Best I/O Product out there with an Offset Account

I'm moving interstate and want to lease my current place, which means I need to switch from OO to IO - any recommendations on the best provider for a low rate P&I IO loan that also has an offset?

None of the big banks seem to be competitive, given TicToc and Athena have much better rates given our LVR of ~76%. The current front runner is TicToc as they've got an offset account option for $10/month extra, which seems reasonable. Just curious if there're any other reliable providers I may have missed?

Comments

  • +4 votes

    Don't tell bank it's now an investment if you're renting elsewhere.
    Go after a OO loan.

    •  

      Is that something people often do? Surely there're some sort of legal issues with you doing that right?

      • +1 vote

        just keep as is as OO rates are lower than investor rates.

        If you get a loan for a new property in your new state, with a different bank to your current loan, you can try and get that as OO also.
        You may have a problem if you get a new loan with the same bank.

        BTW, I think you are confusing some acronyms.

        "low rate P&I IO" - that doesn't actually make sense.

        P&I = principal and interest (repayments)
        IO = interest only (repayments)

        You are asking info on switching from OO (or PPOR) to IP (Investment Property)

  •  

    Don't do sh!t. Just leave it as is, unless your current OO mortgage is sh!t. Still, an IP mortgage is likely to be "worse". I think you are supposed to tell your lender that it's now a IP though, but I haven't and nothing has happened.