Hi mhugo,
If your intend to acquire several investments then I would suggest current funds be used as multiple deposits for finance and keep all loans separate to avoid cross colaterisation of the portfolio.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820…[Read more]

Jason,
Have you considered borrowing the deposit from your parents instead of the whole amount and have the loan and title in your name,
in this scenario a 90/10-non genuine savings type loan product would be an option.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820…[Read more]

Hi Carly,
This will depend on the LVR of the original loan and the LVR on the new IP, and providing your current loan is portable.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note comments made should not be taken as specific taxation, financial,…[Read more]

Hi Jason,
You cannot use the funds from a LOC or a Redraw facility for personal use and claim the interest as a deduction.

Your on the right track regarding the offset account, deposits and withdraws via an Offset Account linked to the loan will not effect the purpose of the original loan.

Regards
Steven
Mortgage…[Read more]

Hi Kano,
Cross Securitisation also known as (X-Coll) Cross Collateralisation, occurs when a single loan is secured by Two or more properties,
e.g., a Lending Institution include the equity in one property to cover the equity shortfall in the other property, the result is X-Coll, one loan secured by two or more properties.

The downside to X-Coll,…[Read more]

GSSW,
CBA will charge a $300 loan switching fee,

Keep in mind you will be required to make interest repayments if the balance of your loan exceeds the amount of funds in the offset account.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note…[Read more]

Hi GSSW,
Withdrawing the loan repayments may be possible, providing your loan has a redraw facility,
However, certain lenders do charge a fee for each redraw transaction, and may have a minimum redraw criteria.

A much simpler option would be an interest only loan, in this case there would be no requirement for principle…[Read more]

Hi Ozi,
If you intend to purchase multiple properties, then you may want to consider using the $60K towards multiple deposits,

However, If you intend this purchase to be the last for some time, then in this case using all of the $60K towards this purchase may be more beneficial.

Regards
Steven
Mortgage…[Read more]

Liz & Simon,
Thank you for the kind words,
Btw, the two of you are held in high regard on this forum, Cheers.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note comments made should not be taken as specific taxation, financial, legal or investment…

I would think long and hard before fixing for 15 Years

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.

Hi Steve,
It’s very tight, but with a new valuation of $270K or more it can be achieved,

IP purchase $250K @ 90%LVR including associated costs = funds required, approx. $41K or $31K at 95% LVR or $25K if you capitalise the LMI.

Current Equity available $270K @ 80% LVR = $216K less $206K = $10K or $37K at 90% LVR

Regards
Steven
Mortgage Brok…[Read more]

Hi Ozi,
You may want to consider using the $60K towards multiple deposits; How far you can stretch the $60K will depend on purchase price and the loan to value ratio (LVR) 80/20 90/10 etc.
Keep in mind part of the $60K will be required to cover purchase costs.

Regards
Steven
Mortgage…[Read more]

Hi Chris
If your long term plans involve acquiring multiple investments, then you may want to consider separate loans, with the deposit on the new PPR raised from a portion of the equity released from the IP,
The balance of funds from the release of equity on the IP could then be placed in an offset linked to the PPR loan until required for…[Read more]

Hi Phil and Kate,
Your Mortgage Broker is correct regarding setting up the Trust First.
On another point, ensure the $90K investment loan is kept separate from your PPR loan.Cheers.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note comments made…[Read more]

Hi Deb,
You posted in the right spot, You did well,
Cheers.

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note comments made should not be taken as specific taxation, financial, legal or investment advice.

“We had spoken to our accountant about trusts about 2 weeks ago and he suggested buying some properties first and then we’d look at trusts.”

Hi Phill & Kate,
Alarm bells should be ringing,
Did your accountant mention the cost involved in transferring property into a Trust at a later stage?

My understanding is, if your owner occupied residen…[Read more]

Hi Deb,
Below are a couple of links to information regarding Trusts,

http://www.sjq.com.au/sjq/site.cfm

http://www.strategicwealthmanagement.com.au/e2content.asp?Request=Structure.Structure

Regards
Steven
Mortgage Broker

info@mobilemortgagemarket.com.au
http://www.mobilemortgagemarket.com.au
Ph:0402483216
Ph:1800 820 500
VICTORIA

PLEASE note…[Read more]

Hi Mortifs,
Your best option would be to contact a Mortgage Broker and have him or her crunch the numbers,

In answer to your other question, Mortgage Brokers are not restricted to writing loans outside of their Home State; I’m based in Victoria and have client’s Australia wide.

Regards
Steven
Mortgage Broker…[Read more]

Hi Chev,
You’re in a much better position today than you were yesterday [biggrin]
If at all possible I would look at keeping the next loan separate from your current structure, perhaps using part of the funds in the offset for the deposit on an 80/20 type loan,

Deductible debt on the PPR may not be an issue until you move back in to the prop…[Read more]

Hi Chev,
Base on your revised figures your debt is $580K on a portfolio valued at only $540K??

“breakdown of loans as followed.new ip 230k
ppor 310k
bad business loan 40k”

I will assume the 2Nd IP valued at $130K is also included as security over the loan,

Working on your revised figures your total debt would be $580K? Secured over a $670K…[Read more]