I came across a post in another forum about this article: http://www.propertyobserver.com.au/...es-his-investment-property-mortgage-rate.html "John Symond fixes his investment property mortgage rate"
I find this ING product to be enticing.
5 years 4.89% fixed when split with the Orange Adv full offset account variable 4.83% (LVR<80%, $250k+ total loan amount).
I am thinking of I/O, splitting between what I think the forecast un-offsetted balance after Year 5 (this balance becomes fixed split) and the rest to variable, to be progressively offset.
Is it possible to get a lower discounted variable rate through brokers, with the bargaining argument that I won't be going away in 5 years because of the split?
What are your thoughts? I want some ability to hedge against future rate fluctuations but at the same time be able to use my savings as offset.
Let's assume I have no plans of selling/refinancing in the next 5 years, so let's disregard the lack of flexibility for 5 years.
This is for a PPOR property.
I find this ING product to be enticing.
5 years 4.89% fixed when split with the Orange Adv full offset account variable 4.83% (LVR<80%, $250k+ total loan amount).
I am thinking of I/O, splitting between what I think the forecast un-offsetted balance after Year 5 (this balance becomes fixed split) and the rest to variable, to be progressively offset.
Is it possible to get a lower discounted variable rate through brokers, with the bargaining argument that I won't be going away in 5 years because of the split?
What are your thoughts? I want some ability to hedge against future rate fluctuations but at the same time be able to use my savings as offset.
Let's assume I have no plans of selling/refinancing in the next 5 years, so let's disregard the lack of flexibility for 5 years.
This is for a PPOR property.