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best ways to buy second home

Discussion in 'General Investing Discussion' started by taurus 64, 23rd Aug, 2011.

  1. taurus 64

    taurus 64 New Member

    Joined:
    23rd Aug, 2011
    Posts:
    2
    Location:
    melbourne
    Hi guys,
    Bought PPOR 3 years ago with FHOG. Moved out 18 months later and turned PPOR into IP that family members are now renting.
    Boyfriend and I are now renting and looking to buy a house together in the next few months.
    I originaly paid 17k extra on first mort with the idea of redrawing to purchase property with boyfriend. I now know that has serious tax implications on IP and now cannot redraw these funds.
    boyfriend and I looking at property around 280k and he has 10k in savings. Boyfriend and I not eligable for any FHOGs.
    How to buy 2nd property with little deposit?
    How to avoid LMI again?
    Do I start paying minium payment off IP and save the extra money?
    Any ideas thanks
    Taurus 64
     
  2. Terryw

    Terryw Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    653
    Location:
    Sydney
    If you have equity in the existing home you would generally set up a second loan split on that and then use this as the deposit for the new one with the remainder coming from a new loan.