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Accessing IP Equity

Discussion in 'Accounting, Tax & Legal' started by KYLBL, 30th Dec, 2010.

  1. KYLBL

    KYLBL New Member

    30th Dec, 2010
    Sydney, NSW

    This looks like a great forum to get some informed advice!

    I would appreciate some advice on any means available to access equity in my IP to reduce the loan on my PPOR. We are in the process of relocating and whilst currently having nil mortgage we will need a reasonable mortgage on our new premises.

    My current loan is 112K on a IP worth 425K; I have spent 20K from savings on refurbishments and 50K from savings on another investment property.

    - Can I retospectively increase the IP loan to cover these investments?
    - How can I legitimately structure my loan to capitalise the future interest payments
    - Any other options?
    - My last choice would be to sell as I would be up for 40-50K in tax; If I hold off on sale until retirement can I completly avoid CG?

    Thanks in advance