Sorry Snow,But yeah what Richard Said

The benefit of the interest only loan on investment properties is the tax deduction.  As only interest is tax deductable, and not any money paid off the principle, you rely on your properties capital growth to build equity to borrow against or to make money at the sale. 

I live in Melbourne and want to buy a IP in or around my home (Ringwood) or within the eastern suburbs closer to the city. I know there is no crystal ball but I can't decide if I should buy a 1 bedroom apartment very close to the CBD (eg Richmond) or buy a 2 bed unit in my home area. Both of these types of properties I have looked at are quite old…[Read more]

Rob Not a good situation if the number of property agents in the area are limited.If you can get a friend to ring up,  tell them to let the agent know they are transferring to the area in the next few weeks (that way they can't just suggest you walk through the property) and a friend, whom is a local told them the property was available for ren…[Read more]