Geez this forum USED to be rather helpful

Also wanted to mention, my accountant said that CGT is calculated using the date of SETTLEMENT not the date on the contract (when it's exchanged) which is what I thought was used…..

*bump*

and a new IP, should you wish to have one.but put the profits of your sale into a linked OFFSET account (linked to your PPOR loan, to reduce interest), not directly onto the loan (in redraw), otherwise if you decide to turn that place into an IP down the track, you'll be faced with the same problem….

A better option might be to sell current PPOR, put profits towards new PPOR (have any excess sitting in an offset account, not in redraw, so you don't encounter the same problem again in the future should that place turn into an IP) and then buy a new IP.

Hi there,I'm by no means an expert in this area, but I have asked a similiar question myself in the past. As far as I know, you CAN borrow money againt your home/PPOR (principal place of residence) for the new property and turn it into an IP (investment property) BUT you won't be able to claim any of the interest on the IP (it would be breaking…[Read more]

Just had to LOL at this comment:Sydney is like a bastard son… It just sort of happened…People arrived THEN the plans were made. Canberra is like a loved child.It is the product of years of thought, planning and care.

Thanks guys,I will rang the Bank today and inform them that I am selling one of my houses and see if they can change the loans over in time, *please* *please *please*. Had a thought last night though…. if they can't be changed over in time I might be able to borrow $20,000 on the remaining $230,000 to bring it up to $250,000 and qualify for t…[Read more]

Thanks Elka,Nah, not auctioning it….selling privately….my sister has been showing people through, etc and I'm going to give her $5000 or so for her time and effort….probably less than half of what an agent would charge, and the money's staying within the family Cheers

Thankyou Raddles, you've been very helpful. I will talk to my solicitor about making the contract 30 days between exchange and settlement….cheers.

Hi Elka,As much as I have debated that exact scenario myself (whether to sell my IP or not) I think, in the end, I feel like I don't have much choice at the moment. We are struggling with cash flow and have been borrowing money from my Mum's equity loan (this is where we've been using money for our reovations) just to cover everyday expenses such…[Read more]

Hi Elka,Yes, there's a reason. After selling my IP and putting the profits into an offset account linked to our PPOR loan, I wonder if I'd be able to buy another (cheap) IP by securing it with the 'equity' in the offset account…..I would want to borrow 100% of the property price plus costs (if possible) to make the IP loan as high as…[Read more]

Anyone? 

Elka, thankyou. I always understand your posts, they make sense I don't know why I didn't just think of that before. Continuing our current repayment amount, using money from the sale. I don't know why I had it stuck in my head that I somehow had to reduce our set P&I repayment amount LOL, derrrr!I have to look into how much it would cost to…[Read more]

I just thought of a very easy solution to my problem, it's so simple I can't believe I didn't think of it before LOL. I'm blaming the nappy brain!! With the profits from the IP sale, I will just take out $10k to cover mortage repayments for 8 months (or until I go back to work) and then the rest of the profits into the loan…. EASY!

Hi Simon,Would it be possible to put a chunk of money into our PPOR loan and then refinance it, to reduce the repayments? We just need to be able to pay less until I return to work in Jan 08, then we can start paying a higher amount again.Thanks.

Thanks Real2.I think I also remember something about having to choose which house I want to consider my PPOR (for CGT purposes) aswell…. I currently have a PPOR and an IP….???

Thankyou Elka, that is exactly what I needed to know.Thankyou also Paul. I'm not sure how much growth is left in my IP. Although it is a fantastic positively geared property, we will also save thousands of dollars of interest on our PPOR.  I'm not sure if I want to return to work either, so selling my IP might give us the affordability for me to…[Read more]

Could you do it the other way MH and pay off the house first and then buy properties (to have income stream in retirement). That way you’re saving a whole bunch of interest on your PPOR loan yeah? Both ways have their advantages and disadvantages.

thanks for your ideas shelley.

i had thought about baby-sitting, but not the other ones, they are good ideas. i wonder how i could go about getting the ‘business’. i live in a town of 36,000 or so people and have not lived here very long therefore do not have the ‘contacts’ already.

maybe i could drop leaflets into people’s mailboxes but if…[Read more]