Investment Loans 2020 - It's Simple
  • Purchasing an investment property?
    Start with a great rate from 2.39%

Planning to start or expand your investment property portfolio? We’re here to help.

Choosing an investment loan can be just as important as finding the right property. To get the most from your investment property, you need to review all the options available to you and have a think about what you need in a loan before making your move.

Investment loans can be complex, but they needn’t be. With our no-cost service, we’ll make it simpler and save you time and money.

Frequently Asked Questions:

An investment property loan is simply a home loan which is used to purchase an investment property. It has features which are designed for buyers looking to purchase property to rent out.

Investment Property loans are not very different from other home loans. However, lenders may have specific conditions or attached a number of features to the loan. For example the interest rate may be marginally higher or the loan to valuation ratio (LVR) may be a lower which means the borrower has to raise a larger deposit. It is important to bear this in mind when budgeting to buy or taking out an investment property loan.

Having an investment property in your portfolio can deliver many benefits. You can earn a return on the property value over time, a regular and predictable income (from rental payments) and benefit from a number of tax advantages (including from negative gearing for example). However, buying an investment property is not risk-free. With property down turns, as with equities and other investments, the value of your investment can decline and result in a capital loss. There are also risks unique to investment properties, such as issues with tenants, property damage, vacancy (causing an interruption to your rental income) and general maintenance and expenses. You should consider all of these risks when deciding whether a property investment is right for you.

Investment property loans come in many shapes and sizes and can be difficult to compare, so you should have an understanding of the general features so you can find the loan right for you.

Firstly, many investment loans are simply principal and interest (like regular home loans) whilst some are interest-only. Interest only loans have the benefit that the borrow only needs to pay the interest for a set period (generally for 5 or 10 years). Thereafter, the borrow does need to pay the principle, so in effect it is like a deferment but can be great for cash flow or to keep money aside for other purposes.

Secondly, it is important to consider the features such as LVR and interest rates, so you can budget properly for your purchase. Many lenders have limited-time offers, so things like introductory rates should benoted. Some also offer specialist construction loans for borrowers who are building their own investment property.

Getting an investment property loan can be a little daunting, but it needn’t be. Ensuring you have all the details about the property or type of property you want to buy, your current account balances and regular outgoings (including any other home or other loans) plus any details about your existing portfolio or investment experience can significantly streamline the process.It’s Simple Finance are a Sydney-based mobile broker can help you with the process of applying for your investment property loan on a no-cost basis.

In this guide, we very simply break down the buying and borrowing process, terms you might not be familiar with, your borrowing capacity and loan documentation, current government assistance available to first home buyers and provide more of our #simpletips.

Use our calculator to stampy duty costs.

We keep things simple

Lenders can make it far more challenging than it needs to be. We work hard to keep things easy and straightforward.

Fast, mobile and digital

We know you want to spend less time arranging your finances and more time enjoying life. That’s why we provide complete flexibility in how and when you deal with us, as little or as much as you like and via Zoom or a visit to your home.

We work for you

We work with over 45 lenders to find you a solution tailored to your specific needs.

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