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Selling your home to buy another

Buying a second home can be just as challenging as the first. You may be looking to upgrade to a bigger property, or use your equity in your existing property to build a property investment portfolio. 

Getting the right structure of your loan is crucial, and will depend on your circumstances and the goals you have for the new property.

To make this transition as smooth as possible, it is important to do your homework and have a plan. Here's some things you may want to think about when making this decision:

Do you know how much your property or the one you want to purchase is really worth?

The value of your current property will have a significant impact on how much you can borrow for a second property. Do your research and find out how much similar properties are being sold for in your area. Click here to receive a FREE suburb report and find out the sales and growth of a suburb, recent sales and much more.

Are you looking to sell first or buy first?

This depends greatly on your current equity situation and what type of loan you will get. 

  • Sell First - if you have little equity in your current property and you are unsure of how long it will take your property to sell.
  • Buy First - if you have built up enough equity and think you can afford both properties at the same time. You may also want to consider renting out your home if it does not sell. 

Have you budgeted for miscellaneous costs?

Be prepared to have funds available to spend for things other than the price of the property you are purchasing. These fees may vary depend on the State where you are purchasing and your specific circumstances.

Miscellaneous costs include:

Next Steps?

Find the right home loan for you! Click here to view our most popular loans, call 136 126 or enquire online to set up a FREE appointment with one of our lending specialists today!