Borrowing capacities have decreased Do you have an existing home and/or investment loan and are considering buying further property? You will find your borrowing capacity has decreased. The effect is amplified the greater your existing lending and if you have a high proportion of interest only loans. Why is this happening? Banks and lenders have been […]
Home Loan-Useful stuff to know
Ten things to know about your home loan A home loan is both simple and complex. The overall concept is easy to understand. You borrow money and buy a property. You pay the loan back in small amounts over a long period of time. Within this simplicity are a million complexities. Here’s ten to think about: […]
Investment interest rates dropping
Investment loans are getting cheaper(again). Back in late 2014 APRA issued a warning to banks to curb the rate of growth of their investment lending to 10%. This sparked a wide range of responses from banks and lenders, depending how close they were to the 10% cap. The almost universal outcome was an increase in interest […]
Interest In Advance
Interest in Advance is a common strategy used by property investors Interest in Advance loan are a tactic available to investors with investment property loans. Unlike standard loans where repayments are made on a monthly or fortnightly basis, Interest in Advance loans are paid in a single payment in June each year for the the following twelve […]
Home to a rental property
The hidden cost of changing your home to a rental property A common scenario is people deciding to buy another home to live in, and changing their home to a rental property rather than selling it. The rationale is solid. The loan on your now investment property is relatively low because you were paying it off when […]