Hey guys,
I am looking at buying my next IP but to do this I will have to raise part of the deposit on one house and the rest on a second. My question is when I sell the second house can I, rather then waste money paying of the deposit loan, exchange the security for that loan to the first property. It will still be tax deductable as it is still used to purchase the next IP. Has any one tried restructuring like this and did they have any troubles. I have been told it will mean the loan will be totaly new and will incur costs of a new loan. Is this correct? Of course my intent is to use as much of the funds raised from the sale of the second property to reduce the mortgage on my PPOR. Any info would be appreciated.
Hi goosehead
I think from reading your what you are trying to achive you are referring to a security substitution / portability of loans.
Yes depending on the lender you certainly can but they be better ways around it.
Obviously without further information it is difficult to give you a more detailed answer.
Richard Taylor | Australia's leading private lender
Hi goosehead
I think from reading your what you are trying to achive you are referring to a security substitution / portability of loans.
Yes depending on the lender you certainly can but they be better ways around it.
Obviously without further information it is difficult to give you a more detailed answer.
Richard Taylor | Australia's leading private lender
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