Yep, should be. You'll need to set it up as a separate loan though so you can determine your non tax deductible debt from your tax deductible debt.

Cheers

Jamie

Hi CS

Is that the reason why your broker thinks it won't be approved? Because of servicing? If so, like Shahin said, that's something that should be ascertained prior to submitting.

Also, if that is the primary issue – then get your broker to suss out other options.

STG will do a 95% + LMI lend and their servicing can be pretty generous if…[Read more]

Hi there

There's not enough info to provide a decent response.

With a 95% lend, some factors that will strengthen an application include strong servicing, good employment history, equity in other resi property, a good asset/liability position relative to age, the source of the deposit, the list goes on.

It will also help if the deal gets…[Read more]

Hi Miller

Richard's on the money as always – providing the phones are still working in Brissy, I'd be giving him a buzz to get this sorted for you.

Cheers

Jamie

jmsrachel wrote:

Jamie M wrote:

jmsrachel wrote:
Hi shahin, What kind of advantages is there by having a builders license? Would the banks be happy to lend more?

no same policies and serviceability calculations would apply – no special treatment. For medical professions and bank staff there's advantages – like 90% no LMI…[Read more]

Sabbathen wrote:

When I start to minus strata costs, rates, loan repayments(based on 80% LVR) and property management it completely destroys any positive cash flow.

Are you using another loan to cover the the purchase/deposit? If so, you should base the repayments on 100% plus costs. 

As mentioned above, depreciation is a huge deduction that…[Read more]

G'Day Richard

It's good to hear that your safe and sound. I've been keeping an eye on the news – you guys up north have put up with a lot over the last few years when it comes to insane weather. 

All the best and stay safe.

Jamie

jmsrachel wrote:
Hi shahin, What kind of advantages is there by having a builders license? Would the banks be happy to lend more?

no same policies and serviceability calculations would apply – no special treatment. For medical professions and bank staff there's advantages – like 90% no LMI deals.

Cheers

Jamie

Great, seven months of campaigning

Cheers

Jamie

Hi there

Welcome aboard.

The price you pay for a PM will differ widely depending on the location.

For instance, in Canberra – you'd be paying around the 10% mark so anything in the 6's is dirt cheap for us ACT folk!

You need to crunch the numbers on the 6.6% plus fees and work out how much it will cost per annum in comparison to the 9.9%…[Read more]

You'll need to have a chat with an accountant – there's different trust types with different taxation considerations. If you're in Syd, get in touch with Terry W.

Cheers

Jamie

Hi and welcome aboard

All the holding costs and expenses associated with the property will be deductible – that includes the interest on the loan, property management fees, maintenance costs, insurances, borrowing costs, depreciation, etc.

Don't jeopardise capital gain in return for a small positive cashflow though. Without some sort of capital…[Read more]

Hi Flynn

Keep an eye on threads posted in the heads up forum for meet-ups, seminars, ect https://www.propertyinvesting.com/forums/community/heads-up

Cheers

Jamie

Congrats Spuddles – that's great news!

Just don't forget what Terry mentioned above. You still need to settle first!

All the best with the property.

Jamie

+1 for Jac M. She'll provide some excellent advice.

Cheers

Jamie

Which lender are you with?

You might be eligible for free vals as part of your package – ie. ANZ's breakfree package.

Some allow free upfront vals which are technically supposed to be for the purpose of taking out a loan. 

Cheers

Jamie

Yeah but none of the good old clauses that are applicable to non OTP purchases like subject to finance – assuming that's what Kong was talking about.

In any case, the OP should chat with you and see what can be done.

Cheers

Jamie

I doubt it – not with an OTP purchase. 

Cheers

Jamie

Hi Rick

Without knowing too much of your details – I'd start with your current lender.

See if they carry out upfront valuations so you know how much your property is worth before submitting an application.

Ask them about the max LVRs they allow for equity releases.

Cheers

Jamie

Hi Amelie

If the current bank doesn't approve it – it doesn't mean that no bank will approve it. Especially if you can afford the loan on your partners income alone.

Have you gone direct to a bank or are you using a broker? If you've gone direct, and they knock it back, then seek some advice from a decent broker about your options (because…[Read more]