Hi Samford
Thanks for your forum post!
The costs associated with purchasing a $350,000 property in Brisbane are as follows
- Stamp Duty $12,000 (approx)
- Legal costs $2,000
- 5% deposit $17,500
TOTAL $31,500
The costs associated with purchasing a $300,000 property in Brisbane are as follows
- Stamp Duty $10,000 (approx)
- Legal costs $2,000
- 5% deposit $15,000
TOTAL $27,000
Now assuming your property is still valued at $320,000 you can refinance to 90% Taking your loan to $288,000.
This will give you $13000 in equity to use plus the $15,000 you already have
Total funds available for new purchase is
$28,000
You would not really need to Deposit the funds into your loan account to use it for a deposit. Better to keep them in savings account.
Your success is going to depend on whether the value comes back on your existing house at $320,000
We offer free up front valuations for our customers, this can help to see whether or not you have the required equity to proceed with buying an investment!!
We encourage you to reply on your forums to share the knowledge, Otherwise feel free to contact me directly.