Terryw – I had no idea that would be the case. So just for my own understanding, even if I wanted to use the equity on my own my sister would still have to agree and be on the loan. That's a pain, she has no interest in investing.

Thanks for the replies.Given my potential issues with serviceability and low borrowing capacity,  would it be more worthwhile to:1) Look for a property in a lower-priced area to improve to increase both rental income & capital gain. The problem here is I am a little worried about the potential issues with dodgy tenants in  these cheaper areas (…[Read more]