I took out my 30 yr loan at one of the 'big 4' banks in 2002 interest only and they have been renewing it every 5 yrs.
My I.P has doubled in value and I have solid repayment history. The current interest only period expires in around 3 yrs.
I want to hold onto this I.P for another 20 yrs to finance my old age and dont want to ever pay P&I because I live abroad and need strong cash flow to support my travelling lifestyle.
I'm aged in my early 40's and wanted to ask if anyone knows what the general policy is regarding Interest only loans. Will the bank continue with Int only until the end of the loan term. Or will they at some stage look at my age and the loan balance and make me commit to P&I?
The loan is around $190k and property is valued at $550k now and thus security is not an issue.
If they do make me change to P&I I realise that I could re-finance. The problem I have if that due to my travelling lifestyle re-financing might be difficult. I will have the $480 pw rent and earn around $1800 pcm interest from my online saver but it will still be hard for me to get finance I think
I appreciate any opinion from lenders or mortgage brokers on my situation
My I.P has doubled in value and I have solid repayment history. The current interest only period expires in around 3 yrs.
I want to hold onto this I.P for another 20 yrs to finance my old age and dont want to ever pay P&I because I live abroad and need strong cash flow to support my travelling lifestyle.
I'm aged in my early 40's and wanted to ask if anyone knows what the general policy is regarding Interest only loans. Will the bank continue with Int only until the end of the loan term. Or will they at some stage look at my age and the loan balance and make me commit to P&I?
The loan is around $190k and property is valued at $550k now and thus security is not an issue.
If they do make me change to P&I I realise that I could re-finance. The problem I have if that due to my travelling lifestyle re-financing might be difficult. I will have the $480 pw rent and earn around $1800 pcm interest from my online saver but it will still be hard for me to get finance I think
I appreciate any opinion from lenders or mortgage brokers on my situation