Has any one dealt with Australian First Mortgage?
- Thread starter Project M
- Start date
Recently, I am considering to refinance and my broker offered me AFM product at variable 5.9% with title insurance $200 and everything else such as application fee all nil.
My question is has any one here had experience with them and their product? Thanks
likely Advantedge product, backed by NAB
Its ok aslong as u dont need offset
AFM is one of my preferred mortgage managers
ta
rolf
Good points in relation to offset acc. Thanks for sharing your experience Rolf and Aaron. My broker told me offset is esstencially the same as the redraw facilities if the fund is used for investment. Is there a different tax implications between the two? I felt not the same some how from the vogue recollection of the tax office reading.
What do you think?
What do you think?
Well it's not the same at all for tax purposes.
However, if you have another loan that has an offset account you could put extra money into that one rather than rely on the AFM one.
There's a substantial difference between offset accounts and redraw in their treatment for deductable and non deductable loans. The difference may be academic depending on your circumstances or it may be critical.
There's also been a lot of threads in the property finance section about this topic.
There's also been a lot of threads in the property finance section about this topic.
Friggin hell!
Technically correct, no? If the redrawn funds are used for income-producing activities, then the deductability of the interest shouldn't be in question. And the interest impact on the outstanding balance is the same for offset and redraw.
(Having said that, I KNOW the difference and wouldn't choose redraw!
)Technically correct, no? If the redrawn funds are used for income-producing activities, then the deductability of the interest shouldn't be in question. And the interest impact on the outstanding balance is the same for offset and redraw.
(Having said that, I KNOW the difference and wouldn't choose redraw!
sure............ but thats like saying,dont need a seatbelt, coz 999.9 % of the time you wont crash.
Its not the known bits that gets us into trouble, its where we think we are fine under our DEFINED conditions and the conds change .........
ta
rolf
Nice analogy!
sigh...sounds like a broker with no IP experience or IP tax knowledge and a type that only looks at the "lowest rate"....
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