Terryw wrote:
Above you seemed to say that there was no loan on the CBD apartment. Are you now saying you are going to mortgage the apartment, borrow money and pay out the townhouse? If so you would be shuffling money around with no benefit.

That's what I thought, so the shuffling around is optional. I will just refinance if that was the case…[Read more]

Jamie M wrote:
Yep it's possible – just ensure that the bank isn't crossing up your loans. Also, is there a chance that this property could become an IP down the track (your current PPOR I'm talking about)?

Possibly, in a few years time (>3 years). We have thought the current place is sufficient for us – until the family grows again.

Hey guys,
Just spoke to the bank today, they are currently processing the CBD apartment loan. Once approved, I am hoping to pay off the townhouse first.
From here, I could mortgage back the townhouse on an IO loan to start looking for another investment property.

Is this feasible?

Thanks,
JunK

Thanks @xdrew, that was the same thoughts I have 2 years ago (with less income and without the 2 kids). I thought this year work out our finances better, and work towards our first investment property!

@TheFinanceShop, yes, definitely change to IO loan when converted to IP – been following that thread as well. The bank approved $435k, so thats…[Read more]