looking for a good property Accountant in Melbourne CBD or Footscray Area

[Kassie]

Hi All,

This is my first post and I am looking to build a good team of experts to guide me through my property journey. We own 1 investment property in kingsville melbourne which I refinanced in 2013 to pull out some equity with a 90% LVR and our PPR which we purchased in 2013 and have almost complete renovations in Seddon. We recently had both properties revalued and we have about $30k in the investment property if we pull out the equity and maintain a 90% LVR and our house in seddon was valued at $750 with a loan of $533. We are looking to pull out the equity on both properties the Investment with a 90% LVR and the PPR with an LVR of 80% to avoid LMI again pay down a personal loan and purchase another investment property. Both properties are under my name as I am the higher income earner and we are looking for a good accountant and property strategies to help us make an informed next step and one that is tax effective.

I am concerned of the tax implications of we pull down equity from our PPR and use funds to invest, likewise if we use equity from our investment property to pay down personal debt what are the tax implications. We are also a little shy on another deposit, once we pay down our personal loan and I am trying to establish if it would be better for us to either refinance the investment property an LVR of 95% and use the equity to buy again if that will be more tax effective or refinance our PPR at 90% LVR and use those funds to reinvest?

Extremely confused and think an accountant may be the next best step, but we haven't yet been able to find one that specialises in property.

Any tips or accountant recommendations would be greatly appreciated.

 

[Paul@PFI]

I handle SS and property clients located all over Australia. Face to face is so '90s and often a time consuming process involving travel etc. Happy to discuss basic concepts, ideas and your strategies in a no cost phone consult and define likely advice you need and potential cost. Sometimes its simple and sometime not

You may wish to discuss your finance issues with a broker as there have been changes announced by lenders in the past week that may mean LVR now caps at 80% and serviceability may be tougher than in past. Equity release is far harder to access.

 

[Jess Peletier]

Which lenders are you currently with?

Paul's right, you would definitely benefit from a conversation with a broker to plot out the best way to access your equity.

Exactly what can be done will depend very much on which lender/s you're with.

Fingers crossed not Bankwest

 

[Jess Peletier]

I am concerned of the tax implications of we pull down equity from our PPR and use funds to invest, likewise if we use equity from our investment property to pay down personal debt what are the tax implications.

Funds used to invest will be deductible no matter where they come from, whereas funds used to pay down a personal loan will most likely not be deductible. Whether it comes from your PPOR or IP doesn't matter as it is the purpose of the funds that determines deductibility, not what the loan security is.

What is important is that the new funds are kept separate from the existing loans so deductible and non-deductible loans aren't mixed. This can easily be done by splitting the loan to reflect the different loan purposes.