Property has long been a trusted path for Kiwis looking to build long term financial security.

When you invest in property, your returns generally come from two places: capital growth over time as property values increase, and ongoing rental income. Every investment carries risks, which is why having the right loan structure from day one is just as important as finding the right house.

Finding the right investment property

Building a successful portfolio starts with making sound choices before you make an offer:

• Location: Look for suburbs with steady rental demand, convenient access to public transport, motorways, schools and local shops.

• Property type: Target properties that suit the local rental market, whether that is a low maintenance townhouse for working professionals or a standalone home on a fenced section for families.

• Local development: Check for planned infrastructure upgrades, council zoning changes or new commercial hubs that could support long term capital growth.

• Due diligence: Always review the council LIM report, complete a building inspection and have your solicitor look over the title and contract before committing.

Using your equity to invest

You do not necessarily need a large cash deposit sitting in a bank account to purchase an investment property. If you already own a home, you may be able to borrow against your usable equity to fund the purchase.

Usable equity is the value of your property minus what you owe, leaving aside a 20% equity buffer for your lender. We calculate how much usable equity you have available so you know your purchasing power before you start shopping.

Why structuring your borrowing matters

How your loans are set up affects both your flexibility and your risk.

When taking out an investment loan, many banks try to secure both your family home and your new rental property under a single lending agreement, known as an all moneys mortgage. While this might seem simple on paper, it links both properties together. If you decide to sell your rental property down the track, the bank can decide how much of the sale proceeds must go toward paying down your family home loan before you can touch any money.

To protect your personal assets, we often look at structuring your borrowing across multiple lenders. By drawing on the equity in your family home through a standalone facility and placing the main investment loan with a different bank, your family home stays independent.

Working with your lending team

Setting up an investment loan involves more than just getting an interest rate. We can compare competitive options from our panel of lenders, guide you on features like interest only periods or revolving credit, and work alongside your solicitor and accountant to ensure your lending supports your wealth plans.