Hi All,
Am moving to Mauritius for 3 years (July 2013 to July 2016) for an expat job.
We are renting out our PPOR to tenants from July 2013 onwards and am asking if its worth converting the PPOR P&I loan to a IP I/O loan.
Here is my current financial situation.
PPOR - bought August 2010 for $537,500 - last valuation $573,000, current mortgage at $504,000 (4 mth deferral on payments after child illness and parent illness, was down to $485K), current interest rate 5.41% @ $1409 fortnight - 3+ 1 house
IP - bought November 2007 for $205,000 - last valuation $355,000, current mortgage as an I/O paying about $1000/month, rental pcm is about $1136 after management fees...2 bedroom unit, 1 bathroom.
When we move overseas, other than a recent Baby Bonus, a rental income from IP, we have no Australian income to speak of, so is there any point in turning the interest payments on the recently converted PPOR into deductibles?
Income Overseas will be about $150,000 USD annually.
Hope I've given a pretty good overview for someone to assist.
Am moving to Mauritius for 3 years (July 2013 to July 2016) for an expat job.
We are renting out our PPOR to tenants from July 2013 onwards and am asking if its worth converting the PPOR P&I loan to a IP I/O loan.
Here is my current financial situation.
PPOR - bought August 2010 for $537,500 - last valuation $573,000, current mortgage at $504,000 (4 mth deferral on payments after child illness and parent illness, was down to $485K), current interest rate 5.41% @ $1409 fortnight - 3+ 1 house
IP - bought November 2007 for $205,000 - last valuation $355,000, current mortgage as an I/O paying about $1000/month, rental pcm is about $1136 after management fees...2 bedroom unit, 1 bathroom.
When we move overseas, other than a recent Baby Bonus, a rental income from IP, we have no Australian income to speak of, so is there any point in turning the interest payments on the recently converted PPOR into deductibles?
Income Overseas will be about $150,000 USD annually.
Hope I've given a pretty good overview for someone to assist.