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Hi Gazza
I’m new to this forum, so I apologise if I shouldn’t be answering your question. However, I hope I can provide some clarity…
Equity required for new IP
Equity is equal to the current value of properties minus any outstanding mortgages. With that in mind, then you should be able to access up to 80% of your properties value minus any outstanding mortgages from the majority of lenders with ease.Once this figure is established, compare it to the deposit required and closing costs of the prospective investment property. The aim being to use your current equity to cover these costs and to take out a new mortgage on the new investment property.
Loan to Value
Simply the amount of the loan as a ratio of the value of the property. Therefore, as 1(loan):2(value) is equal to the value being double that of the loan, all that is required is to divide the value amount by the loan amount.Valuation
You seem to have grasped this concept in whole. There is no scientific way to provide a valuation as it comes down to supply and demand. So your best guide will be the real estate pages, with actual sales figures available from websites for a small fee grouped into different classes.Hope this helps in some small way