Knowing how much you can borrow is a valuable piece of information when you are looking to buy your first home, upgrade your home, buy an investment property or consolidate your loans.
Knowing the different possible combinations of how you can borrow and how much you need can be of equal value, and possibly save you money, lower your tax and improve your personal cash-flow.
Firstly, if you are buying a property, to live in yourself or as an investment, there will be acquisition costs that go along with the purchase. In most cases these will be stamp duty on the purchase, stamp duty on the mortgage (not in all Australian states and territories) legal or conveyance fees, registration fees for the title and mortgage, possibly mortgage insurance and also adjustments for council rates, water rates and body corporate if applicable.
As a home buyer you may be in a position where you have a sizeable deposit or equity in an existing home. If you are an investor you may also have a cash deposit or equity in other property. How much of this deposit or equity should you use? Does it matter?
Consider this; the purpose you have for the property now and in the long term future can affect the amount of deposit or equity you should use. There are tax considerations associated with every property purchase, cash-flow issues and ownership concerns to name a few. How you deal with these issues, and others, will impact the amount of deposit or equity you use and help maximize the benefit you derive from both your property purchase and your loans.
When you work with MGT Professional Services you will become aware of the numerous options available to you regarding your property purchase, your loan structure, tax implications and cash-flow considerations.
In doing so you can have confidence in the decisions you make. This service is without any additional obligation to you.
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