A. Investing in property has many benefits when looking to build long term wealth. If you take the time and select your investment properties well, there are a number of advantages including: earning a profit from capital growth in property, additional income through rent or tax benefits including negative gearing.
A. In some cases, you do not need a deposit. If you have sufficient equity in your current home, you can use this as a deposit for your new investment home loan.
If you’ve owned your own home for a few years, you could have built up quite a bit of your equity in your property. For example, a property worth $500,000 with a mortgage loan of $200,000 has equity of $300,000. You can use this equity to pay the deposit on your investment property. To find out more about your deposit options or how much equity you have in your home, contact us , book a Mobile Lender or visit a Service Centre.
A. Property investment loans are not too different from any other type of home loan. You can choose fixed, variable or split interest rates and flexible features like redraws. If you are looking to invest in property, G&C Mutual Bank has a number of home loan options to choose from. We are here to support you - contact us, book a Mobile Lender or visit a Service Centre.
A. Negative gearing means that the expenses incurred in owning an investment property, including interest you are paying on the loan is more than the income it is generating. As a result you are making a loss, which means you may claim a tax benefit. Please refer to your tax adviser to determine your individual circumstances.