Still confused about interest

Viewing 6 posts - 1 through 6 (of 6 total)

Misty1
Member
@misty1
Join Date: 2004
Post Count: 348
June 30, 2004 - 5:01 am
Ok,so i’m stupid….there,I’ve beat u at the insults…[withstupid]…
I’m having trouble understanding this one:
If i borrow for a new ip,using the equity in my ppor,does the interest on my ppor then become deductable???[confused2]
Mortgage Hunter
Participant
@mortgage-hunter
Join Date: 2003
Post Count: 3,781
June 30, 2004 - 5:49 am
Yes.
On the portion of the loan used for the IP.
If you have an exisitng PPOR loan then have the IP portion clearly identified on the statement using a split. Your banker or broker can set this up very easily.
Cheers,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985
Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Yorker
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@yorker
Join Date: 2004
Post Count: 306
July 5, 2004 - 3:35 am
Well said Simon, very precise.
Misty1
Member
@misty1
Join Date: 2004
Post Count: 348
July 9, 2004 - 5:54 pm
thankyou.I’ve been offline for the week,so havent had a chance to respond before now.
bennido
Participant
@bennido
Join Date: 2004
Post Count: 195
July 28, 2004 - 2:05 am
Let’s say I redrawe some money from my PPOR loan for buying a PI. For example, the loan is now $150,000 and the split is $100,000 PPOR and $50,000 PI.
If I deposited $1000 into the loan, can I choose to pay off the $100,000 PPOR part (which is non-deductible) ?
Thanks !
Mortgage Hunter
Participant
@mortgage-hunter
Join Date: 2003
Post Count: 3,781
July 28, 2004 - 3:14 am
Yes – this is the beauty of the split. If you hadn’t split you would have to apportion it.
Cheers,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985
Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.