winadil wrote:
i am just a bit confused we are looking at a few houses in our area that are a real good deal and at a very good price but confused on what to do about the deposit? one person says that we should not withdraw our excess money from the PPOR loan because off tax concern but another said that we should not use equity in PPOR either…[Read more]

WomeninPropMelb wrote:
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The hardest thing in changing the PPOR to an IP is around taxes and changing a loan- I am not sure how that works but I have heard others – not my experience but from others- that there are implications in changing the loan from PPOR to IP.

It depends on the lender – it could be a form or could it be a whole new…[Read more]

Alexia wrote:
Thanks guys it's much appreciated!!. Just wondering is there a difference between the 2 reports – Residex & APM?Alexia

Not a great deal different. One might look a bit prettier than the other but all of these desktop val programs generally draw the same data. They can be handy as part of an overall due dilligence process but…[Read more]

Hi JoelNot sure if it helps but we've got quite a few links on our website that you might find useful – http://passgo.com.au/property-data-websites.htmlCheersJamie

You need to work out what's best for you. Is the townhouse in an area that could achieve capital growth in the future? Will that growth make up for the short to medium term holding costs?Your brokers structure sounds fine.I'm not surprised the real estate agent provided that advice – he/she wants to sell your property.CheersJamie

Hi Daniel

Welcome anoard.

Tread carefully with studio apartments – they don’t often make for very good investments. There are quite a few posts on this forum about the pros/cons of studio apartments.

In regards to mortgage insurance, It can be a useful tool if leveraged correctly. It enables investors to use more of the banks money to grow…[Read more]

Hi SteveI don't know about the areas so can't offer much help there.What I can recommend, and what's worked for me and quite a few clients, is searching for properties that you can add value to. Preferably something that only requires cost effective, cosmetic renovations. This way, you can manufacture your own equity instead of waiting for capital…[Read more]

Hi BigmamaI like keeping all loans as IO with an offset against the PPOR.This provides maximum flexiblity – for both longer term taxation implications (if you ever decide to turn the PPOR into an IP) and gives you more control over cashflow.If you're not disciplined with money and think you'd only make the minimal interest repayments on the PPOR…[Read more]

Hi KarlWelcome aboard.What's your longer term plan? I assume being on an investment forum you're considering building a portfolio?I actually don't mind paying mortgage insurance  – if leveraged correctly it can be a great way to quickly build a portfolio.You asked for links – so here some are:This about leveraging mortgage insurance.Why a 20%…[Read more]

Hi KolyaI'm not sure you'll get too much value out of a FP for the purpose you've stated.Some general advice on saving is to spend less – make small sacrifices now in order to reach your longer term goal. CheersJamie

WombatsInvest wrote:
Thanks Jamie, Much appreciated. To re-iterate it will be an investment property after 6 months, so i think this would definitely be the way to go. I'll have a look at your links and come back if i have any questions. Thanks also! Also if you have any suggestions as to the term for the IO it would be much…[Read more]

WombatsInvest wrote:
I knew there was something else… Is it also possible to make a lump sum payment on the IO loan (with an offset account) and it make a big dent on my principal? 

Yeah it's possible but pointless. You'd be better off making that lump sum repayment into the offset instead – it will have the same effect but a better outcome…[Read more]

Sorry – can't recommend anyone in Perth but providing you can use email/phone you can choose your broker from anywhere in the country.CheersJamie

leahjthomas wrote:
So you are basically saying that it is best to get the loan and purchse the house prior to moving, otherwise we may have to wait months to get a loan

No.I'm saying that if your new job is in the same industry as your old job than its still possible to get a loan – even after only being in the new job for a very short…[Read more]

Hi thereI'm no tax expert but I would have thought it would be ok – maybe grab an appraisal from an REA to confirm that the old val still stands.CheersJamie

Generally speaking, if you're next job is in a similar role and the LVR isn't ridiculously high than all should be fine on that front. As I mentioned though, there's so many other variables at play when applying for a home loan – employment history is just one so it's hard to give a definitive answer.CheersJamie

Hi thereYou could be employed for one day and still be elligible for a loan – there's a few other factors to consider however.CheersJamie

Qlds007 wrote:
An Adult couple with 6 children used to be assessed at around $43,260 and now this will drop to $25,482.

Good old bank logic CheersJamie

I'm with Richard – if it's a refi involving LMI than a full val is the norm.If it's below 80% LVR and doesn't involve LMI – it can depend on whether it's an internal refi with your existing lender or an external refi with another. I wrote two loans today for an existing ANZ client where a modelled desktop val has been used on both – LVR is only at…[Read more]

If cashflow is an issue you could look into the ATO PAYG variation form which will allow you to pay less tax each pay rather than make a large claim at EOFY.CheersJamie