Hi. long time lurker, first time poster.
I'm about to settle on an IP in Victoria and the finance application is stuck in the queue and will not come through before the (already extended) settlement date. It's also 50/50 if it will make it prior to the "14 day default and lose my deposit" period that exists in Victoria.
In order to avoid losing my deposit and the property it looks like I'll have to settle using my own funds and then reimburse myself and hand the title to the bank (via my conveyancer and broker) once the loan is ready to draw down.
My question is, having initially purchased the property with my own funds, will tax deductibility remain once I draw down the loan and reimburse myself the purchase costs (100 % borrow using equity in PPOR) ?
And yes, I did screw up a bit here...chose the lender with known application delays, figured 45 day settlement would be sufficient, didn't factor several public holidays in Vic at this time of year etc. I'll also be asking an accountant this question but thought some info may be available here.
Thanks,
Wokka.
I'm about to settle on an IP in Victoria and the finance application is stuck in the queue and will not come through before the (already extended) settlement date. It's also 50/50 if it will make it prior to the "14 day default and lose my deposit" period that exists in Victoria.
In order to avoid losing my deposit and the property it looks like I'll have to settle using my own funds and then reimburse myself and hand the title to the bank (via my conveyancer and broker) once the loan is ready to draw down.
My question is, having initially purchased the property with my own funds, will tax deductibility remain once I draw down the loan and reimburse myself the purchase costs (100 % borrow using equity in PPOR) ?
And yes, I did screw up a bit here...chose the lender with known application delays, figured 45 day settlement would be sufficient, didn't factor several public holidays in Vic at this time of year etc. I'll also be asking an accountant this question but thought some info may be available here.
Thanks,
Wokka.