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Greetings from Another Brisbane Newbie!

Discussion in 'Introductions' started by jordy, 6th Jul, 2016.

  1. jordy

    jordy Active Member

    Joined:
    22nd Jun, 2015
    Posts:
    30
    Location:
    Brisbane
    Hi Everyone, I am Jordan and I have been a long time lurker on these forums and over the years have been learning and understanding all aspects of investing.
    I came across this site ( Somersoft) when I was googling Nathan Birch years ago as I was curious to see any feedback on his company.

    My short term goal is to invest in property in good yielding areas with good capital growth opportunities. I do not see myself doing this as a full time job but if I can build a portfolio up over the next 15 years and be in a position to retire at 50 than happy days! I would also like to learn more about minimising tax.

    I am currently 28 years old, happy married with a 8 month old boy and we live in the Augustine Heights/Brookwater area.

    Our situation currently

    PPOR $650k Value- $450K Loan P & I
    IP 1 $480k Value- $340k Loan IO Rented out at $430 Per week
    Have $50 000 in savings which we will use for IP 2

    Currently Kallangur, Narangba & Gold Coast has caught my eye but I am still doing my research, I really do love the Greater Springfield Region however I do think there is a over supply at the moment.

    Looking forward to continued learning from you all.

    Jordan
     
    Last edited: 6th Jul, 2016
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  2. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

    Joined:
    18th Jun, 2015
    Posts:
    2,458
    Location:
    Sydney & Gold Coast
    Welcome @jordy. Nice portfolio so far!

    Lots of folks are buying in and around Bris so it helps that you're local - if you can find some time away from the family to check out properties on the ground it will help a lot :)

    Any reason you want to use cash savings for your deposit when you have ample equity and would benefit by more deductible interest and a greater remaining cash buffer?
     
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  3. jordy

    jordy Active Member

    Joined:
    22nd Jun, 2015
    Posts:
    30
    Location:
    Brisbane
    Thanks Steven, Its actually 650k value for PPOR. I might speak to a broker soon and establish the best way to go regarding my equity position

    I am thinking 300-350k for IP2
     
  4. kierank

    kierank Well-Known Member

    Joined:
    20th Jan, 2016
    Posts:
    1,010
    Location:
    Brisbane
    @jordy, I agree with @Steven Ryan.

    With $200k equity in your PPOR, you should be able to borrow at least $160k as a separate loan and use this to cover deposit + buying costs for IP2.

    Then, assuming it isn't borrowed funds, you could put the $50k cash in an Offset account linked to your $450k PPOR loan and save yourself some non-deductible interest plus have these funds available as a reserve/in an emergency
     
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  5. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

    Joined:
    18th Jun, 2015
    Posts:
    2,458
    Location:
    Sydney & Gold Coast
    Yep, have a chat to one of he great brokers on Property Chat - they'll be able to give you an idea of your options including borrowing capacity, how to structure things and how to get from IP2 to IP3 and beyond.

    $300-$350k is a popular price bracket - a big portion of my clients are buying houses in this range, generally returning around 6% rent :)
     
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  6. jordy

    jordy Active Member

    Joined:
    22nd Jun, 2015
    Posts:
    30
    Location:
    Brisbane
    Some great advice guys, I am so glad to have discovered this forum to give me some guidance.
     
  7. DiligentPM

    DiligentPM Well-Known Member Business Member

    Joined:
    18th Jun, 2015
    Posts:
    443
    Location:
    Brisbane
    Steven is a very skilled and ethical broker...highly recommended
     
  8. Whitecat

    Whitecat Well-Known Member

    Joined:
    3rd Jul, 2015
    Posts:
    1,088
    Location:
    Brisbane
    I agree with your assessment of Springfield. Stay close to train. See what you can get close to rail in Burpengary. Is not getting as much attention as kallangur and that might play to your advantage.
    500m to 900m to train is ideal.

    Where are your other IPs?