Hi everyone,
Question about deductibility of interest.
I've borrowed effectively 110% for an IP purchase (via securing with the equity in my PPOR).
100% for the IP
5% for stampduty + costs
5% surplus
What should I do with this surplus to ensure interest deductibility?
At first thought was to put this into an offset account against the IP.
I would park the cash here until I need it for maintence, repairs and/or renovation of the IP.
Any feedback is appreciated.
Regards,
Question about deductibility of interest.
I've borrowed effectively 110% for an IP purchase (via securing with the equity in my PPOR).
100% for the IP
5% for stampduty + costs
5% surplus
What should I do with this surplus to ensure interest deductibility?
At first thought was to put this into an offset account against the IP.
I would park the cash here until I need it for maintence, repairs and/or renovation of the IP.
Any feedback is appreciated.
Regards,