A home equity loan allows you to borrow against the equity you have in your home to invest in shares or property. It is also known as cash out.
With a home equity loan, you can borrow up to:
- 80% of the value of the property (no evidence required).
- 90% of the value of the property with evidence.
- No limit on the amount that can be released.
Some lenders have cash out restrictions limiting the amount you can cash out from anywhere between $10,000 to $50,000. Luckily, not all lenders do.
There are other options when accessing your equity to buy another property via a Line of Credit (LOC) orcross-securitisation. They both are complex and come with their own benefits and limitations. Cash out is the simplest and easy option.
Give us a call on 1300 889 743 or fill in our free assessment form to find out if you qualify for a home equity loan with no cash out restrictions and 100% offset to get maximum benefits out of your investments.
Cheers,