Can I service? Broker help to get creative and back on track

Hi, I’m 27 and would like to buy a a PPOR. I currently have 3 investment properties in Melbourne and do not want to sell any. I have used a mortgage broker for all of my investments so far but I’m not sure if I’m on the right path now.
I’m based in Melbourne so the value of PPOR would have to be a minimum of 600k. I can not service this so I will have to get a second job. But what banks will look at this second income after 3 months?

My current situation:
Salary 83k
HECS debt
Live at home/with GF( she is on a visa- can not borrow)

Investment Property 1 (purchased in 2018 for 300k-refinanced from CBA in 2020 for 325k Val )
Val 350k loan 290k (BOM)

Investment Property 2 (purchased in 2019 for 307k-refinanced from CBA in 2020 for 350k Val )
Val 400k loan 313k (BOM)

Investment Property 3 (purchased in 2020 for 348k- did some work on it to increase value- yet to refinance)
Val 385k loan 293k (Liberty)

Yearly rent $46,500
Yearly mortgage $48,500
No car loans, credit cards or any other expenses.

I want to buy a PPOR now at around 600k. All loans have gone through a broker but I’ve been advised I have to hold a part time job for 12 months for banks to count it. What banks would accept 3 months or one pay check? I’d like to get into the market earlier.
It would most likely have be an LMI deal as I don’t have much savings.

Was Liberty a good idea going to so early?
Would like a second opinion on what my broker has told me.

 

All properties are in my name

 

We are doing one now like this and that is not true

 

There's a few brokers here that can help you out.

Best to get in contact with them.

 

That your third property is with Liberty tells us that serviceability was already a problem for that purchase. From here it gets extremely difficult, Liberty is about as generous as it gets.

A second job will help, but at 90% lvr you're hamstrung because this creates a higher serviceability threshold.

Several ways forward...

Keep saving (not equity) until you've got the 20% and costs to avoid lmi. This may also align with the 12 month wait so you can use the second job.

Take a step backwards to move forward. Sell a property, get out of the Liberty loan (it solved a problem but will only hurt you in the future), then look to your own home.

Sell everything, rebuild using structures that will extend borrowing capacity significantly. I don't really recommend this, it's expensive, unreliable and has a high risk of catastrophic failure in the future.

There are limits to how much you borrow. Creative finance or a second job extends the limit slightly, but not by much. What may not be apparent is you're already in a corner and on the defensive by using Liberty. Find a way out of this first.

 

This is the reality of the current lending environment. Rentvesting lending was practically unlimited back in the day. Now, if you are rentvesting you need to consider one day you might want ppor.

 

Would it be easy to refinance from Liberty? With the second job income?

 

if it services it would be

 

What is the problem with Liberty as a lender?

 

what is rare? What do you think to do?

 

Liberty has higher rates than other lenders. Higher rates impact serviceability.

Liberty has what may be the most generous serviceability policies there are. If you've already gone there, odds are there's nowhere else to go. Libery know this so they can charge more (and they will).

Liberty also charges higher rates for high lvr and more than 3 properties.

The only strategies out of Liberty are to increase income or reduce debt. If you find a way to borrow more at this point, you'll only dig a deeper hole. Figure out a way to get out of the Liberty loan and you'll improve your chances of moving forward.