IP?

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

property_avid
Participant
@property_avid
Join Date: 2005
Post Count: 47
October 6, 2009 - 5:33 pm
Dear all,
I am new to property investing. This may sound silly, but I really want to get my terminology right, does IP stand for Investment Property? Where can I learn all of these terminologies from?
Thank you beforehand,
Ricky
property_avid | NA
hydramax
Participant
@hydramax
Join Date: 2009
Post Count: 47
October 6, 2009 - 8:57 pm
IP     Investment Property
PPOR     Principle Place Of Residence
LOC        Line Of Credit
IO            Interest Only
P&I         Principal & Interest
LVR       Loan/Value Ratio
Just a few, log on regularly and you will soon pick up the lingo
Good Luck.
Hydra
property_avid
Participant
@property_avid
Join Date: 2005
Post Count: 47
October 7, 2009 - 3:38 pm
Thank you, Hydra
property_avid | NA
property_avid
Participant
@property_avid
Join Date: 2005
Post Count: 47
October 7, 2009 - 3:39 pm
One more thing, can anyone over here please explain how LOC works?
property_avid | NA
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
October 8, 2009 - 12:10 am
An LOC or a Line of Credit is a secured loan facility whereby the lender approves a credit limit at a given rate over a given period of time although only charges interest once funds are drawn down on a daily basis.
Assume you have a limit of $50,000 and use $20,000 on the 15th of the month then you are charged interest for 16 days.
You may pay the $20,000 back on the 7th of the following month and therefore would be charged for the 7 days.
It is a revolving facility which means you can draw down and pay it back when you need to and as a consequence is extremely flexible.
Richard Taylor | Australia's leading private lender