Regulatory pressures in the residential investment market over the past few years have resulted in some changes to the way lenders have applied investment rates.
Currently, ‘Interest Only’ Investment loans have incurred rate increases, whereas ‘Principal and Interest’ Investment loans have had some significant discounts.
These changes in most cases and with most lenders have resulted in customers being better placed shifting to ‘Principal and Interest’ products to gain more competitive rates, with the added incentive of also being able to pay down their balances.
This shift, combined with some very competitive new business ‘Principal and Interest’ rates, means it is a great time to re-assess your investment loan options.
The good news gets better though if your owner occupied home is unencumbered. You will be able to refinance your existing investment debt under your owner occupied security and enjoy the benefits of owner occupied rates, currently the lowest they have been for a long time.
When was the last time you re-assessed your investment rates? Talk to me about a free appraisal.