I have been living in my first home now for nearly 6 months and I would now like to see if it would be possible to get a 2nd property. I would like to hear feedback from members, especially experienced people.
My situation details:
Current property: Living in a cheap home purchased for less than $200k in small town, NSW. Home has been partly renovated and landscaped since I occupied it.
Employment: Self Employed with 2 years returns showing profit of around $60k per/y
Finance: I have paid an extra 9k in the offset account which is available to withdrawal with around $4k in available savings.
I would like to use a small deposit of $10k on a property.
The property I would prefer is something in the 300-400k price range and this would be renovated quickly (paint & gardens etc) and then rented out after 2 weeks of renovating (by myself).
This property would ideally be suited as my own PPOR in the future but I will continue to live in the current (cheaper home for sometime).
The house I would like to buy would be able to fetch a rental price where the rent money would be enough to actually pay the mortgage off over time although it might be sold in 5 years etc.
My current loan is very affordable which is why I have been able to pay nearly 10 k in the offset account in 5 months so I could even afford to pay the monthly payments for the next home as well although that would only happen while waiting for tenants and renovations.
My current loan is with my main bank but I was also approved at the time for a much higher loan by another bank which is who I plan to use this time. I still have the letter which offers me the finance and I will probably use the mortgage broker who processed this back then.
The first property was financed with a high deposit and FHOG.
I think this is a good time to go ahead with this for several reasons. I have probably left out a few details which I will think of later.
So with that information, what do you think my chances are off getting approved for a loan on another property with only 10k deposit and no assets?
Can you offer any advice etc.
My situation details:
Current property: Living in a cheap home purchased for less than $200k in small town, NSW. Home has been partly renovated and landscaped since I occupied it.
Employment: Self Employed with 2 years returns showing profit of around $60k per/y
Finance: I have paid an extra 9k in the offset account which is available to withdrawal with around $4k in available savings.
I would like to use a small deposit of $10k on a property.
The property I would prefer is something in the 300-400k price range and this would be renovated quickly (paint & gardens etc) and then rented out after 2 weeks of renovating (by myself).
This property would ideally be suited as my own PPOR in the future but I will continue to live in the current (cheaper home for sometime).
The house I would like to buy would be able to fetch a rental price where the rent money would be enough to actually pay the mortgage off over time although it might be sold in 5 years etc.
My current loan is very affordable which is why I have been able to pay nearly 10 k in the offset account in 5 months so I could even afford to pay the monthly payments for the next home as well although that would only happen while waiting for tenants and renovations.
My current loan is with my main bank but I was also approved at the time for a much higher loan by another bank which is who I plan to use this time. I still have the letter which offers me the finance and I will probably use the mortgage broker who processed this back then.
The first property was financed with a high deposit and FHOG.
I think this is a good time to go ahead with this for several reasons. I have probably left out a few details which I will think of later.
So with that information, what do you think my chances are off getting approved for a loan on another property with only 10k deposit and no assets?
Can you offer any advice etc.