Whether you put in a new kitchen or reface the existing comes down to the current condition and layout of the existing one.

Is the carcass sturdy? If so, refacing can be a good option. Nice handles, a decent splashback, new sink and mixer tap can make a big difference without costing heaps.

I wouldn't worry too much about over capitalising. The fact that your asking these questions suggests that you're someone that's not about to spend too much on unnecessary  IP renovations

Cheers

Jamie

Hi there

Welcome aboard.

If you can show the lender a deposit, an ability to service the debt and their happy with your employment conditions and the type of property you're purchasing, then yes – it's possible to buy an IP.

Cheers

Jamie

Like the others have said, there's varying types of preapprovals.

Some will be online, automated systems that look at the basic parameters of the deal and either say yes or no. These sort of preapprovals are basically an assessment of your borrowing capacity in line with the lenders policy and are pretty worthless. Bankwest springs to mind here.

On the flipside, there are other lenders that will actually have a credit officer assess the deal and then provide conditional approval subject to the valuation and LMI approval if required. If the deal fits within the lenders delegated underwriting authority with the LMI provider then the vast majority of these deals will be approved (in my experience) – unless there's an issue withe the property being purchased.

As Richard mentioned, some lenders even take it a step further and get LMI sign off on the preapproval as well. This is as good as it gets in terms of a preapproval.

Cheers

Jamie

Before you jump ship – the original post from Richard about ANZ increasing rates was in Feb. This isn't something that's happened recently.

Cheers

Jamie

I'm a bit lazy with the strata stuff (I shouldn't be – it's important to be able to have a say and know what's going on). Having said that, I've never elected a proxy or attended a meeting for the properties I hold in body corps/stratas…..it might come back to bite me one day.

Cheers

Jamie

Hi Rick

Welcome aboard.

You just need to keep things nice and simple.

You need three loans set-up.

Current property

Loan 1: current loan (change to interest only – no point in paying down more principle)

Loan 2: equity release for PPOR (this is used to cover the deposit/costs on next PPOR)

New property

Loan 3: remaining balance needed for new PPOR purchase

Cheers

Jamie

LOL – it's a scary thought….but I guess there's a first time for everything.

Cheers

Jamie

Must admit – I didn't see this one coming.

It's amazing how the banks have pre conditioned borrowers to expect less than the full cut these days…..

Cheers

Jamie

A good accountant and broker are the most important IMO.

A good property manager also plays an important role.

A financial advisor/planner probably won't add too much value

It's good to build rapport with agents in the area that you're looking to purchase. I wouldn't rely on one to find me a property though.

Cheers

Jamie

Hi there

I don't have any VIC specific links but there's quite a few links on our website here.

Cheers

Jamie