Avoid shopping – it will probably result in excess hits to your credit file as each branchie submits a preapproval.

Broker channel has access to the same pricing discounts and refi promos. 

Cheers

Jamie

Hiya

Banks will go off the lower amount – whether it be the val or purchase price.

Cheers

Jamie

Hiya Sundance

I hope things are going well.

I'm not a legal person but I'd assume that they'd have to forfeit the deposit to you if they're unable to proceed with the purchase.

There's heaps of reasons why settlements are delayed – and it's usually due to minor issues that delay it by a few days rather than major issues that stop it from proceeding at all.

It's also the eve of a long weekend, so that could have been a factor.

Cheers

Jamie

Ability to access equity for future purchases is a big one. 

What's the point of using a no frills type lender who's going to save you $20 per month on loan repayments but not be willing to allow you to access equity for you next IP purchase? Sure you've saved a few dollars in the short term – but you've also lost the opportunity to purchase your next IP which may cost you more in the long run.

I have lots of clients come to me wanting to purchase an IP but their no frills, on-line lender with the super competitive rate are no longer conducive to their needs.

Cheers

Jamie

Hi and welcome aboard

Congrats on saving $200k at such a young age!

1. Is it ideal for you? You need to speak with a professional about this before jumping in to a complex structure that may or may not benefit you. If you decide to set up a trust, don't do it online.

2. Don't shop on rate. Rate is one of the less important aspects of a loan for investors. 

3. Not quite sure what the question is. MISA is a bit of a pain. 

4. Ok.

5. That's a good approach.

6. Ok.

As a general comment, I wouldn't drop $200k into your first deal. This is a lot of money that can be leveraged further. If you're planning on buying a PPOR at some point then I'd definitely avoid using such a cash massive deposit on an IP.

Cheers

Jamie

Then definitely convert to IO now.

When you purchase your new PPOR – set up a new offset against that loan and park your savings in there.

Cheers

Jamie

Sounds very weird.

If the contract states vacant possession then that's how it should be upon settlement.

Cheers

Jamie

Agree with Derek – IO with an offset provides for optimal flexibility.

The only time I would advise against it is if you're not too good with money and would simply make the minimum interest repayments and blow the additional cash elsewhere.

Cheers

Jamie

Hi Boshie

It depends.

Do you have any other debt that's not tax deductible? Such as personal loans or credit card?

If so, focus on paying those down before you pay down the IP loan.

Cheers

Jamie

Hiya Tommy

It's a frustrating situation.

There's a couple of main things lenders look for – a deposit and the ability to service the liability.

You've got the deposit sorted – but being unemployed (presumably with no income coming in) then you're unable to demonstrate the ability to meet the liability. 

When you're back in the workforce, it will be a different story. 

Cheers

Jamie