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That's pretty much it. You can fully fund a new purchase in 2 ways: Crossing: 105% loan using new purchase and other property as security. Structuring: 25% equity loan (deposit & costs) against other property, 80% loan against new property. Either way you still borrow the same amount...

You're borrowing the same amount of money overall, regardless of which property the money is secured against. From a big picture perspective your total cash flow should not be any difference assuming the interest rates are the same across all loans. You need to refinance the properties...

Hi Nick, Using your equity will get you there quicker, but as you say, it means you won't have that equity for another IP later on. The LMI saving is nothing to sneeze at either. LMI can help you get ahead faster, but you wouldn't want to pay it if you don't have to. If you do decide...