Forum Replies Created
The original loan did have an offset account and money was going into their. Silly me made the mistake of increasing the repayments instead of keeping the money in the offset in the last 12months. I don’t know why I made that change, I just did.
Thanks Corey. When you word it like that, I guess it does sound stupid. Yes, I did organise a depreciation schedule :-)
Thanks Benny. Yes, I do have an offset account linked to my new PPOR. I plan to see this house out for 10-20 years and start to raise a family. Goal would be to pay down the new PPOR as much as possible and be able to be financially okay with one parent staying home. If I will rent this house or sell in donkey’s years to come – I have no idea. I guess having the I.P as positively geared is a good idea and will help having the cash flow when the time comes. I just read a lot that negative geared was a good way to go when on a good salary. Thank you for your opinion.
Thank you TerryW & Jamie Moore.
Thanks Terryw, it would be Victoria.
Hi Sam,
I aim to do the same, buy/ renovate/ rent out and move onto the next one. This would be my first investment property also and a little nervous taking the plunge.
I have been browsing Geelong, Werribee, Hoppers Crossing and I like the idea of Melton due to prices, but I don’t know the good and bad areas.
I also noticed a unit in Preston earlier this week, that could do with a bathroom and laundry makeover – but again, I have no idea if it is in a good part of Preston or not….. I actually don’t know how I would find out?
KateAny chance the article can be posted on here?
This is really hard to go through day to day things at the moment let alone think about the future……
For the time being, i will live in the house.
If I take out a Interest Only loan in my name and have an offset account attached to it- is this okay???
Then, when i am in a better head space, i can think about everything else eg; maybe renting it out and mum's generous money.
The house figure to buy my ex out has been agreed and I think my next step now is to get a home loan solely in my name.
Because I am not sure if I will rent it out or live in there, am I best to get an I.O loan?
My mum has generously offered to but her savings into my offset account (as she is currently taxed too much), provided I get a will prepared to outline that it is her money. Can anyone see anything wrong with this? I believe if it is in an offset account, I can take her money in/ out whenever she asks for it and I won’t get penalized and while it is sitting in their it is helping me?
Thank you Tom.
I had a real estate agent come our last week who mentioned the house would be around $310-330k (which is less than i anticipated after googling around on realestate.com.au)
I have two more agents coming this week.
Brilliant link – thanks for sharing!
Sorry for my slow reply… I'm trying to keep the relationship but it's not going well ;-(
I do like the area to live and would be happy to live in the house after our relationship breakdown. We built the house 5years ago in Victoria – house title and Commonwealth loan (p&i) is in both our names. Home loan amount is at $205k and houses of equivalent for sale is advertised approx $350k.
i would like to buy out my ex fiancee with all intentions to live there but if after a few months I can't afford to stay I will rent it out instead.
How do him and I agree on a house value? Am I best to approach 2 real estates to give a letter stating the value and then take the average from the two?
How do I go about & what is the best way for me to structure a new loan in my name solely and remove him from all things related to the house?
thank you.
@ Jamie M; no deposit, but hoping we have equity in our house.
@ Shahin; Yes. Early last year, we received pre-approval from a bank, however the period lapsed and since then, our financial situation has changed.
thank you
Hi Jamie,
My fiancé and I have been to a mortgage broker, however we are after another opinion as what we have been advised seems to be opposite to what I read in books or on this forum.
I have suggested to my partner that we can chat with a well know person on here who is interstate however my partner would like to meet the mortgage broker face to face and not via web.
Can you recommend a Melbourne mortgage broker?Our mortgage broker has advised that the IP loan must be in joint names as we do not have sufficient funds to borrow in one name only & that our PPOR will be used as security as we do not have enough funds.
A letter came in the mail approving our IP loan application as follows:
1) A line of credit in both names for $40k
Security is our PPOR
6.96%p.a interest rate
2) Investment Home Loan in both names for $431,439 I.O with monthly repayments
Interest period 5 years
Security – nothing listed
6.56%p.a interest rateI have a few questions to ask you all before I sign;
* What happens to the interest period after 5 years? Does it turn automatically into P&I?
* Is it ok that we have our PPOR as security? I know it is best not to, but if this is the only way to borrow are we best to do it and be in the property market rather than wait a few years?
* We make fortnightly repayments on our PPOR, should we do the same for the IP or leave it monthly?
* Have I missed anything important?@ Terryw = I hope we don't, but as my parents divorced years ago, I would like to protect myself for the unfortunate. I will keep a record for myself, thank you Terryw.
@ Terryw = Aww; this is becomming more and more complicated.
Very true Tarek about the agreement – thanks.
I actually just received an email from the broker to complete forms to go as Guarantor for Loan B – thanks Tarek.
Hi Tarek – Loan B will be covering the deposit.
As the I.P will be in fiancees name, does anyone have any ideas of how him & I can draw up a document saying that the property is mine too? I know a lawyer can do that, but I thought to save money we could write a letter and sign between ourselves.
I was totally lost with Tarek's response.
Thanks everyone & Jamie for your input.
