Barlow refinancing to > 80% is not necessarily a bad thing as LMI may well be Tax deductible.

I would be getting your Broker to order a valuation on the property and then you can have a look at your options.

Depending on the rate of interest being charged on the car loan you might want to incorporate the car loan into the refinance and then make the same monthly payment to the PPOR loan. The difference in interest might well reduce the overall principal at a quick rate than making the payments separately.

Don’t pay for the stamp duty etc out of cash as the interest on the borrowed funds would be Tax deductible.

Cheers

Yours in Finance
0-40 Properties in a decade. Ask me how.

• This reply was modified 9 years ago by  Richard Taylor.

Jessica, you are buying a residential property and therefore irrespective of the valuation a lender will only lend against the purchase price or valuation whichever is the lower.

The exception comes with an off the plan property with a contract dated > 12 months ago and a related party transfer.

Don’t waste time trying to convince a valuer. He is working for the lender and not you and certainly will not value it at a higher figure than the Contract price.

Cheers

Yours in Finance
0-40 Properties in a decade. Ask me how.

However any costs incurred as a result of the financing of the property such as LMI, Bank application fees etc or legal fees charged for proving advice in relation to the mortgage documents are deductible.

Be surprised how many buyers do not claim these costs. Course they have to be claimed over the correct term.

Cheers

Yours in Finance
0-40 properties in a decade. Ask me how.

PK No special form required.

The loss will be carried forward and reflect in your Tax Return.

Cheers

Yours in Finance
0-40 Properties in a decade. Ask me how.

Hi Start

Given you are looking more for capital growth in order to realise the profit for your PPOR rather than build a long term rental stream i don’t see an issue in utilsing the equity in your PPOR for this.

Structured correctly the rate of interest should be fairly sharp and you should be able to limit the amount of CGT payable.

Cheers

Yours in Finance
0-40 properties in a decade. Ask me how.

At 55 years of age i am not sure i would be borrowing in your own personal name.

You could look to make a non concessional contribution to your Super fund and then look at a transition to retirement pension.

Doesn’t mean you have to stop work or cease earning an income and may still be able to retain your Centrelink benefits.

A good independent Financial Planner should be able to guide you around this area of Super legislation.

Cheers

Yours in Finance
0-40 Properties in a decade. Ask me how.

Yes depends on the lender and the loan to valuation.

Over 80% and the odd lender might squirm abit.

Course being an OTP purchase you might find that the valuation is greater than the purchase price and you can use that to reduce the lvr..

Cheers

Yours in Finance
0-40 Properties in a decade, Ask me how.

Sorry i have to disagree 90% lend on $1M on 3 Townhouses would be doable subject to a few other considerations.

The previous posters have commented on GR lending which is not applicable in this case as you will be working on a percentage of cost price.

In saying this you need to be careful of the land value when you start off as the house will disappear once it is knocked down and you will only be able to lend against the land value.

Few other little hurdles to get over but is certainly doable subject to LMI.

Cheers

Yours in Finance
0-40 Properties in a decade. Ask me how.

Although you always cringe when someone mentions those 2 magic sentences.

1. I am flying up for the weekend.
2. House & Land package.

Cheers

Yours in Finance
0-40 properties in a decade.Ask me how.

• This reply was modified 9 years ago by  Richard Taylor.

Hi Benny

Oh yes be surprised how many spruikers I have seen peddle Studio Village over the years.

I have a house in Palm Beach and used to drive to Brisbane daily when the M1 Motorway was 2 lanes at best.
Coomera was merely a lot of open space with a few overpriced townhouse developments. Of course this was before Upper Coomera.
In essence nothing has changed.

To quote an old client:

“Upper Coomera is like the Harlem of the Gold Coast worst thing I ever did was move here too many hoons and dogs barking non stop and the local Council don’t care, and I can see why because no one else does either. What a dump. Wish i had never moved here”.

To me the Hope Island side is a lot nicer, access to the Northern part of the Coast etc.

No i do not believe the Western suburbs are the poor cousin of each area.

Yes I prefer Daisy Hill to Meadowbrook but I actually live in the Inner West of Brisbane in Chapel Hill and own a lot of property in the Inner West of Brisbane (Taringa, Toowong etc) so am slightly biased.

I like the Western corridor between Brisbane and Ipswich and we buy property for clients there but all in all it boils down to the individual client and their goals and objectives.

I am sure Site Manager will convince himself the Upper Coomera has some redeeming features but it is not for me.

Cheers

Yours in Finance
0-40 Properties in a decade. Ask me how.