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Just administratively is it simple to payback the variable loan and then get the new top up loan of a larger amount. Do banks do these sort of changes often and its administratively quick and simple?

Thanks very much for the explanation, really well explained. So you can pay back principal of a variable loan at any point in time can you, and the costs are minimal? Yours is a great point, you don't change the debt you just change the use of the debt, swapping use from PPOR to IP to achieve...

Thanks how does this work, PPOR debt is already reduced/offset through funds in offset account. Could you explain how the mechanics work?

A related question. I'm looking at borrowing against increased val for PPOR and a second loan to buy a new IP. I'll likely need to use some existing cash as well to meet 20% deposit. It would obviously be preferable to get a larger second loan rather than use existing cash because it would...

Thanks for the quick response. I thought generally banks get more conservative on LVRs as their existing debt exposure with the customer increases, however does this just really kick in at higher levels say $2m+ in debt. Given this I thought we may have less LVR/income requirements with a...

Thanks very much for the great feedback. On the additional interesting only variable loan with a linked offset account. We would likely place the funds in an offset account until a property is purchased, thereby not incurring any interest. Once a property is purchased these funds would be...

Thanks for the feedback. When the fixed rate loan ends why would it be be better to combine two of the loans and not the third new loan as well? Cheers.

Thanks very much for your feedback, so I can just get an additional variable rate loan with an offset account. What is the name for this type of loan? Is having the three loans on the property create any additional complications? Once the fixed rate loan concludes in 3yrs it would be easiest...

Hi All, I have a PPOR that has a 25% variable loan, 75% fixed loan. Our property has gone up around 20%-25% and we want to unlock some of the capital to use as a deposit for another property. The issue we have is the break fee on the fixed loan is considerable, there's 1.5yrs left on the...