Investment Property Loans
Investment Property Loans
Financing Your Path to Property Success
Investing in property can be an effective strategy for expanding your investment portfolio, though it involves risks. Securing the right financing is key to achieving your financial goals. Whether you are purchasing your first investment property or growing your portfolio, it’s important to find a loan that aligns with your financial objectives. Our investment property loans offer competitive rates and flexible terms, but we recommend consulting a financial advisor to ensure they fit your individual needs
If you are looking for someone to help you understand your investments and strategically align your financial needs with your personal goals I could not recommend a lending professional more. Lola has incredible knowledge in the home lending space as well as an exceptional standard of what it means to serve clients undergoing any home lending needs. Her service is top tier and you won’t walk away from an appointment without having gained beneficial financial advice to grow your wealth long term. Thank you, Lola, for all your advice over the years!
Understanding Investment Property Loans: FAQs
An investment property loan is a type of mortgage specifically designed for purchasing property intended for rental income or capital growth. Unlike owner-occupied loans, these loans often have different terms, interest rates, and lending criteria
Typically, you’ll need a deposit of at least 20% of the property’s value. Some lenders may accept a lower deposit, but this could require lenders mortgage insurance (LMI), which adds to your costs.
Yes, many investors use the equity in their current property as a deposit for an investment property. This strategy can help you get started without needing a large cash deposit.
Interest on your investment property loan is generally tax-deductible, along with certain expenses related to the property. However, any profit made from selling the property may be subject to capital gains tax (CGT). It’s important to seek advice from a tax professional.
A principal and interest loan requires you to pay both the loan’s interest and a portion of the principal amount, gradually reducing your debt. An interest-only loan allows you to pay just the interest for a set period, keeping your payments lower, but it doesn’t reduce the loan principal during this time.
Lenders in Australia evaluate your repayment ability by considering your income, existing debts, living expenses, and the potential rental income from the investment property. They may also apply a ‘buffer’ to ensure you can afford repayments if interest rates rise
Yes, interest-only loans are common for investment properties in Australia, especially for investors looking to maximize cash flow. However, these loans typically revert to principal and interest after a few years, so it’s important to plan accordingly.
If you have more questions or need personalised advice, feel free to book an appointment with us – we are here to help you every step of the way
Loan Repayment Calculator
Disclaimer: The information provided by this calculator is for illustrative purposes only, based on the assumptions and inputs provided. The calculations are estimates and do not account for additional expenses such as stamp duty, Lenders Mortgage Insurance (LMI), legal and conveyancing fees, or inspection costs. For an accurate assessment tailored to your specific circumstances, we recommend consulting with a mortgage broker.
How Does it Work?
Our Loan Approval Process
01.
Schedule a Complimentary Call
Start with a complimentary call to discuss your mortgage needs and options
02.
Submit Your Documentation
Provide necessary paperwork to move forward with your mortgage application
03.
We Review Your Application
Our team carefully examines your details to ensure accuracy and suitability
04.
Receive Your Feedback in a Timely Manner
We will provide our feedback as soon as possible, with timing subject to potential variations
Confused About Your Loan Options? Get the Answers You Need
Get in touch today and receive a complimentary consultation.
* This testimonial was given by our customers. They are individual experiences of our customer that has used our service. However, they are individual results and results and outcomes may vary. We do not claim they are typical results that consumers will generally achieve. (Broker name/ business) cannot and does not guarantee results. Your full financial situation would need to be reviewed prior to acceptance of any offer or product.
