Interest only with an offset account.The offset account is used as a place to park spare cash – as opposed to paying off the loan principle.CheersJamie

Hi MattstaThe brokers on this forum work with clients from different states daily. I would guess that 90% of my clients are based interstate – the vast majority I'll never meet face to face.Providing you feel comfortable and confident in dealing with your SA broker – then there shouldn't be anything to worry about.CheersJamie

Same – I'm not a fan of the one stop shops. I'd be inclined to source your own broker and your own accountant – and if they need to liaise with one another then they can do so. Having independent professionals helps remove any conflicts of interest.CheersJamie

Hi Doug

Welcome aboard.

It’s much of a muchness in my books. It all comes down to what the deal looks like and what’s in demand for the demographic within that area. Like the poster above, I’ve got a mix of houses, units and townhouses.

When factoring in the holding costs, remember that you’ll need to include strata or body corp expenses for…[Read more]

Hi Michael

You can usually roll the IO period over for another 5 years – its generally not too much of a hassle.

In regards to the negative gearing – what’s the big issue with having an IP that doesn’t cost you money??? Negative gearing is one of the benefits of IP ownership – but if your property is achieving positive cash flow, then great!…[Read more]

janinewool wrote:
Thanks Jamie for your advise. Is there a list of brokers on here near us that we could refer to? Do we need to put the PPOR is my name before we start anything? There certainly is alot to think about and lots to do before we invest.

Cheers
Janine

Hi again

There’s good brokers on this forum who’ll be able to help. If you’re…[Read more]

Hi Janine

I understand. The correct structure from the start is always important. However, sometimes people set-up complex, expensive structures that aren’t always in their best interest.

Generally speaking, you want to avoid cross collaterising your PPOR with your investments.

To do this, you would set up a second loan against your PPOR which…[Read more]

I’d simply forward the email onto the PM and let your neighbor know that you’ve flagged the issue with the property manager. You’re paying for someone else to deal with these issues.

Cheers

Jamie

Hi there

Are you self managing or have you got a PM on the job?

Cheers

Jamie

Ah good old Aussie.

When I purchased my first PPOR quite a few years back, I googled mortgage broker Canberra and ended up on the Aussie website.

The next day, I had an elderly chap knock on the door. After struggling to work out how log in to his laptop, he finally managed to get their generic software up and running. It was scary to have the…[Read more]

Hi there

I’m not a fan of the one stop shops who claim to offer everything in house.

I’d be searching for a decent broker to arrange the finances, a decent accountant and if required, an independent buyers agent to locate the property. All of these professionals can work together on your behalf – all are independent of one another which…[Read more]

Hi DeanIt looks like you've done your research – you're certainly on the right path.Why not give Richard a buzz and ask him to look into your situation. It's only a cost of a phone call and you will have an expert sorting out your finances whilst you can spend time actually looking for your property.CheersJamie

Hi there

James from House of Wealth http://houseofwealth.com.au/

Cheers

Jamie

Hi beebob

Just make sure they understand investment structures and are on the same page as you. A lot of branch staff don’t have a clue – it sounds harsh but it’s a reality.

Cheers

Jamie

Hi Craig

When you “redraw” money – the purpose of what the funds will be used for will determine whether the redrawn amount is deductable.

For instance, if you paid a large chunk off your loan and then redrew this amount to purchase a house to live in, the redrawn amount wouldn’t be deductable because the purpose isn’t investment related (it’s…[Read more]

They should submit all offers – in reality they don’t.

Cheers

Jamie

Hi Craig

Welcome aboard.

Do you have any non-deductable debt such as personal loans, credit cards, store cards, ect?

If so, it’s best to knock this debt on the head first.

Generally speaking, it’s ideal to have tax deductible IP debt set up as interest only. You only need to have one offset set up against either of the loans – park your spare…[Read more]

waydo77 wrote:
thanks for your help, sounds like this is the norm, terry, I thought a lot of the contract was bad english, I will read everything in depth now I think. the main thing im worried about is clause 2- due to me working away in isolation for weeks at a time and the IP purchase being interstate, It may be a challenge to find let alone…[Read more]

Sounds like if you refinance within the next two years or don't go ahead with the loan after formal approval is granted than you'll have to pay the brokers comission. I don't think it's unreasonable.Most people don't realise that brokers have their comissions clawed back when the loan facility is closed down within a certain period (generally up…[Read more]

Hi MWelcome to the forum.Your questions are very broad and are difficult to answer based on the limited info.As a starting point, you need to work out what you're able to borrow and what you can reasonably afford to repay.If this property is going to turn into an investment down the track, I'd be hesitant to use your entire $300k savings as a…[Read more]