Deposit calculation for 2 properties?

Discussion in 'Loans & Mortgage Brokers' started by EN710, 31st Aug, 2015.

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  1. EN710

    EN710 Well-Known Member

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    Melburn
    Quick question
    Have two choices at the moment - available deposit without stretching is around $80K

    Option 1 - buy one property in brisbane at $480K 88% LVR
    - $60K deposit, $20K stamp duty and other costs

    Option 2 - buy two properties, one in brisbane (lower the max price) and one land + house in melbourne west
    Let's say brisbane reduce budget to $380K ~ $65K deposit including cost
    Melbourne land is about $250K plus a build of $200K - Stamp duty? Minimum deposit?

    How much more deposit do I need? :oops:

    Melbourne is mainly for potential PPOR in 2 years (was considering brisbane, but thre seems to be more job potential in melbourne)
     
    EN710, 31st Aug, 2015
    #1
  2. tobe

    tobe Well-Known Member

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    If you can submit the melb H&L as your ppor you can get stamp duty reductions, FHOG of $10,000 and borrow up to 97% of the value. You would need roughly $20 to $25k with this approach.
     
    tobe, 31st Aug, 2015
    #2
  3. EN710

    EN710 Well-Known Member

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    Not FHOG so only a bit of discount maybe :oops:
    Home buyer can still get up to 97%?

    Thinking of getting the land, then hire different builder
     
    EN710, 31st Aug, 2015
    #3
  4. tobe

    tobe Well-Known Member

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    builders almost never own land. They simply advertise their house on a particular block. if you look at real estate.com youll find multiple adds for the same block of land 'packaged' with houses from multiple builders. You can use whichever builder you like, but I do suggest presenting both the land and build contract together to the lender for valuation.

    Yes, you can do 97% for your ppor with quite a few lenders. Without the fhog and discount, you need $37k
     
    tobe, 31st Aug, 2015
    #4
  5. EN710

    EN710 Well-Known Member

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    For land only, maximum LVR is... 70%?
     
    EN710, 31st Aug, 2015
    #5
  6. tobe

    tobe Well-Known Member

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    97, but seriously, you don't want to buy land separately. There is no advantage, and lots of risks and disadvantages.
     
    tobe, 31st Aug, 2015
    #6
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  7. EN710

    EN710 Well-Known Member

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    Thank you @tobe :)
     
    EN710, 31st Aug, 2015
    #7
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