All Topics / Finance / control over IP

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  • Profile photo of deeptangshudeeptangshu
    Member
    @deeptangshu
    Join Date: 2007
    Post Count: 6

    Hello Community

    I am new here, having recently started into property investment. I am 32 and plan to add another 3 or 4 properties – I had a very simplistic question – If I decide to sell my first IP in 3 or 4 years and then use this cash to reinvest, do I need to take any approval from the bank ?

    thanks and cheers

    D

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,018

    D

    No as long as the securities are not X Collaterailised where you may have to offer additional security by way of cash or property and the sale price will clear the loan the lender will have no say in what you sell the property for.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of MortgagemanMortgageman
    Participant
    @mortgageman
    Join Date: 2004
    Post Count: 164

    Hi D,

    I'm not sure that I understood your question properly, but if you borrow to buy future properties, yes you will need another approval from the bank at that stage. If you are talking about whether you need any approval from the bank as to putting cash proceeds from your sale towards buying another property, no what you do with your cash at that stage is your business. 
     

     
    Kind Regards, 

    Cameron Perry
    Director
    Perry Financial Strategies
    Level 13, 30 Collins St
    Melbourne VIC 3000
    Ph (03) 9662 1999
    Fax (03) 9662 2044

    Profile photo of deeptangshudeeptangshu
    Member
    @deeptangshu
    Join Date: 2007
    Post Count: 6

    sorry guys for being unclear.

    I meant that if the bank has any say on when and how I sell the IP, to generate cash for whatever purpose.

    D

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,018

    Hopefully i answered this in my earlier response.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

Viewing 5 posts - 1 through 5 (of 5 total)

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