Contaminated loan - how & when to fix it.

Hi All,

We have a PPOR loan that we refinanced to purchase another IP 2 years ago.

The loan is with ANZ. How can we split the amount so that we can claim on the $$ portion that was used to refinance the home? Our aim is to grow a portfolio.b

Also, looking for a good savy accountant to assist us going forward who is knowledgable in property investment, legal ways of minimising tax etc.

Please feel free to recommend anyone. Currently based in Melbourne.

Thank you for your help as usual!

 

Depends on the lender around how flexible they are to make the splits.

Speak to your broker / banker who did this in the first place?

Also agreed, it will be good to seek some tax advice around this given the loan is contaminated.

 

Can I ask why it has to be the broker/banker who set up the loan? It was a random someone and I will have to start digging emails to find them.

Is it possible to use someone else?

 

Random doesn't sound good.

You (or anyone else for that matter) looking to set up their portfolio needs specific advice to do things correctly.

Yes you can work with another broker to have it reviewed and restructured, and also seek tax accountant's input at the same time.

 

1. Work out the portions


2. ask the bank or the broker to split the loan accordingly

BTW, you still claim interest while it is mixed, you just have to apportion it, but best to split now

Tax Tip 44: How to Un-Mix a Mixed Loan Tax Tip 44: How to Un-Mix a Mixed Loan
Tax Tip 45: How to work out the Portions of a Mixed Loan Tax Tip 45: How to work out the Portions of a Mixed Loan