Not aware of any in CQ.

The IO payment is an interesting concept I'm very new to. Still have the 'old' thinking that I should eventually try to pay down the loan so I can eventually own the house outright. I'll run this by the broker and see what else he has to add.

Unless he is investor orientated i bet he will have no idea or would have recommended this from day 1.
You can transfer funds at any time to pay down the principal balance should you wish.

Loan must have been very small as most client look at the Pro Packages and that has no offset fees. 

I only loaned about 73% of the value of the home, so I should have instead borrowed the max the bank would be willing to give me, and used the excess for offset.

Definately

Gibbo has hit the nail on the head.

Depending on the size of the unit will determine whether:

1) It can be financed full stop
2) The lvr the lender will go to.

A License to occupy is probably more widely used in Qld that Rent to Buy as it avoid all of the Tenancy Legislation associated with RTBC.

It is simply what is states. You hold a License to Occupy the property subject to repayment of a weekly / fortnightly amount.

Interest is added to the agreed amount and repayments are deducted from this amount similar to any wrap arrangment.

There is no stamp duty payable on a LTO as you hold the License however you would not qualify for the FHOG as there is no actual possession until the final payment is made.

Couple of other benefits.

Hi Bronte

Certainly a few questions there.

When selling one property in order to buy another (talking ppor here – and moving up the property ladder) how does the mechanics of the mortgage basically work? In essence if the loan is portable it is merely a matter of undertaking a new valuation on the subject property and the loan being transferred to the new property. You will of coruse have to sign a new letter of offer and Mortgage Documents.

Does the existing mortgage on the first residence have to be paid out – and then a second mortgage applied for in order to purchase the second property? I am assuming that this relates to when the property is sold and a new property being purchased at the same time. What happens is the lender will make an offer subject to the disacharge or loan portability of the existing loan. Only issue of course is that the sale would need to settle first if you are relying on equity or cash to come from the intiial sale. Altenative is to look at a bridging style loan however this will be dependant on equity and over valuation.

Can a mortgage be 'rolled over' – carried on from one property to the next with an extra amount added to the existing mortgage to bridge the price difference? Think this has been answered above.

What are the best ways to go about avoiding too many bank fees? Some are not unavoidable however others depend on the lender you use. Fees are not necessarily a bad thing if the benefits outweight the costs.

Can the need to supply a large cash deposit be avoided? Depending on what you classify a large deposit. Normally most lenders will require between a 5-10% deposit as well as sufficient to cover your acqusition costs.

What happens if there is a time delay between sale of first property and purchase of next property? Depends on a number of factors equity, serviceability and which is settling first.

Yes use a standard mortgage contract and register it as normal.

There is no difference to a lender registering their charge.

Sounds like a case of your Broker cross collateralising the loans hence the LMI is so expensive. 

If the loans are separate then the LMI will be less.

LMI is calculated on the overall lvr on a sliding scale based on the total loan amount. Over $500K the scale jumps.

Think i would be rejigging the deal to make the numbers more acceptable. 

Yes as good as any.

In addition to the consent (which is actually not required in every State) you will have to find a lender who will allow 2nd mortgages.

SGB used to be one of the few who would do so.

In saying this of course you would have to ask yourself why you would want to use a separate institution.

Hi Jane

Equity can be often be king as lenders will advance funds on the basis of equity alone with very little income confirmation.
Also bear in mind that not all lenders take all government benefits into consideration.

In saying that of course just because we could arrange a loan doesnt mean that you should take it up of you feel you cant afford it. Personally subject to the numbers I would be looking to roll the credit card debt into the home loan and then carry on the repayments at the same level as previously to reduce the debt as quickly as possible.

It is hard to provide you with an accurate assessment as there is insufficient actual data but with a few more figures i can advice you further.