Investment Loans
Ready to take the next step in your investment journey? At Home Loans Hub, we provide customized home loan solutions tailored to meet your unique needs.
Whether you’re a first-time investor or an experienced property owner, our expert mortgage brokers will help you secure the best possible investment property financing options. We’ll help you set up a good loan structure that allows you to build wealth faster, minimize taxes, and protect your investments through strategies such as negative gearing and loan restructuring.
Our years of experience in the industry means we can secure the most competitive rates and loan products for you. Let us take out the hurdles and guide you every step of the way towards financial freedom.
Contact us today to learn more about our investment home loan solutions.
Frequently Asked Questions
In setting the interest rate, lenders evaluate the risks linked to various home loan types. Typically, loans for investment properties carry a higher risk compared to those for primary residences. This is due to the unpredictable nature of rental income and the potential for the property to be unoccupied at times.
At Home Loans Hub, we’re partnered with over 40+ lenders, ensuring you’ll find the perfect home loan for your investment property. Your objectives might lead you to choose an Interest Only loan.
Yet, we highly recommend considering an offset facility feature for your investment home loan for added benefits.
Equity is the difference between the fair market value of your property and the amount you have left on your loan balance. Some investors may want to leverage the equity in their existing property for an investment home loan. Remember, the value of your property is subject to current market conditions. You may be able to release more equity in a market where house prices are rising, than in one where they’re falling.
E.g Property value is $1,00,000
Loan amount is $600,000 against the property.
Equity Position is $1,000,000 minus $600,000, equals $400,000 Equity.
LVR, or Loan-to-Value Ratio, represents the borrowed amount as a proportion of your property’s total value. For instance, if you have a loan of $400K on a property valued at $500K, your LVR stands at 80%.
The rental yield is the return on an investment property – the difference between your rental income and expenses. It is rent multiplied by 52 weeks divided by purchase price equals rental yield. If you want to improve your yields, the following could help:
· New paint
· Clean the garden
· Fix the floor
· Update your kitchen
· Refresh the toilet
· Add desirable features like air conditioning, dishwasher, internal laundry, and shutters.
· Built-ins and storage
· A parking spot
· Property safety
Indeed, it’s possible to lease out your property independently, but collaborating with a seasoned property manager can offer landlords considerable time and cost savings. Moreover, owning a rental property becomes more fulfilling. Additionally, expenses for property management are typically tax-deductible.