We purchased our first investment propery 6 months ago and now want to expand and increase our portfolio but am unsure about a couple of things.
I am wondering how to go about getting more money from the bank as we are hovering around the 15-20% equity mark and are not sure if by going for another property will be trying to go to big to quickBeing that the equity is this any suggestions about avoiding mortgage insurance would be great.
Our 1st property returns $15/week mor than the mortgage any advice on where to go next would be appreciated
Regards
Boardy
Boardy.
If the overall equity position see the new borrowing at more than 80% you wont avoid LMI.
If there is sufficient growth in the IP you can draw more funds without LMI but you know this already.
Note be too worried about avoiding LMI, it is there to allow you to do exactly this. If the numbers aren’t too hign then it wont be too much. Some lenders even allow you to add it to the loan giving a potential borrowing of about 95%.
If you can provide some figures, either here or by email I can give you an idea of what you might incur.
Cheers,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Hi Boardy
“Our 1st property returns $15/week mor than the mortgage any advice on where to go next would be appreciated”
Try a few banks and/or mortgage brokers to find out where you stand with borrowing more money.
Regards
Judi
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