How much can I borrow for an investment property?
Lenders typically lend 80% of the investment property value, less any debt you owe against it. Some lenders may increase this loan-to-value ratio (LVR), but none will lend you the full amount because they don’t want an outstanding loan worth more than the property if its value falls. To learn more, click here.
Can I use equity in my home for an investment property?
Yes. If you’re a homeowner looking to buy an investment property then you can refinance your home to use available equity as a deposit on your investment property. It means you don’t have to put any cash towards the deposit. Your home becomes security on the new debt. To learn more, click here .
Can I afford an investment property FAQs
According to the Australian Taxation Office (ATO), rental income you receive from renting some or all of your property is considered to be assessable taxable income. This means it’s taxed at your marginal tax rate and must be declared in your income tax return. To learn more, click here.
Since lenders typically lend 80% of the investment property value, on average you’ll need 20% for a deposit. To learn more, click here.
Yes. According to the Australian Taxation Office (ATO), you can claim a deduction for interest charged on any money borrowed to buy an investment property from which you derive an assessable taxable income. You can also claim other loan related expenses. To learn more, click here .