I am thinking to buy an investment property. I am about to set up one LOC, using equity of my PPOR, to pay both:
- A) 20% deposit of investment property purchase price and
all acquisition costs (like stamp duties, title search, solicitor fee, etc.)
Can you advise me, please, is there any advantage in setting up two separate Line of Credits (LOC1 for A, LOC2 for
?!Hi Yuri,
Good to see you're using the equity in your home to further your own wealth and best of luck with the journey.
You can set up two accounts but there's really no need. In some cases (say with St George) you can set up a single line of credit (Portfolio account) and have several sub-accounts under it. Best to have these set as I/O (and capitalising if you wish), while continue to put your remaining capital into your PPOR.
From a tax POV I don't think there is any real need to keep these separate.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
all acquisition costs (like stamp duties, title search, solicitor fee, etc.)
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