My husband and I are looking at buying a property for his parents to live in and will be negative gearing this property as I am on the highest tax bracket. We are looking to use the equity in our mortgage for the deposit and stamp duty etc.
Is a P&I or interest only loan best? They will be long term tennants. Also, I read in recent posts of 95% finance. We are looking for a property around the Warragul area in Victoria.
We currently have a line of credit mortgage, is it best to refinance or increase the limit based on the new value of our house. Also, could a broker help with buying this property or would we be better going to the banks?
Any advice would be appreciated.
Rob is spot on. There are many things to consider before you set this up. Sounds as though you will have many choices though.
I would recommend that you use a broker and make sure he understands what exactly your medium and long terms goals are so he can structure your finance accordingly.
If you choose not to then make sure you compare all the products available and don’t rely on the advice of any single bank employee. They will only compare their own products and wont reecommend Professional Packages etc. A useful site to compare lenders is at http://www.cannex.com.au
All the best with your purchase,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by Gemmagirl:We currently have a line of credit mortgage, is it best to refinance or increase the limit based on the new value of our house. Also, could a broker help with buying this property or would we be better going to the banks?
Any advice would be appreciated.
LOC are not always the best option, depending on individual requirements there are cheaper alternatives,
A refinance may not be required or cost affective; it comes down to your long term goals,
Regards
Steven
Mortgage Broker[email protected]
http://www.mobilemortgagemarket.com.au
Ph:1800 820 500
VICTORIAPLEASE note comments made should NOT be taken as specific taxation, financial, legal or investment advice. Please seek professional, specific advice.
Thanks for the advice. I am looking for a good broker in Melbourne if anyone can help.
Call Steven.
Cheers,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
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