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 home equity to fund projects without a cash deposit. Usable equity is the amount you can borrow, typically the value you hold above the bank's required 20% minimum.
This can be used to:
- Buy a second property or bach
- Fund renovations or a new build
- Help children buy a home
Unlocking equity increases your debt, so it's best for appreciating assets. Speak to a mortgage broker to explore your options.
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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