3 and 5 year fixed rate thread
- Thread starter lizzie
- Start date
Strategy number 23c.
Sell my PPOR, this will help fund the renovations and give me money to live on. Work out which IP will have the best potentual then get it valued for CGT. After 10 or so years of being rented the properties will be screaming for some TLC. Do the renovations and sell. Then move to the next one, etc. Could this work? I know I won't be able to avoid all of the CGT but would love to keep it to a minimum.
Sell my PPOR, this will help fund the renovations and give me money to live on. Work out which IP will have the best potentual then get it valued for CGT. After 10 or so years of being rented the properties will be screaming for some TLC. Do the renovations and sell. Then move to the next one, etc. Could this work? I know I won't be able to avoid all of the CGT but would love to keep it to a minimum.
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What is everyone's thoughts on NAB's 5 year fixed rate of 5.55%
I know its a big commitment as a lot can change in 5 years time, but seeing how interest rates have been over the last 20 years or so years you assume we wont be at such a low for another 5 years. Who knows but what do you guys think?
I know its a big commitment as a lot can change in 5 years time, but seeing how interest rates have been over the last 20 years or so years you assume we wont be at such a low for another 5 years. Who knows but what do you guys think?
it's tempting I agree, however the economy is tanking in a major way and the political environent getting worse by the day. I see a need for some drastic rate cutting, so personally I would fix for 1 year (which is what I did) as you get an immedite rate cut and by the time the election is out the way and confidence returns your 1 year will almost be up and you have had the benefit of an immediate rate cut without the risk of a long lock in
Its a great rate, but are you sure enough of your circumstances to lock in that far ahead?
I agree. Development work in the mining industry in next to kaput. Very few new projects coming along after the ones already in train. Without mining investment propping things up (including the Budget) as the existing projects move through we are going to have to do what everyone else is doing to be competitive - drop interest rates! And increase productivity - our next national conversation.
Just watch the AUD. I'd be taking some positions in USD if I wasn't buying more property. At least it should make the south eastern states a bit more competitive...
Of course lower IRs will light a fire under property prices but that's gotta take second place to keeping the economy alive in the eyes of the RBA. And inflation is already at the bottom end of their band. Hard to see IRs getting off the floor for some time to come but anything is possible in this game!
And yes, locking in that far ahead has implications in terms of financial flexibility - it locks you to one lender and don't they know it!
Fixed rate flexibility
Good morning, just a quick one thinking about going fixed with ANZ 3yr. I have one loan split into 2 both secured by the same property. I am quite sure its just a offset acc. If i fix but keep the smaller loan at a variable rate can i still access equity during the next 3 years? Thanks for your help.
Good morning, just a quick one thinking about going fixed with ANZ 3yr. I have one loan split into 2 both secured by the same property. I am quite sure its just a offset acc. If i fix but keep the smaller loan at a variable rate can i still access equity during the next 3 years? Thanks for your help.
suncorp now at
As part of the Home Package Plus, LVR 80% or below#.
Fixed Products New interest rate* Comparison rate** Movement
3 Year Fixed Rate 5.05% p.a# 6.43% p.a. -0.14% p.a.
Id expect more softening of rates as more of the "quarantined" news of the real state of the economy comes out. We arent going through race away inflation thats for sure
ta
rolf
As part of the Home Package Plus, LVR 80% or below#.
Fixed Products New interest rate* Comparison rate** Movement
3 Year Fixed Rate 5.05% p.a# 6.43% p.a. -0.14% p.a.
Id expect more softening of rates as more of the "quarantined" news of the real state of the economy comes out. We arent going through race away inflation thats for sure
ta
rolf
the swap rates have moved back to where they were around a month ago so maybe a bit more but would have to see how everything goes in the coming weeks and months. 4.89 for 2 years and 4.99 for 3 years is really good value.
Fast Lend have 4.99% for 3 years (for LVR's under 75%)
http://www.fastlend.com.au/pdfs/FASTLendInterestRateSheet.pdf
http://www.fastlend.com.au/pdfs/FASTLendInterestRateSheet.pdf
You never know.
Few ppl on this forum got the blinkers on with regards to economy......like that dude in the "we're building towards a construction boom" thread - he just can't let go.....it's all perma-bulls stuff for these guys while around them it's going belly up.
Here's two very simple and very current examples of what it's REALLY like out there:
1) just got my haircut, talking to owner, chit chat about the state economy...she says her rep today said he's worried about his job as business is very bad....no one wants to buy supplies becuase less ppl are getting their hair cut....say's its bad in Brisbane and it's brutal on the Goldy.
2) my current contract is due for extension (I work in the Oil & Gas industry)....talking to my recruitment agent yesterday.....start talking about rates and what the market is like....he said his agency (think someone at the level of Talent 2, Davidson, Candle, etc) received a memo from RIO HR stating they are seeking a drop in rates for several contractors who contracts are about to come up for renew....he said that's a first and worrying for the industry
oh and I forgot, the main guage for a crippled economy....
3) RBA continuing to cut rates.
House prices rising / semi-boom my a**!
Its definitely a 2 tier economy. Property values in your neck of the wood certainly isn't what its like here in Perth. Im certainly glad I planned our portfolio for it though by structuring holdings across Australia.
Another example: a relative who hires mining staff said that business has dropped markedly since this time last year.
I've just fixed 2 loans at 4.99%/5.09% for 2 years. I'm wondering whether I've done the right thing because 2 and 3 year rates could easily be 4.5% by end of year.
Official unemployment rate has gone down from 5.6% to 5.5%. Does that mean that the economy is getting better or is it statistical nonsense?
