Hi everyone, i am new and its hard to find good advice around the people i know so i thought i would ask here. I am looking for people who have expeirenced my situation who can give quality feedback.
I am 20, a student but my girlfriend is full time work. We both live with her parents. She gets 2500 a month after tax and she has no loans and no outlays being at home. We want to invest (somewhere over East) but with those figures we could only afford something around $200,000 if we are lucky (if we can get more please correct me).
A friend of mine who has about $250,000 worth or equity and the income to afford repayments on a new loan is willing to go with me in buying a house for about $350,000 (still over east) because he doesnt know much and doesnt want to pay all the repayments of a whole house himself.What i want to know is it dangerous/worth it to invest with a friend as long as all the contracts are written up or is there even potential for me to invest with $200,000?
Thanks
Usually you can use 70% of the rental income, if you would like a free assessment you can contact me
I think if you approach the deal as a business deal and make sure that you dont loose a friend over something that may go wrong then it is fine.
Personally i would like to see you both provide an equal deposit or alternatively if this is not the case buy as Tenants in common.
Most lenders will take upto 80% of the rental income of the property into consideration (although there are 2 that take 100% of the rent) and many assess at the charged rate rather than a sensitised rate so you maybe suprised how much you can actually borrow.
Richard Taylor | Australia's leading private lender
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