Investment
Investment Property Loans
An investment property can be purchased with a low doc loan just as a home loan can. The same terms and conditions apply as do the qualifying criteria
Rental Income Is Taken Into Account
Rental income generated from an investment property is taken into account when a bank calculates your serviceability. Often, only 75% of the rental income is used to calculate due to the possibility of vacancy of the property and repairs and maintenance. Rental yields can range from 4% to 6% which is sufficient to repay the interest. With negative gearing there are significant tax advantages for property investors
Interest Rates On Investment Loans
In recent years, banks have applied a higher interest rate on loans taken out for investment purposes due to Reserve Bank capital requirements. Usually the interest rate is higher by 0.25% to 0.5%.
Off The Plan Purchases
Off the plan property purchases can also be purchased with a low doc loan. An off the plan purchase will require a deposit on purchase and the remainder on settlement. The loan application needs to be made closer to settlement of the property
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How We Work
01. Establish contact
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02. Requirement Analysis
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03. Pricing & Contracting
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04. Project Initiation
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05. Project Steady State
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