A line of credit can be a very appealing idea, with immediate access to the limit of a mortgage and no extra approvals necessary. Used wisely, it can make investment and purchase of commercial equipment simple, but it can also spell disaster for the unprepared.
A line of credit (LOC), also called a home equity loan, allows mortgagees to access the equity in their property as needed. It can be a standalone product or almost any type of existing loan can be split with an LOC. Interest is usually slightly higher than the standard variable rate.

Buying your own home remains the great Australian dream – and purchasing a second property may help you take your wealth further. Whether you’re building your property investment portfolio, buying a holiday house or supporting a family member, there are plenty of things to think about before you take that next step.