Hi Spongy

What's the major factor behind the refinance to ubank? The rates might be decent but for multiple property owners they are rarely a good option. Their cashout policies aren't too crash hot and their loans are restricted to quite low LVRs.

Did your brother pay LMI on any of these loans previously? If so, an external refinance means he's…[Read more]

Hi siewlin

Your best bet is to have a decent broker listen to your goals and assess your situation – they'll be able to advise on your borrowing capacity and run through some scenarios with you.

Cheers

Jamie

Hi alterego

Are you after a financial advisor or a finance broker?

Do you need face to face or are you happy to communicate over phone/email? If you're ok with the latter than your options are open.

Cheers

Jamie

Why not do both?

I've had a fair few clients purchase their first home and an IP shortly after. Here's an article I wrote for API magazine on the topic.

Cheers

Jamie

siewlin wrote:

interest rate 5 % for loan  $170000 = $8500

Hi Siewlin

How are you funding the deposit/costs? Are you using equity or cash?

I prefer to look at the entire cost of the deal to determine whether it's CF+ and generally try to use borrowed funds over cash for IP purchases so the entire purchase plus costs remains…[Read more]

Hi and welcome aboard.

What size is the unit? 

Have you taken into account all of the ongoing costs such as strata fees?

Cheers

Jamie

Yep, I also used AAMC – for both the cert IV and diploma. Have no complaints.

Cheers

Jamie

Hi Mikal

The qualifications aren't that difficult to obtain and certainly don't make up for experience in the field. 

One of the keys to success in this industry is aligning yourself with an excellent mentor.

Cheers

Jamie

http://www.mfaa.com.au/default.asp?menuid=619

Cheers

Jamie

Hi John

A lot of people set-up expensive structures that aren't always necessary.

Speak with a decent property related solicitor and accountant about this before you jump in – Terry W on this forum is a good option.

Cheers

Jamie

I had one carried out on an IP recently.

I think if it's anything to do with gas or electricity and it's being advised by your PM that it should be done than I'd be inclined to do it – it's not something you want to risk.

Ask the PM to point out specifically where it states that it's a requirement.

Cheers

Jamie

Agree with above – I wouldn't want to be renting a property where the landlord stops by to carry out some reno work.

Best to wait until it's vacant and then carrying out the work. 

Cheers

Jamie

Hi John

Welcome aboard.

Not sure why it's costing thousands to restructure your finances to set you up to purchase your investments.

For a finance point of view – it shouldn't cost thousands to set up. Unless it's an external refinance to another lender and your outgoing lender has extremely high exit fees and/or break costs.

Where are these…[Read more]

Hi Dilley

You can turn a profit if it's in a rising market and it takes a while to complete. It's quite a gamble though.

You need to take into account all the other costs associated with the purchase when working out your profit margin too – such as stamp duty, legal fees, etc. There's also CGT when selling.

Cheers

Jamie

Hi first timer

Welcome aboard

The way we generally structure these types of scenarios is to tap into equity against the PPOR – and set it up as a separate loan (either an interest only loan or a line of credit). We then arrange a separate loan to cover the remaining balance for the IP.

So it ends up looking like this.

PPOR
Loan 1: Current…[Read more]

bricman wrote:
Hi all

Have a problem with my tenants who up until now have been great people, looked after my IP very well, but have ALWAYS been behind on the rent. They have a large family and are self employed and get paid for their work in irregular patterns, hence sometimes they can be 8-10 weeks behind.

Hi Ian

It's time to treat it as…[Read more]

You'd probably have to arrange a separate valuation for stamp duty purposes.

Cheers

Jamie 

Hi Nathan

Would be best to suss out your options with NAB because an external refinance with a loan that's in arrears probably won't be possible. Lenders want to see 3 to 6 month of the outgoing lenders mortgage statements to ensure good conduct. 

Cheers

Jamie

Hi Nathan

What's the main purpose of the refinance?

Do you need to refinance to another lender? Any reason why you can't revert to IO with your current lender?

Cheers

Jamie

Best off to stick with St George for the equity release given the fixed loan you already hold.

Like Terry said, it needs to be set up as a second loan so you can distinguish your non-deductible PPOR debt from your deductible IP deposit.

You could get away with an IO loan over a LOC and save a little bit of interest.

Think carefully as to…[Read more]