From: Rae B
Hi all,
I am just playing around with some ideas and would like some advice or way out thinking to help me dream more.
The situation is this: I control three IP's (one -ve & 2 +ve - all IO). I have also recently (8mths) purchased PPOR and am renting half of it. I currently earn $45k and have no other debts except for four mortgages. I am currently in East Timor saving heaps of dollars with the Army (approx $30k at completion of 6mth tour). At this point in time I will be in the Bne area for another two years before re-posting.
What I am playing around with:
Scenario #1: Refinance P&I on PPOR in Sep once honeymoon period expires to IO fixed for 3-5yrs. Using extra Timor savings to lower LVR down until property is neutrally geared at current market rental for area. Thus releasing extra cash flow to service future IP purchases.
Scenario #2: Continue to pay off P&I on PPOR until I depart Bne location (either paying Timor funds off loan or leave sitting in 100% Offset a/c). Then use extra equity to finance future IPs.
Are there any scenarios I haven't thought of?
Any thoughts will be appreciated. I will be tracking down an accountant once I return to Aust to do an indepth analysis.
Regards,
Rae
Hi all,
I am just playing around with some ideas and would like some advice or way out thinking to help me dream more.
The situation is this: I control three IP's (one -ve & 2 +ve - all IO). I have also recently (8mths) purchased PPOR and am renting half of it. I currently earn $45k and have no other debts except for four mortgages. I am currently in East Timor saving heaps of dollars with the Army (approx $30k at completion of 6mth tour). At this point in time I will be in the Bne area for another two years before re-posting.
What I am playing around with:
Scenario #1: Refinance P&I on PPOR in Sep once honeymoon period expires to IO fixed for 3-5yrs. Using extra Timor savings to lower LVR down until property is neutrally geared at current market rental for area. Thus releasing extra cash flow to service future IP purchases.
Scenario #2: Continue to pay off P&I on PPOR until I depart Bne location (either paying Timor funds off loan or leave sitting in 100% Offset a/c). Then use extra equity to finance future IPs.
Are there any scenarios I haven't thought of?
Any thoughts will be appreciated. I will be tracking down an accountant once I return to Aust to do an indepth analysis.
Regards,
Rae
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