Investment Property Loans

Investing the right way in property can provide you with solid, tax-friendly returns, security and, in some cases, more income. For a mortgage broker, you can trust, look no further than Financial Scope Melbourne. Structuring finance for an investment property can be complicated and requires far more expertise than your typical home loan. It’s important to know that while there are a variety of lenders offering financial investment loans, they may not all be the right fit for your investment goals, both now and into the future. In this case, it pays to have professional advice, and Financial Scope is the specialist team that Melbourne residents turn to. There are many ways to finance an investment property, but the best one for you will depend on your specific financial situation.  Many lenders will allow you to use the equity in your own home as a deposit to purchase your investment property. As with most wealth creation strategies, the right planning, comprehensive research, and adequate loan structure are all required to be a successful property investor. At Financial Scope Melbourne, our specialist mortgage brokers make the whole process simple and easy to understand.

What Property do I Buy?

The right investment property to purchase will depend entirely on your investment strategy and the amount of cash flow you have access to. While it can be possible to achieve both strong Capital Growth and a reasonably high Rental Yield in an investment property, this is rarely the case. Making the wrong investment property purchase can be a costly mistake, so it’s important to be empowered with the right information, and determine the optimal strategy to meet your goals, before you make your next property purchase.

Which is Better: Capital Growth or Rental Yield?

Capital Growth:

In many cases, investment properties with good potential for capital growth are going to be reasonably close to the Melbourne CBD, but this will depend on whether you are purchasing a unit or a house.  As with most financial markets, it comes back to supply and demand, and market fluctuations are an important factor to consider.

Rental Yield:

If your investment property strategy is to create a good rental return and cash flow, you would consider buying in Melbourne’s outer suburbs or regional centres. While Capital Gains earned from these investment properties will be lower (compared to those in higher traffic areas), you will pick up a cheaper property, with a better rental yield.

Financial Scope Melbourne will:

• Determine your borrowing power and what loan investment structure might be suitable for you
• Compare a vast number of investment loans from a large range of lenders, and financial institutions across Victoria
• Compare “interest only” with “principal and interest” loan repayments options
• Employ a strategy to minimise any mortgage insurance that may be payable
• Regularly review your lending portfolio to ensure you are still receiving a competitive interest rate