Just wondering how I should set up my next loan for PPOR. We have land loan – $90,000, worth about $550,000. We have a redraw on this loan of $200,000. This loan is secured against IP. We will be building soon and not sure how to set up next loan. We will need to borrow another $400,000. Should we go to another bank, use some redraw for deposit and have house as stand alone. Thats how I thought would be best option but wondering if there are any other suggestions.
If I did this we would probably pay off land loan quickly. Any advice would be appreciated
Thanks
Hi thirsty
Personally i would like to see the land loan secured against the property itself to free up the equity in the investment property for further investment.
Transfer the land loan and then set up a standard construction loan to complete the building.
Richard Taylor | Australia's leading private lender
Yep. Yep. No worries. Consider it done. Thanks very much.
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