Investment Loans

The deposit required depends on the lender, property, loan amount and your overall financial position. A 20% deposit plus purchasing costs will generally avoid lenders mortgage insurance, although some lenders may consider a smaller deposit subject to their lending criteria. We can calculate the likely funds required, including the deposit and applicable purchasing costs.

An interest-only loan can reduce repayments during the interest-only period, but the principal does not reduce and repayments generally increase when that period ends. Principal-and-interest repayments progressively reduce the loan balance. The appropriate structure depends on your cash flow, investment strategy, longer-term objectives and professional tax advice.

Potentially. A lender will consider the property’s current value, existing debt, available equity and your ability to service the proposed lending. Equity may be accessed through a separate loan split, loan increase or refinance, subject to valuation and lender approval. Your accountant or tax adviser should confirm the tax treatment of any funds released.

A mortgage broker can compare lender policies, borrowing capacity, interest rates, fees and loan features across a range of lenders. 3LANE Finance also considers how the proposed structure fits with your existing commitments and future investment plans, then coordinates the application, valuation, approval and settlement process.

Debt recycling is a strategy that generally involves reducing non-deductible home loan debt and then borrowing through a separate loan split to invest in income-producing assets. The strategy does not remove borrowing or investment risk, and the use of the borrowed funds is important when determining the tax treatment of interest. 3LANE Finance can assist with the lending structure once you have obtained independent financial and tax advice confirming whether the strategy is appropriate for your circumstances.

Yes, subject to lender eligibility and assessment. Pre-approval can provide an indicative borrowing limit and help you establish a suitable purchasing range before making an offer. It is not unconditional approval and may remain subject to verification of your financial position, an acceptable property valuation and the lender’s final credit assessment.

Consider the interest rate, fees, remaining loan term, repayment structure, loan features and any fixed-rate break or discharge costs. Refinancing generally requires a new application, serviceability assessment and property valuation, and it may not produce an overall benefit once the costs are considered. Any changes affecting loan purpose or tax treatment should be discussed with your accountant or tax adviser.