Investment loans
Whether you’re a first time investor, or you already hold an extensive portfolio, you’ll know that investing in property can be an excellent way to build wealth. However with tax, cash-flow, and capital gain implications to consider, choosing the right loan to fund your investment is crucial.
When you meet with your local Express Mortgage Market Adviser you’ll get all the specialist lending knowledge you need to give your property investment the best possible start. You can also email investor@expressmortgagemarket.com.au with any quick questions.
Tips for investing
Did you know that some investment loans allow you to pre-pay your yearly interest so that you may enjoy a tax benefit sooner? There are a lot of things to consider before making your investment, but here some handy hints to get you started:
1) Obtain independent financial advice
Before investing in property, you should seek independent financial advice from your accountant and/or financial planner. This will help you minimise your risk and maximise any possible benefit. Although Express Mortgage Market cannot advise you on investment strategies, we can help you find the right investment loan.
2) Set clear goals and objectives
Why are you investing? Are you seeking tax relief, or strong rental returns? Perhaps long-term capital growth is your priority? A clear objective will help you make a better property investment.
3) Research the market
The more information you have, the more likely you are to invest wisely. Make sure you feel comfortable investing in the geographic area and property type you’re considering.
4) Negative Gearing
Many property investors benefit from tax savings through negative gearing – where the ‘return’ from rental income is less than the borrowing cost of the investment. The loss may then be used as a tax deduction. Consult your financial adviser to see if negative gearing can work for you.
5) Avoid scams
There have been some well-publicised cases where inexperienced, first-time investors – particularly those from interstate - have been overcharged by unscrupulous property developers. If an investment opportunity sounds too good to be true, it usually is.