Investment Loans

A minimum of a 5% deposit for residential property or a minimum of a 10% deposit if it’s a construction loan which means that you are building the property from scratch and it’s not an existing property. On a $1M property, 5% would be $50,000. On a $500,000 property 5% would be $25,000.

To use a home equity loan to purchase an investment property, you must have enough equity in your home. The maximum loan-to-value (LTV) on a home equity loan varies by lender but typically tops off between 80 and 85 percent

To use a home equity loan to purchase an investment property, you must have enough equity in your home. The maximum loan-to-value (LTV) on a home equity loan varies by lender but typically tops off between 80 and 85 percent.

Home equity is a low-cost, convenient way to fund investment home purchases. If you live in a stable real estate market and are interested in buying a rental property, it may make sense to use the equity in your primary home toward the down payment on an investment property.