April’s cheapest investor home loans

Posted: 4 April 2018 2:53 pm

Investment lending is set to heat up as regulations could ease.

Details of the home loans featured on this page were correct for 4 April 2018. Check out all our cheapest loans here

Australia's banking regulator looks set to ease restrictions on investment lending, which could see lenders passing on sharper rates to property investors.

In a speech before the House of Representatives Economics Committee, Australian Prudential Regulation Authority (APRA) chair Wayne Byres flagged a possible change to investment-lending restrictions. APRA has instituted a range of measures over the last year to try to cool the housing market and limit what it sees as risky lending. The regulator has made moves including placing a 30% cap on new interest-only lending and putting a 10% speed limit on new investment lending.

Byres told the committee there was reason to believe the measures were working.

"In our view, these interventions are achieving their purpose. The quality of new lending today is higher than it has been for some time," Byres said.

During questioning, Byres admitted that the 10% investor-lending cap could be one of the first measures wound back as lenders cut the level of risk in their mortgage portfolios.

With regulations likely to be eased and lenders coming in below APRA's 10% cap, the appetite for investment home loans is reawakening. Lenders have made cuts to their rates to try to entice property investors back to the market. We’ve searched through our database to identify the cheapest investor home loans available through finder.com.au. To make sure that the loans we chose would help the average investor, we used the following criteria:

  • All loans have a minimum loan amount no greater than $250,000 and a maximum loan amount of $500,000 or higher.
  • All loans require a 20% deposit, while some need even less (though you'll have to pay lenders mortgage insurance).
  • All loans are for investment purposes and exclude line of credit and construction loans.

Product information for all these loans is correct as of 4 April 2018.

You can check out the loans in the table below.

*Our cheapest investment home loans round-up is a monthly regular article that features the cheapest loans in finder's database. The rates and other information in this page are correct at the time of publication and are subject to change. There may be cheaper loans on the market than the ones listed here. The home loans in the table above were taken from finder.com.au's database on 4 April 2018.

Want to compare more options? Check out all our investment property home loans

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