Loans for investment property

Investing in residential property is a popular strategy to grow your wealth. Our brokers can assess and provide appropriate lending for your investment strategy, including SMSF.

Getting familiar with some financial terminology can give you a leg up on your journey.

Investment Property

Investment properties can generate many financial benefits for investors, particularly for those who have the patience to see through a long-term investment with a sensibly selected property. Our specialist mortgage brokers can be a key asset to your investment strategy, with the ability to provide finance solutions to maximise your investment return. We also provide finance options for Self Managed Super Fund (SMSF)  investments, including refinancing.

Accessing equity to invest

Utilising available equity in your residential home to invest in additional property is a way to facilitate a purchase without a cash deposit. Bernie Lewis Home Loans can assist with identifying the amount of equity in your property that you can unlock to assist with a purchase, which will in turn project how much you could purchase a property for.
The two main ways to access your equity:
  1. Applying for a cash out loan against an existing property to act as a deposit to use in combination with a standalone loan to purchase a new property. This would enable properties to remain separate, mitigating risk.
  2. Cross-collateralising properties together, leveraging equity to take out new borrowings to purchase a new property. This can be viewed as a riskier structure, but may lead to greater product discounts, with a shared equity position.

You should speak to a Bernie Lewis Home Loans Mortgage Broker about the benefits and risks, and to identify what is suitable for your situation.

Investment benefits


Rental payments from your tenants provide the cash flow income for your property, which can be used to help meet the loan repayments and other expenses of the property, but rent is only one component of your overall investment return.


This is where the property value goes up in line with the general property market and history tells us that well located properties will on average, double in value around every 10 years.


This is where you add value to your property through either buying at below market value or by renovating and adding more overall value than the cost of the renovation.

Tax benefits

Investment properties can be a way to facilitate tax concessions, which is one of the more popular reasons owners decide to invest. It’s important to understand how the property will be geared, and how that will affect your tax position:

Negative gearing

Negative Gearing is where the costs of owning and managing an investment property exceeds the rental income received, with the loss claimable as a tax deduction on your taxable income..

Positive gearing

Positive Gearing is where the investment property gains more in rental income than the costs of owning the property, becoming a profitable and taxable income stream for the investor.

Self-Managed Super Fund (SMSF) finance

This is a favourable option for those who want to retain flexibility when it comes to retirement superannuation, whilst still being able to choose from a variety of investments. SMSF finance opens up a wider choice of assets in which to invest, including property and direct shares. Other advantages may include the capacity to exercise control over the timing of taxable events, and some even find self-managed super funds to be more transparent and tax-efficient than other products.

Self-managed super funds have complicated tax structures to navigate, so you must make sure that you are fully committed to running them in the most effective way possible.

Appointing a skilled broker, financial adviser and tax accountant is a smart way to ensure that your fund is being arranged and managed in a way that is efficient, and in line with the law.

Property research

Thorough property research is an important part of the planning process. Prior to committing to purchasing and investment property a Bernie Lewis Home Loans Mortgage Broker can assist you with your research by providing a property report that captures key information, including:

  • Property sales history
  • Government valuations
  • Recent comparable sales
  • Suburb profile
  • Comparable rents

If you would like any further information regarding the purchase of an investment property, please talk to one of our Mortgage Brokers.

Meet our

Your first home loan is a journey. Wouldn't it be nice if you had an expert guide who would give you a hand in making the best decisions and avoiding the pitfalls?

Well that is exactly what Bernie Lewis Home Loans brokers do. In fact we have been doing this for decades. Best part – it doesn’t cost you anything extra. So what are you waiting for?


My partner and I were really out of our depth at the start of building a home. We visited a few banks who weren’t all that helpful, but we talked to our Mortgage Broker and she explained everything to us in a way that was easy to understand and made us feel really comfortable. She went out of her way to help make sure the process was as simple and smooth as possible. Every question I had no matter how odd was answered thoroughly. Definitely will recommend Bernie Lewis Home Loans. They actually made building a house a fun and relatively stress free experience.

Andrew b

Building Loan

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Lending terminology explained

The following is a list of terms and their meanings that you may come across when purchasing a home and arranging a home loan.

This is the person who acts on your behalf for the purchase of the property. They will attend the settlement and ensure that you get clear and unencumbered title or ownership of the property. They may also conduct various searches of the title to ensure that everything is in order as well as collect and disburse all funds in the transaction and provide you with your detailed settlement statement. A solicitor can also perform this function.

Any contract to purchase property, may have conditions imposed on it by either the vendor or purchaser; however a contract for a property purchased at auction usually cannot have any conditions, These could be conditions such as subject to a satisfactory building or pest inspection, or subject to finance. In fact, any condition can be placed on a contract but it must be agreed to by both vendor and purchaser. If a condition is not met by the nominated date or time then either party can cancel the contract, usually without penalty.
The purchase contract will specify a deposit amount that must be paid prior to the end of the cooling off period, or in the case of an auction, on the fall of the hammer. This amount is usually 10% of the agreed purchase price; however it is open to negotiation. The money is held by the selling agent in their trust account until settlement. You should ensure that you are issued with a receipt for the deposit paid.

When you sign a contract to purchase a property, you then have until midnight two clear business days later to cancel the contract without penalty. Any deposit paid will be refunded in full.

A property purchased at auction does not have cooling off rights. Cooling off rights can also be waived by signing the appropriate document prepared by a solicitor. This is generally done for a property going to auction and purchased prior to the auction.

This is a once only premium payable by the borrower at establishment of the loan. Most lenders will insist on LMI cover whenever the loan is greater than 80% of the value of the property. It protects the lender (only) in case of default on the loan. If the lender takes possession of a property after a borrower defaults and there is a shortfall on sale of the property, the insurer will cover that shortfall. The insurer will then seek reimbursement from the borrower.
This is the document that is lodged with the Land Titles Office (LTO) detailing the change of ownership of the property. This is usually prepared by the conveyancer for the purchaser.
Is the legal document that registers the lender’s financial interest in the property, and gives them the legal power to sell the property if the Mortgagor is in default on the loan.

The lender who is providing the loan and therefore holds the mortgage on the property.

The lender will register their financial interest in the property by way of a notation on the title. This is done by the LTO and they will charge a fee for this.
This is you, or the person borrowing the money to fund the property.
This is the process by which the conveyancer acting on your behalf lodges the Memorandum of Transfer with the LTO to transfer ownership of the property. The LTO charges a fee for this based on the contract price of the property.
This is a fee levied by the State Government on all property transactions. It is calculated on the contract price, or fair market value of the property and is payable on settlement.