Buying guide
Guide: using equity to buy a second property, renovate, or invest
Do you know how much equity you have?
AI summary
Homeowners can leverage their property's equity (market value minus loan amount) for significant financial moves. Your usable equity is the amount you can borrow above the 20% you must retain due to LVR restrictions.
This can fund a deposit for a second property, renovations, or other investments without needing cash. Remember, this increases your debt and repayments. To explore your options, calculate your equity and consult a mortgage broker or your lender to get started.
How much equity is in my house?
Equity = House market value - Home loan amount
Useable equity = Equity - 20% of home value
If you've owned your house for a while you might be surprised what you can borrow.
Can you use equity as a house deposit?
What else can I do with my equity?
Building a home
Helping your kids buy a home
It may even be possible to build a new home using equity from your existing home.
Renovating or extending
Getting cash out
How to get started
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