hi guys ..
i have equity bulit up on my ppor – Is it better to use this or advisable not to use this to buy IP …
whats the relation between using it and buying an IP – tax wise …
if its not advisable to use it …
how to structure my IP loan
ie borrow enough to cover ( stamp duty + reg costs and other expenses)
or
refinance the ppor loan ( which I am looking to do anyway …) and borrow more …
i tried speaking to banks – couple of them — but they are too busy to explain …
any mortgage consultants out there …
guys
any one on this
penti99
Hi Penti
Using equity in a PPOR is one of the most common ways of purchasing in investment property (with the clients I deal with anyway).
What we usually do is:
1) Access some equity in the PPOR by doing a 'top-up' on the current mortgage.
2) You would then use this "top-up" as a deposit and purchasing costs towards your investment property loan (which may be with your current lender or a differen't one – just depends on where the best deal is for you).A good independent broker that works with property investors will be able to structure it correctly for you.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi Penti
Normally if you want to raise such a question would have been better to post it in the Finance Forum but anyway here goes.
Jamie has made some suggestions on how to set up the structure however without having actual numbers it is difficult to provide you with further information.
Course whilst you have the equity you may not have the serviceability so there are a few other factors to consider.
A good independant mortgage broker should be able to guide you thru the maize and provide you with some structured advice.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Penti As Michael and Jamie has stated you need to get advise from an independent mortgage broker. You will be able to use the equity in your PPOR to leverage into investment properties. It will depend on the amount of equity you have and your serviceability. <Moderator: delete advertising>
Not sure who Michael is but i am sure he will answer you soon.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Qlds007 wrote:Not sure who Michael is but i am sure he will answer you soon.Maybe he got 'Richard' confused with 'Michael'……….
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Mhhh maybe he wasnt stopping long enough to read the name correctly.
I mean there are probably some other forums you can visit post 15 advertising posts tonight and move on.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Haha, you can't see him joining you in the 7000+ posts club? I'm aiming to get there……might take a few years though
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Sorry guys that was not my intention. My mistake I got the names wrong.
Shayne Betreen
Gain Financial Solutions
[email protected]in terms of if it is good or not.
I think if you can get finance without using your ppor it would always be best.
But if using your ppor gets you the best finance, or the only finance you can get access too, then its better to use it and get an IP. then not invest at all. assuming its a good investment.in terms of tax, often its the purpose of the loan that matters, not where the money came from.
illuminati wrote:But if using your ppor gets you the best finance, or the only finance you can get access too, then its better to use it and get an IP. then not invest at all..good call, better to be in it than not at all!
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