Hi all. We are dipping into the great unknown of IP. Have gone to a number of select lenders who have all pre approved us. The problem is, none seem to offer 95% loans on investment properties that are interest only. They only do that on 90% loans. Although we have the deposit for that, we are reluctant to use all our savings on the the 10% down plan. I realise the tax incentives for interest only, and that you cant claim on the principle if you take out an interest and principle loan, but for availablity of a $95% loan, and the minimal principle payments you repay in the first 5 years, does a principle and interest loan with 95% sound more attractive ??
DAB
hard to answer without all the facts. 90% is quite an agressive lend anyway – do you really want to go higher? is this on a neg gear or pos cashflow property? how much is the property you are buying?
http://www.megapropertygroup.comINVESTMENT SALES * RENTAL SOLUTIONS * STRATA MANAGEMENT
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