Cross collaterising

Viewing 3 posts - 1 through 3 (of 3 total)

simondema
Participant
@simondema
Join Date: 2004
Post Count: 43
March 1, 2007 - 9:17 am
Hi all
How would we go about setting ourselves up.
We have a property in Clovelly which is our PPOR.
We owe 50K on it and want to start building up a property portfolio. We don’t want to cross collateralise, as we want the new properties to stand alone.
We would like to purchase properties which will give us adequate rental returns (4%-5%), in areas which in the future will see capital growth.
Any suggestions on the best way of seeting up the loans.
Thank you
Simon
Kipper57
Member
@kipper57
Join Date: 2006
Post Count: 252
March 1, 2007 - 9:38 am
Hi Simon
There are a lot of considerations when structering your loans which need not be discussed for all to see. Why dont you use a mortgage broker to assist you most provide a free service and not only should they help you structure the loan but should take you through the whole process of settling.
There are many brokers on this site to choose from
Wayne
Mortgage Adviser
Email [email protected]
http://www.alphamortgagesolutions.com.au
First home buyers, investors, refinace, loan consolidation, equity loans, free service we come to you!
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
March 1, 2007 - 1:27 pm
Generally you should probably just get a LOC on your property and keep the existing loan separate.
You then use this LOC to pay for the 20% deposits and stamp duty costs etc for each new investment purchase.
Terryw
Discover Home Loans
[email protected]
Send an email to get my newsletter.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au