Hello!
First and foremost, i'd like to thank all of you folk for all the extremely helpful info you have posted. I'm about to settle on my first investment property(with the FHOG). I started with no knowledge whatsoever on property investment but through this forum and a few other articles on the web, was able to get a firm grasp of some of the strategies one should take. I now know how IPs can be a good investment choice. Seems like I have made some bad choices in the past (blowing 30k+ on a car in my early 20s). Oops.
Anyway, I have decided on St George's Advantage package because it has the offset ability and a decent introductory discount along with a discount for the remainder of the loan.
I have subsequently created a monster spreadsheet where I can plug in all my variables - deposit, forecasted expenses, etc.
The point where I am stuck is choosing how much to put in as a deposit and how much should I put into the offset account initially? Looking at my spreadsheet, depending on the figures I plug into the deposit/offset account, I can make my monthly repayments go up and down. Should I get this as neutral as possible or positive (thus putting in more deposit)?
I guess my goal is to purchase another investment property in 5-7 years time and was wondering if either way makes a big difference on that goal?
I have my spreadsheet if anyone wants a look/scrutinize or needs it for their own experimentation.
Thank you in advance!
Cheers,
Gordon.
First and foremost, i'd like to thank all of you folk for all the extremely helpful info you have posted. I'm about to settle on my first investment property(with the FHOG). I started with no knowledge whatsoever on property investment but through this forum and a few other articles on the web, was able to get a firm grasp of some of the strategies one should take. I now know how IPs can be a good investment choice. Seems like I have made some bad choices in the past (blowing 30k+ on a car in my early 20s). Oops.
Anyway, I have decided on St George's Advantage package because it has the offset ability and a decent introductory discount along with a discount for the remainder of the loan.
I have subsequently created a monster spreadsheet where I can plug in all my variables - deposit, forecasted expenses, etc.
The point where I am stuck is choosing how much to put in as a deposit and how much should I put into the offset account initially? Looking at my spreadsheet, depending on the figures I plug into the deposit/offset account, I can make my monthly repayments go up and down. Should I get this as neutral as possible or positive (thus putting in more deposit)?
I guess my goal is to purchase another investment property in 5-7 years time and was wondering if either way makes a big difference on that goal?
I have my spreadsheet if anyone wants a look/scrutinize or needs it for their own experimentation.
Thank you in advance!
Cheers,
Gordon.