No you cant get 100% lvr so unless you use some cash then you will need to gear against the PPOR.

I just wouldnt cross collateralise the 2 securities and hence would split between 2 lenders.

Dont forget you need to have the Trust set up before you enter into the Contract.

Cheers

Yours in Finance

Personally i would split the loans.

80% secured against the IP with 1 lender where you could look at a fixed or variable rate and 20% plus costs secured your PPOR with another lender with 100% offset account.

As the value of the IP increases shift the debt onto the IP and start again with another property.

Couple of little bits you could do with regards to possibly prepaying interest but all in all it depends largely on the property itself.

I am assuming you that the property is still negatively geared and you are buying it in your name ?

Cheers

Yours in Finance

Agree with Terry buying in Trust has a lot of benefits but wont assist you in increasing your borrowing capacity.

If you need to claim the negative gearing then maybe buying in your own names is the way to go for the next deal.

Whilst your current properties are increasing in value you may have to use your own cash reserves for the forthcoming purchase to allow for equity to build up. 

If you dont mind copping a bit of LMI then you can still get a 95% lvr on interest only for an IP with the LMI capped to a maximum 97% lvr. This may assist you in spreading your savings a little further.

Cheers

Yours in Finance

Sorry but this is clearly incorrect.

You can't get finance for homes in the U.S.

You can but you just need to know where to look.

Cheers

Yours in Finance

Hi Ruth

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

Why oh why oh why would you ever pay a lump sum into an investment loan and then borrow 100% of the total cost.

Firstly the only way to do this is to cross collateralise the securities, secondly you would look to place it in an offset account if you didnt have a PPOR loan and thirdly you would use it as deposit rather than pay it into the loan assuming the other 2 points were clarified.

I have to say it doesnt sound like your current Mortgage Broker has any idea about investment structures especially if he / she is suggesting you cross the loans.

Cheers

Yours in Finance

Leonie Dixon at
 

CSM Conveyancing

6 / 82 City Road

BEENLEIGH

Q   4207

Fax – 3807 3841

Ph: 3807 2233 (office)

Email – [email protected]

Tell her i sent you and she will look after you.

Cheers

Yours in Finance

Hi Steve

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

Personally i would never use cash or personal savings for investment especially when you have non deductible debt.

If you are wishing to use the funds for investment you would better off to pay down the home loan by $70K and then take out a separate investment loan for the same amount. This way the interest on the loan becomes a deductoble expense against your against your other income as the purpose of the funds was for investment.

Many lenders think you can merely use a redraw facility however this structure does not help you separate the debt and the interest will be contaminated.

Your Mortgage Broker should be able to set the structure up correctly for you to avoid future issues.

Cheers

Yours in Finance

Happy to refer you both to my Conveyancer here in Brissie as she covers the whole of Qld.

She has acted for me on around 200 purchases and is excellent.

Let us know and I will post here details.

Cheers

Yours in Finance

Tiffany

Yes get your mortgage broker to order a valuation from an acceptable valuer of the Bank with whom the finance is being arranged. Almost imperative on any Auction deal.

Cheers

Yours in Finance 

Hi Rick

Yes the new Credit laws have curtailed some of the Nodoc / Lodoc lending however in saying that there are still plenty of excellent products out there that require varying levels of documentation from "stated income" to the odd BAS statement to merely holding an ABN for greater than 6 months.

I would need a little more information to tell you whether i feel the deal can be done but in all honesty most deals can be done some way. Feel free to drop me an email if you want me to cast an eye over the deal i slightly more depth.

Cheers

Yours in Finance