Hi Little

Firstly welcome to the forum and I hope you enjoy your time with us.

Certainly using the right entity is important but setting up the right loan structure is probably more important.

I have to say i see or talk with so many clients that have spent thousands on overpriced Accounting structures only to find out that they cannot finance the deal in such a structure or if they can they end up paying more by way of interest rate or set up fees.

Best port of call is to talk to a good independant mortgage broker someone with a bit of investment experience and get some idea of borrowing capacity and the best way to fund the deal.

Ensure that your investment portfolio are kept well away from your PPOR and ignore whatever your Bank tell you as they are only interested in protecting their interest and not yours.

Hope this helps.

Cheers

Yours in Finance

Hate to say i disagree as infallable has been discharged for 12 months.

Cheers

Yours in Finance

Hi Infallible

Firstly welcome to the forum and I hope you enjoy your time with us.

As long as you have been discharged for 12 months the deal could be done (wont say the interest rate is attractive) although > 2 years would give you greater flexibility.

I am currently in the UK on holiday until the end of January but if you care to drop me an email early Feb be happy to give you some options.

Hate to say you will be paying a little more than 7.2%.

Cheers

Yours in Finance 

Hi Duckster

On the floods wondered how you were coping in your part of town.

I am in the UK on holiday and understand that Chapel Hill is ok albeiit a little damp.
Had an email from one of our property managers to say that of my IP's are ok in Taringa / Toowong although a couple of the houses are flooded.

Not sure whether i really want to see what  i come back to at the end of Jan.

Cheers

Yours in Finance 

Hi Michael & Browyn

Hate to say you are mistaken.

A SMSF is allowed to borrow to purchase a property and there are a couple of ways to do it.

We have many clients we have assisted in purchasing property both here in Australia, USA and the UK within a SMSF.

Cheers

Yours in Finance
 

Hate to disagree with Euro but there are certainly several lenders who will do 90% on a NRAS property.

Have settled a number of them and both mortgage insurers are ok.

Cheers

Yours in Finance

Hi Gcp

Hate to put a downer on your loan structure but the last thing i would do is utilise a LOC for an investment property.

A simple straight forward interest only loan would be far the best type of loan and surpluis unused funds could be deposited into a 100% offset account.

Interest will be deductible if the funds are used for capital improvements or improvements.

Cheers

Yours in Finance

Hi Hillcam

Firstly welcome to the forum and i hope you enjoy your time with us.

1. There has been many previous posts regarding the pro's and cons of NRAS so might be easier to do a search and read some of the previous comments.
2. Interest only  V P & I loans. There are pluses and minuses of both however where you have a home loan on your PPOR with the interest being non deductible it is better to consider an interest only loan.
3. Again without knowing the full facts it is difficult to provide a recommendation.
   What  you need to consider is:
   A) You are unable to claim the negative gearing on the property (assuming the property is negatively geared) when the property
       is purchased in a Discretionary Family Trust.
   Land Tax maybe payable where the property is purchased in Trust  as there is no exemption. (This may vary from State to
       State).
   C) Many lenders will have an issue in financing the property thru a Unit or Hybrid Trust.
  
Of course buying in Trust does have other benefits which are worth considering.

4. Structuring the deal is probably the most important part of funding the deal to ensure you maximise your deductions and reduce your risk. Do not use any redraw facility available on your current loan as the interest will not be deductible.

Serviceabiliity is key under the new Credit Act however there is no reason with you both working why an IP is out of the question.
Without further information it is difficult to assess.

A good independant mortgage broker should be able to provide you with further option and structured advice.

Cheers

Yours in Finance
 

Hi Priz

Hard one to answer as it all depends on who you are currently with and what are your current requirements.

In most cases we find that we are able to not only save the client money with a more competitive loan product but also by splitting the loan between separate lenders find that the loan can be structured correctly.

Cheers

Yours in Finance

Hi Christine

Firstly welcome to the forum and i hope you enjoy your time with us.

I am actually in the UK on holiday until the end of January but still working away so feel free to drop me an email.

Be suprised how many clients similar to yourself i have had in the same boat.

If the numbers stack up then definately could be a good deal.

Cheers

Yours in Finance