Hi J

Welcome aboard.

The right structure comes down to your long term plans. If you were my client – I would have discussed setting up everything as interest only and parking your spare cash in an offset attached to one of the properties. I also would have avoiding crossing up the properties.

Given that you've got two loans with WBC – I'd more…[Read more]

Hi Steve

Get a formal lease in place. Even if your friends – you need to treat it as a business.

I'd also grab a depreciation schedule. Call up a quantity surveyor in your area and they might provide you with a general estimate on how much you're able to claim.

This spreadsheet might help you crunch the…[Read more]

Hi Saz

Which city are you in? You might be able to get some recommendations for a decent accountant here. That's not to say that you need to be in the same location as your accountant though – if you're comfortable with phone/email you can choose your accountant from anywhere.

Cheers

Jamie

Hi there

Have a read through the management agreement. Most require written notice and some sort of minimum timeframe to cancel.

Self managing requires you to be up to speed with tenancy legislation in your state – and you also have to be proactive with inspections. It's not for everyone but can work well for some.

cheers

jamie 

Hi Saz

It's difficult to comment on whether it's worth it without knowing the finer details and being able to work out if there's a suitable alternative.

Some valuers are being quite conservative at the moment. Particularly in parts of Syd that are experiencing a bit of a boom at the moment (not sure if that's where you're located). They also…[Read more]

Hi Saz

I'm no accountant but I'd assume you'd be able to claim some LMI given the purpose.

Do you have a decent accountant that you can put this question to?

Cheers

Jamie

Check out how many listings they have and how many properties they have recently sold – the good ones are usually pretty busy!

Referrals and word of mouth also goes a long way. If you've got friends/family in the area – see if they can recommend anyone.

Cheers

Jamie

Hi Mikko

If your current lender allows for upfront valuations then you'll be able to get around that issue. Which lender is it?

Cheers

Jamie

1. I wouldn't. Sounds like you'll be mixing investment and personal expenses. Can you set up an offset against the IP loan? Do you have a PPOR loan or other consumer debt that can be paid off first?

2. Can't see why not and it's ultimately your decision. Hold into some cash for a buffer though.

3. There are lenders that go beyond 80% –  all…[Read more]

n00b1 wrote:

I am looking to upgrade to a bigger house, and have pre-approval from the CBA for 360k. Unfortunately I only have limited borrowing capacity due to having 4 dependents being wife and 3 kids, and a current wage of only $65k pa.

Hi n00b

Welcome aboard.

Your borrowing capacity with other lenders will be higher than what it is…[Read more]

Hi Daniel

I'd be taking up Darryl on his offer.

Cheers

Jamie

nikki1 wrote:
Umm well this is how i interpreted what i was reading, that trusts can give you more borrowing power as the loan will be under the trusts name (or the garantor of the trust) rather then my own name… (And since im building a portfolio by myself i was thinking thats somthing i might need)

As others have pointed out – it doesn't…[Read more]

It's crazy – I'm sure they're already making a killing on their current premiums.

Cheers

Jamie

If you live in the property it would be classed as your main residence and not an IP.

Cheers

Jamie

Hi Josh

It was a bit of a hot spot a couple of years ago, as were other areas in New England region – not too sure if things are still on the up for Tamworth.

There's often posts about it – if you do a quick search you should find some info.

Cheers

Jamie

It's different strokes for different folks.

Some of my clients rent and invest whilst others have a PPOR and invest. I'd guess there's probably more of the latter. 

It's not just a financial decision but a personal one as well. Personally, I've always preferred home ownership over renting. I like being able to knock down a wall or rip up the…[Read more]

Hi Elegy

Welcome aboard

I'd start with educating yourself about property investing. Learn the fundamentals and the different approaches that investors take.

I wouldn't rush into forking out any cash. Instead spend a few dollars on some good books – here's a list https://www.propertyinvesting.com/forums/community/heads-up/6845

Continue to…[Read more]

Hi Rick

I wrote some pointers on increasing your borrowing capacity for API magazine – here's the article.

Cheers

Jamie

Hi Webber

Welcome aboard.

Yep, paying it back into the loan and re-borrowing as a separate loan makes sense and is probably the best approach. Just make sure you use this separate loan purely for investment related purposes.

Cheers

Jamie

Richard would be a good starting point. He's already provided some good pointers – can't go too far wrong giving him a call.

Cheers

Jamie