Investment Property Loans allow borrowers to buy or build residential real estate as an investment. These loans may include borrowings for any investment purposes (such as shares) that are secured by a residential property.
Additional lending criteria apply to investment home loans, as the risks associated with them differ to the risks associated with standard home loans. These include requiring a clear credit history and an acceptable income from the borrower.
Investment loans will also generally have a maximum LVR of 95%. For towns not listed as Category 1, 2, or 3, a maximum LVR of 90% is applicable. These are generally for small towns. Additionally, where the LVR exceeds 85% then 10% of the purchase price must be evidenced as genuine savings.
If you would like more information about investment loans please call us on 1300 558 887 or speak with a Naritas team member online now.