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Question regarding P&I to IO LOAN

Discussion in 'Property Finance' started by maybellz, 12th Sep, 2015.

  1. maybellz

    maybellz Member

    Joined:
    12th Sep, 2015
    Posts:
    6
    Location:
    Qld
    Hi everyone......My situation is as follows.....

    Own my PPR and have 1 investment property. 1 mortgage over both properties. 3 separate LOC though - one for the PPR, one for the investment house and one for if needed (but never touched). Owe nothing on PPR, and loan on investment has gone from IO to P&I in January this year (5 years).

    Lost my husband to cancer 15 months ago and have money from his life insurance in offset against investment house. Have just gone from 5 day job (school hours) to 3 day (school hours) which will hopefully increase with time. I can't work full time at the moment (like until 5 every day) due to youngest child being 12 years of age.

    Would I be best off asking the financier (RAMS) to go back to IO for a while until my work picks up. What are the chances of them saying yes??? Probably pie in the sky asking here, but you never know lol.
     
  2. Sonamic

    Sonamic Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    939
    Location:
    Sunny QLD
    Sorry for your loss maybellz. Welcome to the forum.
    It's worth asking Rams. In this world if you don't ask, you don't get.
     
  3. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker Business Member

    Joined:
    18th Jun, 2015
    Posts:
    641
    Location:
    Sydney
    Sorry to hear about your loss. RAMS is not on the broker channel but I think you can extend your IO period for another 5 years provided the total IO term is less than 15 years.

    Give them a call and find out. If not then they would need to reassess your application and you would need to ensure you can service the debt.