Recent content by Europa

Thanks all, I had suggested that to keep it as clean as possible they should have different lenders for the IP and PPOR, but due to timeframe and wanting to take advantage of the package 'discount' for the larger borrowing they are still wanting to go with ING and the 'splits' for both...

Not me but on behalf of a family member.. Situation as follows: Currently own PPOR outright although there is a small redraw still available on fully paid off mortgage. Recently purchased an IP at auction, currently in settlement period. 5% deposit on exchange of IP contracts was...

Most important step is no.1... sketch out your new design showing where you want new mixers/taps, wastes, gpos, towel rails, vanity, toilet , bath etc to make sure you get your spacings right and your design 'works' Are the walls sheeted or rendered brick? Older villaboard sheeted bathrooms had...

They do, it's called the 'Complete Home Loan' and for loan over $500k@80%LVR will give you current variable rate of 4.79% (which you may also be able to reduce slightly) and it allows you to set up multiple loans with attached offsets.

mmmk, anything else I should be aware of with them??

Lender is Bankwest.

Hi, yes my lender can set up like this and an internet redraw can be made directly from the investment loan however there are daily limits ($15k?). To write a cheque for a deposit they advise the money must be redrawn into an offset hence creating my complication.

Hi Terry, I guess from your answer you could see some issues with this? Initial purpose of draw-down was not investment as money went into a 'savings' account to draw cheque?? Other than a LOC how else can this be done? Do other lenders allow cheques to be drawn straight from the loan? If...

Sounds like a standard strategy, just wanted to run it past a few of you to see if there are any holes. Living in PPOR, looking to buy IP. Lender has advised that they can reval and top-up the PPOR to 80%LVR and create a split loan (existing loan with offset and new loan with an offset)...

Thanks, so if they take an LOC against the IP and then use that to pay for the IP's expenses then the interest on the amount used in the LOC becomes deductible? purpose of borrowings=costs of IP.. So effectively, instead of using 'cash' to pay IP expenses they can place the cash into the PPOR...

Thanks all, As I had told them, there doesn't seem like much they can do. Costly lesson in planning ahead to ensure maximum flexibility when choosing loan arrangements..

Hi all, Posting on behalf of a family member in the following situation which I imagine is fairl common. Currently live in PPOR, loan principal fully paid down (no offset) but still active and redraw available Want to buy a new PPOR and convert existing PPOR into IP Obviously they can't...

yes, problem is that there are literally hundreds if not thousands of people in Sydney looking to do the exact same thing so chances that you find something that is attractively priced, stacks up well that no one else has stumbled across are slim.

Lender is BankWest.. BTW thanks for all your responses.

So if the funds stay in the 'loan account' available for redraw I should be ok? That's what my accoutnant has said who also added why bother until you know you need the money directly for investment purposes, then there will be no issue tracing the purpose of the redraw. My answer obviously...