GOM has beaten me to it but have to ask why is interest rate so important.

The lowest rate today will certainly not be the lowest rate tomorrow and definately is not the sole criteria for buying a house or investment property. There are many other features and facilities you should be looking for.  

Sherri

Where is the block of units located ?

Maybe heis not with us anymore.

Some of these guys come and go quicker than it takes to make a cup of tea.

They can but will they is the question.

NAB thru their 4 star brokers will but normally want P & I over 90% lvr
Rock & Bank W will but try and get a deal approved.

Westpac insist you have other accounts or credit card with them and then they will look at.

I think you need max patience to deal with Suncorp.

Emerald mum,

Have you looked at selling your share of the current PPOR property to your husband ?

He is the one on the higher Tax rate and would be able to claim your share if he bought you out under the "natural love and affection" clause in Qld. 

There is a big difference.

What's the difference between using an offset account & a LOC?

LOC are normally charged at a slightly higher rate albeit marginal but the biggest difference is the preservation of the interest deductibility. If you utilise an LOC everytime you redraw funds this is looked by the ATO as a new loan. If the redrawn funds are not for investment purposes then the interest could not be claimed. With an offset account the net interest effect is exactly the same the difference being if you ever decided to move out and rent the property you would merely uncouple the offset account and the interest on the entire debt becomes deductible.

Flexibility is key as what starts off as your PPOR may not be forever.

I think yours does under the Statement of Position question.

YI i agree it is the responsibility of the banker to do the proper checks and ask the right questions.

However it is also the responsibility of the applicant to answer the application form truthfully and correctly.

As Terry and i discussed last week we couldnt find a lender who didnt ask the question "Do you guarantee any other loans in the capacity as a Director / Trustee".

Hi Jacko

Welcome to the forum and i hope you enjoy your time with us.

Firstly why are you looking to pay down your mortgage is it to obtain equity for investing ?

If so then certainly I would not use a LOC for you initial loan but look at either an Interest only or P & I loan with 100% offset account. By all means a investment LOC can sit behind this to be used to fund IP deposits.

Now with regards to whether you should buy land and construct upon it you should bear in mind the frame between land acqusition and completion of the building when you will either receive some rent or equity by way of capital growth.

Secondly you have to decide what your long term strategy is to be. Are you wanting quick capital or long term income.

Capital Gains Tax would be payable on such a quick turn around and this would erode away your capital gain.

It is certainly horses for course but my personal option is to build capital and income for the long term therefore prefer to hold rather than sell.

Structuring your loans correctly will enable you to buy consistantly and not be at the beck and call of your lender.
Try and avoid cross collateralising the securities and life will be a lot easier and smoother.

Hi grunter

Cant recommend anyone on the Sunshine Coast but can on the GC.

At the end of the day i guess most business can be done over the phone and email.

Half of my clients are inter or intra state and most loan applications are lodged electronically.

Anyway his details are:

Steve Hodgkinson and he is a partner at the Gold Business Group down at Southport.
http://www.gold-group.com.au/

Phone: 07- 5532 2855

Been my Accountant for 15 years and acts for literally dozens of forum members here.

Tell him sent you and I am sure he will look after you.