Just because you are on maternity leave doesn't mean you cannot refinance specifically. 

On another note im going to correct myself. Option 1 isn't a good option as I thought you were trying to stay under 80% instead of 90% so LMI would be payable again if you move lenders. Not a good option.

Definitely get your broker to question and challenge…[Read more]

Im a massive duplex fan too. However you need to be very careful with the numbers if the land value is low. The other major factor is the council you that you are dealing with.

Regards

Shahin

Ok so you have done the cashflow numbers but what do the total construction costs vs resale/value look like?

Regards

Shahin

How much are the holding costs per week (not just the mortgage repayments but everything)?

Regards

Shahin

You have 2 options:

Option 1: Yes you can challenge it but you need at least 3 comparable sales and they need to be no older than 6 months. You are also looking to increase the value of a further 3% and you should tell the valuer this. Have you done any renos to the property? This can occasionally get you over the line.

Option 2: Refinance and…[Read more]

Northern suburbs of where?

Regards

Shahin

It depends on the number of properties. Also do you have SMSF related structures?

Regards

Shahin

Get yourself onto both a town planner and the local council.

Also have you done the numbers to see whether you will make money? Are you across all the costs associated with a development?

Regards

Shahin

Can you someone how develop the property? Renovate? Add a Granny Flat? 

Regards

Shahin

Ok in that case your biggest hurdle in the short to meduim term is not necessarily going to be cashflow but more so equity and savings. Therefore you may want to consider having your deposit as liquid as possible so that equity is available for subsequent purchases. This means that you will want to have the 'cash' sitting in your offset account…[Read more]

Also how long are you planning to be in your current PPOR?

Regards

Shahin

Common way of calculating equity but not quite the correct way.

You can borrow up to 80% of the value of the property minus any existing debts you have on the property. So let's say that your property is worth $600k, then at 80% lend the equity you have is $480k minus the existing loan of $125k leaving you with an equity of…[Read more]

How are you calculating equity? Also is capital growth in the plans or are you only looking at cash flow?

Regards

Shahin

The answer to your question is dependent on what your investment (whether thats inside or outside of property) is for the next x years. 

Are you planning to purchase your next IP or invest the money within the next say 3-5 years?

Regards

Shahin

Why did it take you 3 years to renovate? What problem did you encounter?

Regards

Shahin

I would give DHA properties a miss from a capital growth perspective. I am yet to see a DHA property that 'has done well'. 

There are different strategies to get what you are looking which is the rental guarantee however don't overlook capital growth and the strategies associated with this, such as but not limited to, renovation, subdivision and…[Read more]

Termites are everywhere but yep so important to invest $500 and do a building and pest inspection. One more question – what's the rental market like in those areas? IS there a lot of demand?

Regards

Shahin

You need to be very careful of how you structure your loan – I am smelling trouble.

You have a few options – I would prefer a standalone facility (variable loan) with a linked offset. Have the funds sitting in the offset until you need to use it for the new purchase.

This whole thing looks like it was done badly especially if they are talking…[Read more]

Deposit Power will provide you with a temporary cheque deposit which you can provide to the agent. This is if you don't have a deposit until settlement. The fee for this is 1.2% of the deposit amount. So if the deposit amount is $40,000 then its $40,000 x 1.2% = $480. Please note that this is payable at settlement. Approval will take around 24…[Read more]

Hi Poppy,

The Hills is ok I believe but I have never developed within the council. The councils to stay clear from due to their ridiculous (but of course intention planning) is Kuring gai, Warringah and Waverly councils.

Have you look at the DA guide for Dual Occupancy? Is it attached or detached? Have you considered engaging a Town…[Read more]