All Topics / Finance / Interest rate’s! Fixed or variable?

Viewing 3 posts - 1 through 3 (of 3 total)
  • Profile photo of jlb2431jlb2431
    Member
    @jlb2431
    Join Date: 2009
    Post Count: 25

    Hi,

    I built a home that was completed 4 months ago and borrowed 90%, it's negative geared and I have gone from a high income earner to alot lower income that I was on (or used to).

    I am now unsure if I should look at fixing the mortgage to restrict any more bad surprises or leave it. I start a new job in a couple of weeks and once I have settled in I would like to have my portfolio assessed to get a basic idea of my options to free up my cash flow and keep investing.

    Any bit of advice or contacts would be appreciated

    J

    Profile photo of ducksterduckster
    Participant
    @duckster
    Join Date: 2004
    Post Count: 1,674

    What you might like to look into is splitting the mortgage up
    As an example
    10% Variable – this allows you to make extra repayments
    30% fixed for 1 year
    30% fixed for 2 years
    30% fixed for 3 years
    This allows you in one years time to fix 30% for one year , two years, three years or have it variable
    in two years time you can fix 30% for one year, two years, three years or have it variable.
    or
    10% Variable – this allows you to make extra repayments
    30% fixed for 2 year
    30% fixed for 3 years
    30% fixed for 4 years

    Are you claiming building costs as depreciation? as it could improve your cash flow !

    Profile photo of jlb2431jlb2431
    Member
    @jlb2431
    Join Date: 2009
    Post Count: 25

    Thanks Duckster,

    I do claim the depreciation, your other suggestions are excellent ideas and will be pursuing them

    Thank you

Viewing 3 posts - 1 through 3 (of 3 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.