Property settled
Buying in one person's name or jointly doesn't make a massive difference most of the time if both people are working. Generally speaking though if one person is going to cease working (or likely to) it would be best to put the IPs in the main income worker's name and keep the PPOR in the other spouse's name while having both as joint-borrowers.
The plan is I will stop working... once the portfolio can feed me (still long time from now
)
Quick update - the first property settled last week with no issue. Insurance is in place (EBM), property manager is in place (using the property manager from prev. landlord and I just received the first rent... it feels good somehow
The only thing pending is repair + quick reno/ tidy up for the house. This might happen in 12 months or so and I will post some pic when I get some.
Now I am imagining to get IP #2 a bit later in 2014
. Currently just exploring and learning, though, the question is, if I am thinking of either:
1. Buy house, subdivide land and sell the land, or
2. Buy house, subdivide land + build
How much deposit do I need to prepare
Let's say, this imaginary house is $200K
Option 1
10% deposit + costs ~ $30K
Subdivision costs ~ $25K
Selling costs?
Option 2
10% deposit + costs ~ $30K
Subdivision costs ~ $25K
10% of development costs (not sure - what is the allowable LVR from bank?) ~ let's say $2000 per sqm for 100 sqm ~ $20K deposit
Total $75K + selling costs?