Property investment loans are not the same as a standard home loan but unfortunately most banks treat them the same.
As a mortgage adviser I deal with a lot of people that have or need property investment loans. I know that they should be treated differently and I know how to write up the mortgage application correctly.
How Many Investment Properties Do You Plan To Have?
There are a lot of Kiwi Property Investors that have just one rental (investment) property, but that is often only because the banks will not let investors have more.
Many investors do want to have more and this is when it becomes really important to get the finance structured correctly on the first investment property and generally that also means not having all the loans with just one bank.
Choosing Which Lenders
There are a range of banks and loan options for property investors to choose from.
Like your standard home loans some lenders are better or more flexible than others – especially when it comes to how they test your affordability.
The banks are restricted by the banks own policy, but often by rules from the Reserve Bank too; whereas some of the non-banks are able to offer options that are not limited to the same extent by rules imposed on them.
Working with Mortgage Managers I have access to most banks and non-bank lenders so you know that you will have the options to consider.
Let’s Assess Your Situation & Make A Plan
Before you race to the bank to get property investment loans we should look at your situation, assess the options and what your future plans are.
You are better to get good advice right at the start as it’s a lot easier than having to refinance things later.
It costs nothing to have a look at your situation, and the advice that I can give you might save a lot of headaches and costs later on.
