Loans for investment property
  • Want to build your wealth through a investment property? ...
  • Or build a portfolio of property assets? ...
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Investing in property?

 

Want to grow your property portfolio with assets that can provide you with a regular income and potential tax benefits? This page gives you a summary of the main things you need to know.

There are numerous factors that influence your capacity to purchase an investment property including your income level, your existing liabilities, your potential rental levels, and your allowable tax deductions. Please call us on 02-9210-1000 to get more information or go to our loan enquiry page and we will assess your capacity.

 

Use your existing property to purchase an investment

If you currently own a property you may be able to use your existing equity to assist in purchasing a new investment property. If you have sufficient equity you also may be able to arrange a loan to cover all costs taking away the need to make any contribution of your own. Home Loan Advice Centre is able to assess you situation to determine your capacity. The potential rental income from your new investment adds to your existing income so you may not have to earn a large salary to be able to get into the investor market!

 

First time entry to the property market

Are you looking to enter into the property market yet don’t quite earn the income required to get your desired property? You might want to consider making your first property purchase an investment property. There may be advantages for you as potential rental income on the purchase may be used and different lenders also can take future tax concessions into account. This could make your borrowing capacity much higher and allow you to purchase a more desirable property now, which you could keep as an investment or move into at a later date.

The first home owners grant however is generally not available for investment property purchases, however there are certain situations when you can claim it so please talk to us about this.


Abolition of duties

NSW disposed of the 2% vendor duty tax in August 2005 and mortgage stamp duties on all property loans in July 2008. Other states have a variety of duties payable on investment property transactions. Please call Home Loan Advice Centre on 02-9210-1000 for state specific information.


Tax concessions

An additional bonus of investment property is that tax deductions may be available to you. In general, you may be eligible to generate a tax concession on any losses incurred on the ownership ofinvestment property. After talking with Home Loan Advice Centre about what cost price you can acheive, an accountant is best able to advise and assist you with this.


Servicing a loan

Different lenders allow us to utilise your income in different ways. Some lenders allow 100% of your rental income to be used. Also there are lenders who allow us to include your forecast tax concessions in assessing serviceability. These differing factors between the banks can determine how much they will lend you. With our knowledge and experience on lender servicing rules, we can look at your situation and fit you with the best loan for your needs.

 

Home Loan Advice Centre's mortgage service is provided to you completely free of charge. We can do this because our lenders (30 of Australia's main lending institutions) pay us commissions based on the wholesale volume of loans our group refers to them. We can therefore, offer you our experience and expertise, and guide you through the entire home buying journey, without charging you a cent. You end up with exactly the same loan if you'd organised it through a bank yourself, but we do all the leg work and negotiations with the banks for you ..... a great result!

So if you are looking to buy a home or investment property visit our 5 minute online enquiry page. We'll assess your loan options and send you a full report of your capacity. Also we'll include parts 1 and 2 of our eCourse ... an indepth guide to buying property in Australia. Click to see a sample.

 

 

For more information on this topic or any other topics please call Home Loan Advice Centre on 02-9210-1000 or see the following links:

 

Application process

How much can I borrow

Loan enquiry page