Looking to purchase another property but im not sure if I understand how to calculate the equity needed.
We currently have 2 properties and some business debt.
Property 1- Current value is 1.3m- 1.4m (PPOR)
Property2- Current value 1.2m- 1.3m (Investment property)
Total debt including business 1.3m
Its set up as a LTC with most/ all the debt on the investment property and the rest is a revolving account which we are paying down.
Our business is doing well and we are paying down 5-8k per month of the debt.
The new property we would like to buy is 1.5m.
We would short term holiday let it and this is our profession so im sure it will do well but for the purpose of calculating the above we could say long term rent of 800 per week.
Anyone out there know if I have enough equity to pull this off?
Thank you,
We currently have 2 properties and some business debt.
Property 1- Current value is 1.3m- 1.4m (PPOR)
Property2- Current value 1.2m- 1.3m (Investment property)
Total debt including business 1.3m
Its set up as a LTC with most/ all the debt on the investment property and the rest is a revolving account which we are paying down.
Our business is doing well and we are paying down 5-8k per month of the debt.
The new property we would like to buy is 1.5m.
We would short term holiday let it and this is our profession so im sure it will do well but for the purpose of calculating the above we could say long term rent of 800 per week.
Anyone out there know if I have enough equity to pull this off?
Thank you,
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