Have 4 investment properties being rented at well over1% of the purchase price. 300k in equity.
I am completely maxed out on serviceability and cannot meet requirements for lending bodies based on income thanks to APRA changing the rules.
Would appreciate some ideas so I can continue to grow my portfolio.
It would depend on how you are set up now.
PI loans can help
Related party loans can help
joint purchasing could help
sale of one or more could help – but consider whether you could borrow to buy the replacement
It’s certainly worth getting a second opinion, but at some stage all residential property investors hit a funding wall. This doesn’t mean you have to stop investing, you may have to change your strategy though. A lot of successful investors end up moving to development or commercial property as an example.
Huilo, the borrowing capacity with many lenders for SMSF is calculated completely different to your personal name – the contributions are counted as income and in many cases your personal A&L is disregarded for servicing. This is an area we’re seeing a lot of clients venture into to increase their portfolios through a tax effective vehicle.
I see, these contributions how long do you have to wait for it to be considered income? etc i put 1k into super a week only want to do this for 1-3 months to show my super can purchase a property and then i’d stop making the 1k contribution.
also biggest downside is you have to wait till like 55-70 to access it right?