OK thanks guys for the advice. At the time of taking out the loan it had a good interest rate but I was unable to have an off set account. Not to worry, learn from your mistakes. I think the car can wait.
I used pool chlorine mixed with water and worked pretty well. Just disconnect your down pipes to keep it on the property. If it is too established then you may have to get onto. The chlorine can be sprayed from the ground.
Yes doing it as my 13-14 income will be considerably higher than next years due to losing hours at work, otherwise I would just go the normal fixed rate
Ollie
Thanks Benny, that would be good and would definitely take the pressure off. The accountant said needed to have the funds drawn down to accrue the interest. Well check again
I’m currently in this situation on a interest in advance loan trying to get it all sorted before July 1 due to my 13-14 tax advantages, it is doable as long as you get an unconditional loan agreement and the vendor is keen to off load the property?
Yes sounds right, off to the accountant on Monday to have it all sorted. My next big question is since moving in we have spent 120k on renovations so the house price has gone up is that included in the CG? I have kept all invoices just incase.
Cheers, lucky I have kept good records plus living in it for 8 years will reduce the CG. Will be searching for a good property accountant today to help reduce my CG.
Yes I think I will reevaluate my position. Was contemplating buying a duplex as it doesn’t have any strata and invest the rest into a managed fund that way I will diversify my funds ? Time to sit back and read and learn
Thanks for the rethink Richard. Went back over my calculations to get my net yield and had made a small error but only increased the outcome slightly to 5.1%. But your comments have me wondering if the other property in a less then desirable street with a yield of 7.3% would be better? I’m yet to sign anything so not too late to re-evaluate. Will give me something to do on Sunday.
Thanks once again and value the feedback.
Thank you all for the knowledge and advice. I have decided to purchase my first IP instead of the managed fund option. I have placed an offer on a unit in a small complex which I believe has good capital growth. The rental yield after body corporate fees is in the low 4 % which I’m ok with as it is the capital and the chance to borrow against for IP 2. But have to start reading on how to do it correctly before anymore purchases.
