Borrowing for an investment property is an important decision. K Partners assists clients by providing support and guidance through the investment property lending process.
When investing in property, it’s important to understand the lending options available and how different loan structures may operate.
The K Partners team has experience assisting clients with investment-related lending and loan structuring considerations, subject to individual circumstances and lender criteria.
Investment property loans can be used to invest in land, houses, apartments or commercial property. You earn income through rent, but you must pay interest and the costs to own the property. These can include council rates, insurance and repairs.
Investment home loans generally offer two repayment options: principal and interest (P&I) and interest-only (IO).
With an interest-only loan, repayments cover interest only for an agreed period, after which the loan typically reverts to principal and interest repayments. Principal and interest loans involve repayments that reduce both the interest and the loan balance over time.
The suitability of each repayment type depends on individual circumstances, lender criteria and financial considerations. Borrowers should consider seeking advice from a mortgage broker and, where appropriate, a suitably licensed financial or tax adviser before making a decision.
We will require your income and liability information to determine your borrowing capacity
First we need to identify your loan amount which will determine your monthly repayments
The final rate the bank will offer you will be determined by the purpose of the loan and the loan amount. It will also be based on the type of loan i.e. home loan, investment loan, or if the repayments are interest only or principal and interest.