If you are thinking about investing in property, or have an existing investment loan elsewhere, why not look to our & Investor Loan to benefit from a great interest rate, optional offset account and no ongoing fees.
- Borrow up to a maximum of 90% Loan to Value Ratio (LVR) - subject to Lenders Mortgage Insurance.
- Flexible loan sizes - obtain a loan that suits your investment needs starting at $50,000.
- Optional offset account - an & Access Account which gives you a 100% balance interest offset against your & Investor Loan with no monthly fee.
- Redraw facility - pay more into your home loan and access the funds when you need them.
- Flexible repayments - weekly, fortnightly and monthly principal and interest repayments available.
- Repayment options to suit your lifestyle - principal and interest repayments or interest only repayments available for up to 5 years.
|& Investor Loan (P&I Repayments)||< 90.00%||3.23% p.a.||3.23% p.a.|
|& Investor Loan (IO Repayments)||< 90.00%||3.43% p.a.||3.28% p.a.|
Frequently asked questions
What is an investment loan?
An investment loan works like a standard home loan except that the property is not occupied by the borrower themselves. Instead, the borrower purchases the property to generate a passive income by reselling it, renting it to tenants, or both.
How are my principal and interest repayments calculated?
On a standard principal and interest loan, your repayments are calculated based on your loan term, amount borrowed, and your fixed or variable interest rate. To estimate what your repayments will look like for one of our loans, use our home loan repayment calculator.
Why do investors prefer investment loans with an interest only period?
Buying a property and renovating it so that it's worth more later and/or renting it out to tenants is a common investment strategy that people use investment loans for. After purchasing a property, the initial stages of renovation or finding tenants mean that the property may not generate returns straight away. Starting off by making interest only repayments helps with budgeting until the property starts to pay for itself. Interest repayments on an investment property are also tax-deductible, so the investor can minimise expenses on the property.
How does an offset account work with an investment loan?
An offset account is a bank account linked to your loan. The money in your offset account reduces the interest you need to pay. For example, if you had a loan of $500,000 with $50,000 in your offset account, you would only be charged interest on $450,000, reducing your loan repayments and helping you pay off the debt faster.
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