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Agree with Pete, furthermore Rather then paying for investment property expenses from your $$$ which again increases your interest charged against your PPOR. You could borrow funds to use for IP expenses and keep your $$$ in the offset. So instead of using $$$ from offset...

Debt recyling - decreasing your PPOR debt and increasing your IP debt. Rather then using $$$ from offset as deposit you decrease your PPOR debt and borrow the funds as a seperate loan to be used for the IP therefor tax deductable. Purchase Price $263,000 Purchase costs for the...

Lost track with the shapes. Can you please clarify current value of PPOR - what LVR are you?