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Hello Rockney,
The increase of $24K can be set up in a separate split to the first loan. If you select the right loan structure you can avoid making repayments on the additional amount until you settle on the new property.
When refinancing you have to look out for exit costs with your existing lender, which will vary depending on how long you have had the loan. You can find these out by giving your bank a call and they will vary from between a few hundred $ to a couple of thousand. There will also be other costs involved with setting up the loan with the new lender. I always advise my clients they should not refinance to another lender unless they have a good reason to do so such as being able to obtain significant savings in repayments (enough to more than cancel out the costs and efforts of refinancing), they can obtain a better loan structure, they hate their current lender etc.
Your question regarding is lending to an 80% LVR being too aggressive depends on your circumstances and your personality. The higher leverage you have in place the greater the potential returns and potential losses. Most people I work with are very comfortable lending to an 80% LVR but I have some clients who would happily borrow to 100% if they could. If you are unsure about where your comfort level is you are welcome to get in contact with me and I will be happy to send you a questionnaire that will provide you with a bit more clarity.
In regards to your final question, you can never have too much buffer in place but how much you need will depend on your cash-flow after taking into consideration your employment income, rental income and your outgoings. If you have enough surplus to cover a loss of tenant for a length of time, loss of employment or a series of unexpected expenses then you can get away with a relatively small buffer. If you are not in a position to cover the situations then a larger buffer would be advisable.As with all matters in investing, you need to be cautious when looking to take on a buyer's agent. Catalyst is 100% right, not all buyer's agents are equal. I have found a majority of businesses who call themselves buyers agents or advocates really only sell developer stock and get paid well to do so. In my opinion this is blurring the line between buyers advocate and marketing. Developer stock (even well researched developer stock) may be good for some people but I find a majority of people can do better with second hand properties, if selected properly.
I don't know any buyer's agents in Melbourne but what you could do is ring up a couple and ask what type of property they buy for their clients. If they say new or a vast majority new, politely thank them for their time, hang up and move on to the next one.
Another option is to look at a buyer's agent with a national network. They may be able to give you a broader perspective. Ask for testimonials, proven results and what processes they have in place to ensure you receive an individualised service.One of the main drawbacks with student accommodation is that it can limit your ability to grow a property portfolio. Even if you receive some capital growth, the few banks that are willing to lend against this type of security will usually limit the LVR in comparison to other types of property. This means you have to tie up more of your equity to purchase and hold the property which will ensure you having less equity available for investing in other projects.
