Hi,
A friend of mine has been investing for a little while, and now has 8 properties. I have been asking him a few questions as I’m looking to start, and he has advised me to get Interest Only loans. He says he didn’t at first because he was worried he would not get a capital gain, but now thinks that’s something he can bank on, and the extra cashflow means you can grow faster.
Thoughts?
Hi stu_macca,
Definitely, Interest Only is the way to go. It doesn’t stop you from making excess repayments (if you wish to) but doesn’t force you to make Principal repayments.
Sanjiv
*******“There is no passion to be found playing small – in settling for a life that is less than the one you are capable of living.†– Nelson Mandela
Also structured correctly you can get the best of both worlds.
Utilise a 100% offset account you will get an interest reduction each month on your savings as well as greater cash flow.
Cheers
Richard Taylor
Residential & Commercial Finance Broker.
Licensed Financial Planner. Ph: 07 3720 1888
[email protected]
Looking for life cover – We Guarantee to beat any quote you have in writing.Richard Taylor | Australia's leading private lender
I agree
Terryw
Discover Home Loans
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Send an email to get my newsletter.Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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