Tweet
Raising deposit funds
Hi all,
After some ideas or advice please if anyone has it.
My partner and I have been investing using minimum 10% cash deposit each time. This is about $22k each time. We now have LVR of 78% across a small portfolio of five properties.
But we can 'only' fund two cash deposits per year from now on. Yes I know, good position to be in. But I want to purchase significantly more than that.
Leveraging existing equity aside as I know about that and will do that too, does anyone have advice on other ways to raise deposit funds? Ways that are acceptable to the bank?
I have asked two banks but the impression I get is that this question of a borrower getting creative falls in the too hard basket...because they haven't answered!
e.g. is a personal loan or revolving credit for say $60,000 (enough for three deposits) a good option? Then use a different lender to mortgage the houses, showing my 10% deposit as down payment. Revalue each one and pay back the personal loan, increasing the mortgage to 100% of purchase price after a few months?
I don't want to get into using credit cards.
Thanks a lot
After some ideas or advice please if anyone has it.
My partner and I have been investing using minimum 10% cash deposit each time. This is about $22k each time. We now have LVR of 78% across a small portfolio of five properties.
But we can 'only' fund two cash deposits per year from now on. Yes I know, good position to be in. But I want to purchase significantly more than that.
Leveraging existing equity aside as I know about that and will do that too, does anyone have advice on other ways to raise deposit funds? Ways that are acceptable to the bank?
I have asked two banks but the impression I get is that this question of a borrower getting creative falls in the too hard basket...because they haven't answered!
e.g. is a personal loan or revolving credit for say $60,000 (enough for three deposits) a good option? Then use a different lender to mortgage the houses, showing my 10% deposit as down payment. Revalue each one and pay back the personal loan, increasing the mortgage to 100% of purchase price after a few months?
I don't want to get into using credit cards.
Thanks a lot
Comment