Purchase (Owner-occupied & Investment)
The most common home loan is a new or existing property purchase. This could be for either owner-occupied or investment purposes.
Owner occupied loans are required when you intend to live in the property, investment loans are rented out to tenants and provide additional income support to pay off your loan.
You can switch from owner occupied to investment loans if your circumstances change but the lender may charge you a small fee.
The owner-occupied interest rate is generally lower than the investment rate, but we will provide options once your scenario is reviewed and the right home loan will be sourced from this information.
Investment loans usually have a tougher criteria and stricter policies depending on the lender, this could include a reduced loan to value ratio (LVR) or only taking a percentage of the rental income.
There are also some benefits when investing which can include having a tenant help pay off your loan, capital gains and minimising their tax contributions. Complete Home Loans always suggests getting advice from your accountant prior to purchasing an investment property.