Professional Advice

Hello Terryw,

I want to explore the options of refinancing the mortgages to interest only and to ascertain if there are better rates out there that will suit my circumstances. I don’t believe that I am going about my financing as effectively as I should be which is also applicable to my taxation strategy.

I am thinking that I need to consult with someone who can look at my financial circumstances and provide guidance on the best course to take, then re-structure the mortgages if applicable and organise a suited taxation strategy.

Loving the Diamond Joe Quimby.

Hi Richard,

We do have an offset account linked to one of the mortgages, as well as paying an extra few dollars into each of the loans. We also intend to keep building on our investments, however I do not think that the current P&I structure is as effective as it could be. 

Apologies if it sounded as though I made a generalisation about brokers, it really was not my intention.

Many thanks for the insights,

Will

Thank you all for the responses, I understand that everyone’s time is valuable, but would any of you guys be able to assist further if I sent you a PM with additional and more specific information regarding my circumstances?

Hello Alistair,

This is purely anecdotal based on my observation and interaction with others, but the market seems to have eased off a bit, there are a few developments occurring at present (residential and commercial) and the shopping centre in South Hedland has undergone some expansion. As for the current rental market, it seems to be inclined to towards renters for when the subject is raised people are quick to say that they now get more value for their money in comparison to past performance. I have also heard of some serious reductions in sales prices.

BHP is still pushing ahead with the port expansion, so there may be an influx of contractors pushing up the rents when that occurs, but it is also just as likely that any gain here may be offset by the current and future developments as well as potential FIFO arrangements, other people may tell you otherwise.

Short term there is probably still room for money to be made if your clients negotiate a bargain and develop, but at the already high buy in costs who really knows what the development will be worth in the long term.

Social media may also provide you with more insight about what is occurring in the area and what those of us who live here think, if you ever get the time, log onto the ‘Everything Hedland’ Facebook page and note peoples thoughts of some of the council management issues amongst others.

It’s been a while since I have visited Karratha, but I do remember the scale of developments that were occurring at the time- there were some serious estates being established, I hope that you eventually come out ahead with your build.

Regards,

Will

Hi Jamie,

I have read the linked blog entry and it definitely sounds as if interest only will allow the flexibility for us to keep moving forward, I crunched the numbers last night and if we continue to pay the principal into the offset account, we should be able build up capital much quicker than what we are achieving now.

Would you mind if I sent you a PM with further information? I appreciate the information that you have provided and I believe that a broker would most likely be able to negotiate a better deal.

Regards,

Will

Hello Jacqui,

Thank you. I completely agree with your comment and can understand how frustrating it would be, the main reason why I haven’t sent an unsolicited PM and will not do so. I am waiting until it is okayed by one of the guys that responded. 

Kind regards,

Will