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Which loan to take?

Discussion in 'Finance & Banking' started by rjsk23, 23rd Apr, 2007.

  1. rjsk23

    rjsk23 Member

    Joined:
    17th Apr, 2007
    Posts:
    14
    Location:
    Adelaide
    Can anyone suggest another way to go?

    Current loans: Variable Rate Investment Loan 8.07%p.a $217k plus Home Latitude OD 8.21%p.a $47k owing. 3 investment properties are used for quarantor.

    We would like to consolidate both these loans with access to a line of credit of approx. $80k. We would like to be able to use line of credit for deposit on new property to purchase. Current loan institution is a Credit Union.

    Any suggestions welcome, we are learning everyday in property investment, we are learning that doing it alone has not been our best way to go so far, especially with loans.
     
  2. Simon

    Simon Well-Known Member

    Joined:
    17th Sep, 2005
    Posts:
    520
    Location:
    Newcastle
    i just signed loan docs for nearly 1% cheaper with full offset.

    Why do you feel this loan is what you need?
     
  3. rjsk23

    rjsk23 Member

    Joined:
    17th Apr, 2007
    Posts:
    14
    Location:
    Adelaide
    Which loan

    Hi! Simon,

    we need approx. $54k to use as a deposit for another property plus extra cash to use to upgrade existing invest. properties. Haven't enough cash flow at present. Current 3 properties worth $390k total, owe $264.

    Still learning re loans
     
  4. Simon

    Simon Well-Known Member

    Joined:
    17th Sep, 2005
    Posts:
    520
    Location:
    Newcastle
    I guess my point was that it sounds like there are much better deals out there unless you need a high rate product because of some unusual situation.

    Under 7.5% should be easy enough to find.
     
  5. rjsk23

    rjsk23 Member

    Joined:
    17th Apr, 2007
    Posts:
    14
    Location:
    Adelaide
    Which loan

    Thank you Simon, we have been researching the net & have been amazed at the low interest rate compared to what we are currently paying. We have made an oppointment to discuss a better rate. (fingers crossed) If not we will certainly be looking elsewhere.
     
  6. voigtstr

    voigtstr Well-Known Member

    Joined:
    24th Jan, 2007
    Posts:
    679
    Location:
    Hobart
    There are mortgage brokers that frequent this forum (and propertyinvesting.com) that should be able to help.