Investing goals

Viewing 7 posts - 1 through 7 (of 7 total)

bla0018
Participant
@bla0018
Join Date: 2014
Post Count: 42
May 22, 2014 - 8:37 pm
Hi all
Just wanted some direction, Im 21 and recently bought a house 2 months ago with my partner for 290k. I have a room mate who pays rent weekly $150.
I have set myself a goal to buy another house next year to rent, one year from purchasing my first house.
I currently have an offset account with an I/O loan for 5 years so I am saving every penny I have got into that and have managed to save 10k
Now my concern is how likely am i going to get another investment loan at 95% lvr with 10% deposit next year?
Is there anything that I should be doing now to better my chances?
What are some issues that I am going to face?
I’m currently fixing up my PPOR hopefully when I refinance in a years time I should get some equity aswell
any insight will be greatly appreciated
Corey Batt
Participant
@cjaysa
Join Date: 2012
Post Count: 1,010
May 22, 2014 - 9:20 pm
So long as you can meet the lending criteria, I can’t see what restriction you may have. If you have sufficient deposit funds and serviceability, you just need to add a suitable property into the mix and you’re on your way.
Will you be investing in an IP by yourself, or with your partner?
Corey Batt | Precision Funding
http://www.precisionfunding.com.au
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Investment Focused Finance Strategist - servicing Australia-wide
Jamie Moore
Participant
@jamie-m
Join Date: 2010
Post Count: 5,069
May 22, 2014 - 9:35 pm
Keep saving and try to boost the deposit. 95% IP lends are harder to come by these days.
If you add some value to your current property, you might be able to access some equity from it.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
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Mortgage Broker assisting clients Australia wide Email: [email protected]
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
May 22, 2014 - 10:53 pm
Regretfully i hate to say it sounds to me like you haven’t structured the initial PPOR loan correctly from day 1 as otherwise subject to serviceability i think you would have been able to go ahead now.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
bla0018
Participant
@bla0018
Join Date: 2014
Post Count: 42
May 22, 2014 - 11:22 pm
So you believe that I could have purchased the second property now if I structured the ppor loan properly ?
And to answer your question Corey I will be investing with my partner.
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
May 22, 2014 - 11:30 pm
Yes i believe you can have purchased a second property if the loan has been structured correctly.
A lot of it boils down to choice of lender and then individual structuring.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Dwight
Participant
@bigvman
Join Date: 2002
Post Count: 42
May 23, 2014 - 9:29 am
I know in my own personal case I found it easier to go back to the well when my properties were producing more cash than the interest payments. So, what can you do – target the highest yielding proprties which will make it easier to accelerate you portfolio growth down the track.
It all gets down to your own personal goals. My goal is to go for multiple cashflow positive – (albeit not big money) properties rather than 1 or 2 that might give me a chunk of capital growth.
Good luck,
Dwight
Dwight
Cashflow Positive Investor