phone or a few emails normally provides an idea of whether the person you’re dealing with knows their stuff.

The thing that gets irritating…[Read more]

If you’re considering turning the current home into an IP then STOP paying down the principal now and make extra repayments into an offset instead. You might find that you’ve already paid off too much to make it financially worthwhile to covert your current PPOR into an IP (you can only deduct from a $187k loan against a property worth $400k).…[Read more]

Hi hot stuff

You’re in a great position.

Your borrowing capacity is good and you’ve got a fair bit of equity up your sleeve that can be accessed.

With some careful structuring and lender selection – a couple of IPs in the short/medium term should be pretty easy.

Keep in mind when kids come along your borrowing capacity falls and you may find…[Read more]

Hi cruicialx

Welcome aboard :-)

What specific information are you aiming to capture?

Cheers

Jamie

Those costs sounds pretty standard.

Do you know anyone renting in the complex? If so – ask them what they think about the property management.

Cheers

Jamie