Accessing investment lending

Question from Jason updated on 18th June 2018:

I'm looking to purchase an investment property. I have equity in my first property but I have been told that I need 40% equity across both properties and that with the LVR policies in place it will be hard for me to get a loan. I'm working off the government CV. Should I get my house revaluated to show any further increase in equity? Also, what are the best next steps to try and purchase an investment property?





Our expert Kris Pedersen responded:

The recent Reserve Bank change to the LVR requirements mean that through main banks there is now a 65% LVR or a 35% deposit criteria for investment lending. But note that outside of the banks there may be non-bank lending options which could work for you as well.

It is worth investigating whether your property would stack up better than what the GV is. Maybe start by entering your address in and seeing what number comes up or if you touch base with us we can run a report as well. From there on it is a case of, once you have an understanding of what your equity levels are like, getting a preapproval in place. Feel free to get in touch and we can look to assist.









Kris Pedersen of Kris Pedersen Mortgages is a commentator on property and finance. His team sources top finance strategies.

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