“Sarah had just gone through a divorce, no full-time income, and two kids. The banks said no. I got her a solution in 14 days, and today she’s in her new place with her daughters. I didn’t just get her a loan—I gave her peace of mind.”
Someone recently asked me:
“I’m about to sell my share of an investment property we bought long ago with a friend – should I pay off my home loan or roll it into another investment?”
After the sale of this property , and after CGT, they’re walking away with a solid chunk of cash.
My answer? You can do both!!
This is what you do:-
1. First, use the proceeds to wipe out your home loan. This clears your non-deductible debt !
2. Then, once your home is mortgage-free, let us revalue your home and tap into the equity to fund your next investment.
Now, instead of personal / non taxable debt, you’ve got tax-deductible investment debt —
with OPM (other people’s money ) working to build you wealth
You’re not stuck juggling old loans. You’ve hit reset:
As Robert Kyasaki from “Rich Dad Poor Dad” says
“Debt is good — as long as it’s working for you .
The key is in how you structure it.
Need help figuring this out?
Contact me at www.bsifinance.com.au — and let’s build a strategy together to help you grow your wealth through “good tax deductable debt”
So what are the ramifications for an interest rate fall?
❓Has it something to do with the monumental housing shortage?
We need houses - and rate drop will increase demand for housing …. But may also boost supply !
❓Will rate drop encourage investors and developers back into the market to build houses, confident that prices will keep going up as rates fall?
Maybe
❓Will reduction of rates help with the High construction costs and delays getting permits to build more houses ?
Not sure !
First home buyers get in with a 5% deposit and no lenders mortgage insurance.
And this money will be firmly directed like a blow torch on properties in the sub million dollar range.
High demand and low supply = price rises
My view - if you missed the last boom, you don’t want to miss what’s coming
If you want to get your Preapproval for a property loan happening - give me a ring at www.bsifinance.com.au
Scenario
homebuyer has a $30k deposit and earning a combined $180k
Use the 5% deposit scheme to buy your first home now.
The scheme offers no LMI, no stamp duty in most states, and suits their income (they’re under the $200K cap).
With their $30K, they could buy up to $600K .
They could rent out rooms to help cover the mortgage, reduce their debt, and add value through cosmetic renos.
Once their loan-to-value ratio hits 80% - refinance, rent it out fully, and use the equity to buy again.
The election has been a landslide to labour....
What does this mean for property prices in Australia?
In my view , it looks like property will keep on rising for four good reasons – two on the demand side of the equation and two on the supply side.
1. Interest rates appear to have peaked, and the Reserve Bank is expected to start cutting rates. This will give buyers increased confidence right now, and even more buyers are likely to enter the market if/when rates start falling.
2. Population growth is at record levels. The population grew by 659,800 people in the year to September 2023, according to the latest data from the Australian Bureau of Statistics (ABS). All those extra people are increasing the demand for housing.
[Click here to book an appointment with Ivan Kaye]
3. Home building activity is too low. In the same year that 659,800 people were added to our population, we started work on only 165,602 new homes, according to the ABS. That’s well below the 263,920 homes needed for that many new residents (given that the average household contains 2.5 people, according to the most recent Census).
4. People are staying in their homes for longer, which is contributing to a shortage of for-sale properties, and therefore higher demand. In March 2025, a total of 251,000 properties were listed for sale across Australia, according to SQM Research. But in March 2019, there were 354,459 homes for sale. So despite the big increase in population over those five years, listings actually fell 27.8%.
In any market – whether for housing or oil – higher demand and lower supply leads to greater buyer competition. That’s why property prices are likely to keep rising in the foreseeable future.
Australia's median price keeps increasing. If prices keep rising at that rate, delaying your purchase by even six months could cost you tens of thousands of dollars.
It's generally a good idea to get a home loan pre-approval before you start looking for a property, so you can feel comfortable when making an offer.
