Hi all
Currently have no PPOR but IP1 with 210K IO loan with ANZ (Breakfree package) and $110K in equity which I am planning to use together with $45K in savings to finance two properties - PPOR and IP2.
To keep tax accounting simple I am guessing I should be drawing two separate equity loans under the Breakfree package so it looks something like this:
$210K IO existing tax deductable loan on IP1
$60K IO tax non-deductable equity loan for PPOR deposit and costs
$50K IO tax deductable equity loan for IP2 deposit and costs
I believe with ANZ Breakfree Package would be able to set up the two equity loans at the same time without incurring extra fees and use that opportunity to get as much equity out at once rather than doing the loans in two stages.
I would then approach a different non-ANZ lender for a loan for PPOR and yet another non-ANZ lender for a loan for IP2.
The reason I would make the PPOR loan IO is that it will most likely become IP3 in a couple of years.
Yes I will be approaching a mortgage broker (someone from SS) before I take the plunge, just trying to get a rough idea in my head before I proceed next year.
Thanks in advance!
Currently have no PPOR but IP1 with 210K IO loan with ANZ (Breakfree package) and $110K in equity which I am planning to use together with $45K in savings to finance two properties - PPOR and IP2.
To keep tax accounting simple I am guessing I should be drawing two separate equity loans under the Breakfree package so it looks something like this:
$210K IO existing tax deductable loan on IP1
$60K IO tax non-deductable equity loan for PPOR deposit and costs
$50K IO tax deductable equity loan for IP2 deposit and costs
I believe with ANZ Breakfree Package would be able to set up the two equity loans at the same time without incurring extra fees and use that opportunity to get as much equity out at once rather than doing the loans in two stages.
I would then approach a different non-ANZ lender for a loan for PPOR and yet another non-ANZ lender for a loan for IP2.
The reason I would make the PPOR loan IO is that it will most likely become IP3 in a couple of years.
Yes I will be approaching a mortgage broker (someone from SS) before I take the plunge, just trying to get a rough idea in my head before I proceed next year.
Thanks in advance!