No dramas Zig just if you ever rent the current property out or look to buy another IP and use SGB that is when you will have issues.As i say i like the product if they would only remove the X collateralising clause from their Letter of Offer and Mortgage Docs.

Yes in Vic & Nsw you would be eligible to receive the FHOG on the Possession date.

ZigYou are referring to the St George Portfolio loan under the Advantage Package.The loans HAVE to be cross collateralised as a condittion of the package and is the long term death nail for investors.You would be wise to steer well clear of this product as it will give you nothing but grief the more preporties you purchase.If you ever switch the…[Read more]

Thankfully we switched into shorts over a year ago and am still sitting pretty.Technically we have further to fall and 2800 wont be far away. Dont you love the fact that you can still make money when the market falls in value.

Ok slightly different situation.I do not like the Family Pledge product as it has numorous issues for both parties.You would be better off for your parents to take out a individual loan for 20% of the purchase price and then gift this to you and you arrange a stand alone deal for 80%.That way they can still utilise the balance of the equity in…[Read more]

SoniaDepending on numerous other conditions the fact that he has not been casually employed for 12 months will not necessarily deter a lender from approving a loan.Without the full details it is difficult to provide you with an actual answer but certainly worth further investigation.

GO,Funds invested in a Bank account will at present earn you very little in the way of interest and that interest will of course be considered Taxable income.Even if you have no non deductible liability and on the basis that you do not need the interest to live off the offset funds are effectively paying you interest at the same rate as your home…[Read more]

GO,Funds invested in a Bank account will at present earn you very little in the way of interest and that interest will of course be considered Taxable income.Even if you have no non deductible liability and on the basis that you do not need the interest to live off the offset funds are effectively paying you interest at the same rate as your home…[Read more]

As long as the Title is Freehold then there will be no extra costs.Buildings Insurance will be your responsibility where normally in a Body Corporate arrangement this cost will be covered in the administration fund expenses. 

Hi JasonLMI is a borrowing cost and therefore claimed over a 5 Year period or the term of the loan if shorter.It is proportionalised in the first year so if you settled 1 Jan you would claim the number of days from then to the end of June.Remember you can only claim it once the property is available for rent. 

Current investment rates are less than 5.81% so might want to re-work those figures as the deal will be more attractive.

The cost of the Buildings Insurance and Council rates are passed onto the wrappee either in a lump sum debited to the loan account when they become due or factored monthly into the loan repayments. Remember the Title remains in your name and you will be directly responsible if the property burns to the ground.The loans cannot be cross…[Read more]

If it is positvely geared i would not be buying in your sole name if you are on the top marginal tax rate. Trust structure would certainly be an option.Also look at how you structure the loan to maximise your savings.

BlazeIn essence you have it in 1.

Westpac have withdrawn their 85% no LMI product and ING still charge a risk fee instead.There are a couple of others who will go higher without LMI however as mentioned still charge a fee.Maybe cheaper depending on the loan size and location of the property.

EHCommbank cut their rate discounts as from yesterday.

JaysonSorry mate there lies the problem.Wont get 100% of asking price plus reno costs and cant borrow against post renovation value.After the announcement yesterday about the mortgage insurers re-catorgorising the Countries post codes you might find that 4818 needs at least a 5% deposit maybe more come post March 09.

Yes now Terry is definately correct there.Allow yourself a good 21-28 days if you ever lodge an application with the Dragon.One downside for me is the application has to be done under the Professional Advantage package which means as a condition of future loans they all have to be cross collateralised. 

A valuation is based on recent local comparative sales so should be pretty close to the selling price.I hate doing it but if you cross collateralise you might be able to get 95% on the refi.

In Vic i think you will find that because you get the $3000 boost you dont get an exemption on your stamp duty.