Seasoned property investors looking to purchase their fourth investment property at 90% LVR

Background

A married couple in their early 40s, with three dependents, were looking to purchase their fourth investment property in Turangi using a 10% deposit.

Challenge

Their main bank required a 30% deposit to purchase an existing dwelling as an investment property, which they did not have.

Mitigants

After the couple’s adviser approached us, we took a close look at the property they’re planning to purchase, their broader investment portfolio and overall profile.

  • The Registered Valuation showed the property was in good condition, with a new roof and carpets. No structural renovations or deferred maintenance were required.
  • Expected rental income from the new purchase would self-service mortgage repayments.
  • Low dollar loan amount and the average sale price in Turangi ($377,500), with 63 median days to sell, provided further comfort around the location.
  • They had an existing investment portfolio with a strong repayment history with their main bank.
  • They are seasoned investors, with a good quality portfolio and strong overall equity position.
  • They have a good client profile, stable PAYE employment, and good account conduct.
  • A 10% deposit was sourced from an equity release using the available limit from their revolving credit facility.

Solution

Appreciating their strengths, we approved a 30-year Near Prime first mortgage, supporting their continued investment growth.

LOAN AMOUNT

$274,500

INTEREST RATE

8.15% p.a.

LVR

90%

TERM

30 years, Principal and Interest

AVANTI FEE

1%

ADVISER  FEE

1%

COMMISSION

0.8% with a 24-month clawback period

Avanti Property Lending
CASE STUDY - PROPERTY LENDING

Property Investment Loan to Support Portfolio Growth

Building a property investment portfolio with multiple properties can be tough—especially when high deposits are out of reach. Traditional lenders may limit borrowing capacity.

As a specialist lender, we take a broader view, considering equity, rental income, and long-term goals to create tailored solutions that support sustainable portfolio growth.

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