Buying an investment property is pretty similar to buying your home, with a few key legal differences.
With the exception of some legal differences, the process of buying an investment property is similar to buying your home.
1. Budgeting for your mortgage and the wider costs
Work out a budget. It is a good idea to cover all your costs including building and pest inspections, strata searches and stamp duty.
Consider whether you can afford the repayments if the investment property is not rented.
Talk to your accountant or financial adviser.
When you've found a property get the agent to send the contract of sale to your solicitor or conveyancer for review.
Your solicitor or conveyancer will also help with the settlement process and exchange of title documents.
2. Applying for your investment loan
Review different lenders and short list your preferred options.
Prepare for the application process (bank statements, payslips, ID, etc).
3. Mortgage approval
Once your application is approved your lender will contact you about accepting the mortgage letter of offer.
4. Satisfying conditions and accepting the letter of offer
After you have advised the lender of your property details, they will value the property and resolve any other outstanding conditions, before moving to formal approval.