Business Finance - Investment Loans
It’s very important to choose the best investment loan that meets your needs and goals. A good investment loan can make property investment a much smoother process.
Investment loans vary depending on what you are looking to achieve, and can be either very simple, or something more complex that helps you make effective use of tax, gearing and repayments. You can also make good use of loan features such as redraw, offset and additional repayments to help manage your investment loan. When choosing such loans, you need to compare the rates, features, fees and charges.
Investment loans are like any other loan that you can choose for fixed, variable or split interest rates. But there are two types of loans that tend to be more attractive to investors.
- Interest only loans
- Line of credit loans
Investment home loan calculator helps in the following:
- Hanging your loan amount, loan term or interest rate
- Using an offset account
- Redrawing additional loan repayments
- Making a lump sum payment.
Investment loan Australia provides the certainty of fixed interest of up to 3 years and repayments for the term of your fixed period. You can also choose to split a fixed investment loan and a variable rate investment loan for even greater flexibility. Investment Loan is designed for investors who have a relationship with a broker or financial planner and use their services to assist them with investment decisions. Such loans are suitable if you want to:
- Diversify your asset base in a potentially tax-efficient manner,
- Increase investment assets outside of superannuation,
- Effectively manage the cost of borrowing, and
- Gain access to potential tax efficiencies.
Investment loan uses the bank’s money as well as your own to accelerate your potential returns via managed funds or shares. Investment home loans, however, are designed to help you meet your specific financial goals and make property investment easier.