Best time to top up your existing properties

Hi all

I'm looking for property investors opinion about when is best time to top up your properties (PPOR or IPs).
Currently we have 2 IPs and 1 PPOR and are looking to purchase another 2 IPs. Our cashflow currently are quite neutral (or slightly negative). So we are really only looking for cashflow positive IP.
We are gonna use cash to purchase these but we actually have equities on our current properties.

We are considering to top up the properties since their value has increased. Just in case if property market value gonna drop, we have some cash that we can use to buy in the future. Are these good move in term of property investing?

 

Save your cash for future non deductible purchases. Extract all the equity you can while you can and have it sitting there ready. You dont have to use it but its there and available if a good deal pops up or major expenses pop up on your existing ips.

And have fun shopping

 

Thanks for the tips. We'll be doing top up soon. Looks like sydney price has peak, especially after investor loans rate hikes.

 

Be careful when 'topping up" - do it wrong and you can completely muck up your tax deductions.
I would recommend creating a new loan split for any equity so there's a clear definition between your current PPOR and investment loans.

 

Get it while you can.

but don't top up, borrow under new loans.
Tax Tip 3: Mixing Loans - Don’t do it https://propertychat.com.au/community/threads/tax-tip-3-mixing-loans-dont-do-it.1517/

 

Best time is when you are employed and don't actually need the money.

 

Agreed.

Best to get it when you don't need it - because when you do need it, it's usually required in a hurry....and the bank might say no.

It will also become increasingly difficult to release equity as banks continue to tighten their servicing calculators and some start to restrict the amount of equity they will let borrowers release.

Cheers

Jamie

 

Are we still talking loans here?