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Property investors

It’s always a good time to look at investing in property and you don’t have to be a property tycoon to do it. Many people who have come to Assured are ordinary mums and dads, singles, average income earners and so on. So if you’ve ever thought about investing in property, chances are it’s easier than you think.

Assureds Top 10 Reasons to Invest In Property

Use others people’s money to pay off your asset.
The great thing about investing in property is that because you are receiving rent, you’re using other people’s money to pay off your investment!
Use other people’s money to buy your asset
Property is an asset which is relatively easy to obtain a loan for unlike many other types of investments.
Tax deductions
Any money you spend on your investment property, including the interest is tax deductable against the income you earn.
You’re investing in an Appreciating Asset
Over time, property has proven to appreciate well. Whilst a new Ferrari may seem like a good idea, it will depreciate over time. Always look to invest in an appreciating asset.
A Predictable Investment
Over the long term, investing in real estate has proven to be a reliable investment, making it a low risk option for investing.
Build Wealth
The Equity you build in your investment property will build over time and this will give you the opportunity to use that equity to purchase future properties. Even Donald Trump started somewhere.
Enjoy the benefits of a holiday home
With more and more people enjoying ‘short holidays’ and long weekend getaways, purchasing a holiday home as an investment is becoming more popular. Not only do you get all the benefits of a regular investment property, there are times when you can enjoy using the property too!
Setup up for your retirement
With good planning, investment properties can be a great source of reliable income, especially in your retirement.
Sack the boss and become a property investor
Good property growth and rental returns are extremely achievable. If you’re serious about property investing, who knows, it could become your full time passion.
Earn money while you sleep
If you have a great property manager, there is very little you will have to do to earn money from your investment property.

WARNING: Purchasing investment properties can become addictive and make you financially secure!

Assured Investment Property Client example

Let me tell you about a real live Assured Home Loans client who first came to us back in 1998.

Jo first came to Assured looking to purchase his first property. His first purchase in 1988 was a unit in Tusmore valued at $84,000. By 2002 the property value had increased to $165,000. With the built up equity in his home, Jo bought another two properties; a unit in Campbelltown for $100,000 and another in Paradise for $75,000. Jo did not use any additional cash savings to purchase these new properties, just the equity in his existing property. Jo simply leveraged off the current property he owned, the equity that had built up in his very first investment. By 2007 the three properties, which were bought for a total of $259,000 were now worth $570,000. That’s an increase of wealth by $311,000! Ask yourself, could you save that much cash?

Jo didn’t stop there, however you can see through these 3 purchases and the equity building up each year just how powerful it can be using leverage and the process of duplication with investment properties. Duplication is simply when you repeat the process each time there is sufficient equity in the properties you own.

It only takes one investment property to get started! If you have equity in your home or cash in the bank earning minimal interest, now is this best time to get started with your first investment property.

Please remember that with all investments you should always talk to your accountant and/or financial Advisor for advice.

Property Investment Home Loans

Assured offers a wide range of home loans suited to property investors

Interest Only Home Loan

Perfect for investors, an interest only mortgage will help you maximise the cash flow on your property.

Standard Variable Rate Home loan

A Standard Variable rate mortgage is traditionally the most popular type of home loan offering plenty of useful features and flexibility. The rate goes up and down depending on the market. A variable rate home loan can be linked to an offset account, helping to reduce your overall interest.

Standard fixed Rate Home Loan

Fixed rate mortgages are also popular with investors because they offer you the security of a fixed rate (which means set repayments) for a given period. This means you have the peace of mind when it comes to budgeting, knowing that your repayments aren’t going to change on you for the term you have selected. Fixed rates can range from 6 months to 10 years.

Basic Variable Rate Home Loan

A basic variable rate mortgage is simple to understand and easy to use and is ideal for borrowers who are looking to make minimum payments and require less flexibility than a standard variable rate loan.

Line of credit

A line of credit allows you to only pay interest on the money you actually utilise. These products allow you to utilise the equity in your property. You can use these funds for any personal purpose and like a credit card, any principal repaid is available to redraw.
This type of home loan is especially attractive to investors who need ready access to funds.

Low Doc loan

A Low Doc loan (low documentation) requires a declaration and BAS statement. They usually come with a higher interest rate. Assured offers a broad range of low doc loans, which are ideally suited to self-employed people unable to provide evidence of income.

Construction Home Loan

A great option for investing in property is to build. Assured Home Loans offers a range of construction home loans for investors. Construction loans are generally interest only for the building period, but then you are able to select from a variable rate, fixed rate home loan, line of credit and so on.

Low Doc loan

Assured makes applying for a home loan easy

Where to buy?

Deciding where to buy your investment property can be an important factor so irrespective of the type of property you’re thinking about investing in, it’s worth aiming for the best location you can afford. Look for an area that has strong tenant appeal, offering:

Proximity to public transport
Nearby facilities like schools, shops and hospitals
Lifestyle options including cinemas and restaurants.

Which type of property to invest in?

Prices for properties can vary greatly and this can heavily effect which type of property you wish to purchase. Do you want a house, an apartment, a townhouse or a holiday home? Apartments and units tend to be more affordable than houses though there can be exceptions to this depending on the condition and quality of the property, its location and the presence of unique features like views. Ultimately it all comes down to thoroughly researching the area you would like you buy in, and matching the type of property with your investment budget.

See what others have to say about getting a home loan with Assured

"We've been with Assured for 8 years, and the reason we're still with them is because their service is fantastic...and the rates are even better!" Vivian, Collinswood, SA

Home Loan Calculators

Our handy Home Loan calculators can help guide you when deciding to purchase an investment property. These simple calculators generally require a small amount of information yet offer you some valuable results. Feel free to take a look at our full range of home loan calculators.

Now is a great time to invest in property. To find out how much you can borrow, talk to one of our friendly consultants who can give you all the information you need.