Question regarding using Equity

Discussion in 'Loans & Mortgage Brokers' started by Qon, 11th Mar, 2016.

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  1. Qon

    Qon New Member

    Joined:
    11th Mar, 2016
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    Location:
    Sydney
    Hi guys
    I have an IP at Parramatta which serves me well. I have this setup as an IO loan with an offset account.
    I have about $90000 worth of equity in it. Is this enough equity to buy another IP, say a $250000-$280000 in Adelaide or Brisbane. I have enough money in my bank to pay for stamp duty and the other fees associated with buying property but would rather just use the equity as the deposit.
    Cheers
     
    Qon, 11th Mar, 2016
    #1
  2. Coota9

    Coota9 Well-Known Member

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    18th Jun, 2015
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    Location:
    Melbourne
    Use your equity towards deposit and costs for your investment property.
    With your cash savings either pay down any other debt you may have-PPOR,personal loans etc
     
    Coota9, 11th Mar, 2016
    #2
    Sackie likes this.
  3. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Consider you need 5% for costs and 10 to 20% for deposit.
     
    Terry_w, 11th Mar, 2016
    #3
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