The tick of approval from Terry! I knew my countless hours reading the finance board would pay off
Using PPOR equity, best options?
- Thread starter cannonloose
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The tick of approval from Terry! I knew my countless hours reading the finance board would pay off
J_aco,
You would not normally set up a loan split and then deposit the additional funds into the offset, you would leave them in the split loan for redraw for when you made the investment.
I would be cautious about borrowing to the limit each time, in some instances it should be done, other cases perhaps not the best strategy. I agree that all investors should have a healthy safety net at all times as you do not know what is around the corner, but I have seen clients caught in the past of not qualifying for the next loan with another lender due to their LOC limits already established, even though not necessarily drawn down.
You would not normally set up a loan split and then deposit the additional funds into the offset, you would leave them in the split loan for redraw for when you made the investment.
I would be cautious about borrowing to the limit each time, in some instances it should be done, other cases perhaps not the best strategy. I agree that all investors should have a healthy safety net at all times as you do not know what is around the corner, but I have seen clients caught in the past of not qualifying for the next loan with another lender due to their LOC limits already established, even though not necessarily drawn down.
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