Hi Munz

Welcome aboard.

I second what Jac said.

Depending on the state that the properties in, a spousal transfer or sale to another entity may regear the debt.

Cheers

Jamie

Not sure about the flooding aspect but I had an eye on the area a few years back and it doesn't look like there's been a move in prices since then.

Cheers

Jamie

You can find CF+ properties in regional areas, fringe areas of larger cities and some mining towns in Australia.  

You won't get a fixed rate term that long though – it would be risky anyway, imagine if you had to break it at some point, it would cost a fair bit.

Cheers

Jamie 

Hi Elle

If your borrowing capacity allows, you could tap into the equity in your current property and use it to cover the deposit/costs on your next property.

You could then move into your next property and place your current one on the market. If it doesn't sell quickly – get some tenants in there so you can generate some income from it. Only…[Read more]

If they had enough to cover a 5% deposit and costs then that could be enough to get the deal over the line without your involvement.

Cheers

Jamie

Hi Tim

Why restrict yourself to just the one bank? All lenders have different way of assessing borrowing capacity – chances are there was a lender out there who would have provided the additional $50k.

Cheers

Jamie

Terryw wrote:
Sounds like a main residence to me.

Same. Everyone would be doing this if they could get away with it.

Cheers

Jamie

Best to seek professional advice from an accountant.

If it's genuinely your PPOR than I would have thought it's CGT exempt. However, if your flipping a number of properties while claiming to live in each one – it might be seen as being more commercial (and I'm not suggesting you're doing this – but this question often stems from this…[Read more]

PLC wrote:
You need to get seek professional assistance on this, but from memory if your sole intention is to use the land to build property to rent out, then the loan interest is deductible even if nothing has been constructed yet.

Think there was some tax ruling on it years back.

Cheers

Tom

I'm not an accountant but I recall something…[Read more]

Hi Chanakya

Best to get in touch with Richard and have him structure things correctly from now on.

Here's a blog entry that I wrote which explains your predicament and how to avoid it in the future.

Cheers

Jamie

Have a solicitor draw up the contract, arrange finance, exchange contracts and settle on the property.

Cheers

Jamie

Brokers get paid an upfront and trail commission (some lenders don't pay trail) on the loan.

The level of discount they arrange on the loan has no effect on the commission their paid – not that I know of anyway and certainly not with ANZ.

A decent broker will aim to get the best deal possible for their client irrespective of the commission…[Read more]

LMI is a great tool to utilise for certain investors.

It all comes down to available equity, appetite for risk and overall plan and strategy.

Cheers

Jamie

It makes sense to use the equity in your current property to cover the deposit/costs.

Are you happy to chip in the whole lot for the deposit/costs or would you prefer it to be a more equitable contribution between you and the person your investing with? Sorry if that sounds silly – just difficult to know from the original post if your investing…[Read more]

Hi Sam

Which state is this in? Is it a PPOR or IP?

Cheers

Jamie

Hi and welcome aboard.

Check on this post https://www.propertyinvesting.com/forums/legal-accounting/4347251

Cheers

Jamie

There's lots of different landlord policies out there – shop around.

Make sure you've also covered off building insurance – that's what's most important right now.

Do a search on the forum for previous threads about recommended companies.

Cheers

Jamie

No worries – ill get back to you today.

Cheers

Jamie

Hi Sam

Have you arranged finance? If not, do you have a finance clause in place?

Same applies with building/pest – some buyers make their offers subject to satisfactory building/pest reports. 

Take out insurance on the property if you've gone unconditional on the purchase.

Generally speaking, the period between exchange and settlement involves…[Read more]

I wouldn't bother with online calcs – especially not for an IP purchase. Not very accurate. Banks can vary widely on what they deem a borrowers max capacity to be also.

Cheers

Jamie