Yes, that isn't a bad idea, currently have an informal agreement with a tenant who occupies one of the rooms at my current place. That income combined with the possible rent from the new place would probably pay for the repayments.

At the same time however, I am keen on moving to a one-bedroom apartment. Life with a flatmate isn't all it's cracked up to be!

I am not really that familiar with the tax obligations… Are you saying that if I buy the property as an investment, the interest become tax-deductible.

Hmm.. I've just realised how uninformed I am with all this. Maybe it's time to buy some books!

Cheers

Peter

I looked into LOCs once before, how do they compare with regular home loans?