Thanks for the responses. Still scratching my head though :/

Richard Taylor wrote:

Who has told you that you cannot service an investment property ?

Nobody has told me that I can’t service an investment property. What I’m saying is that – from what I understand – the maximum sized loan I can afford repayments on is $380k, so would that not mean I could only afford to access $380k of my equity rather than the full $600k for my initial purchase/s?

Jamie Moore wrote:

You could own parliament house and have $1 billion in equity – but the bank is only going to lend to you what they think you can afford….which is based of your income (PAYG or self employed earnings plus rental income) minus your liabilities and expenses.

This is exactly my point. So that makes anything over the $380k mark inaccessible because I just can’t afford it, meaning the extra $220k I have in equity is useless for now, no?