Investing in property
Featured basic variable rate
For an investment property, with LVR up to 70%
2-yr intro discount on variable rate^
Variable rate includes 2-year 1.89% p.a. discount from loan settlement, reverting to 1.49% p.a. life-of-loan discount thereafter^ (excludes refinances within Westpac Group). Plus 0.10% p.a. discount for LVR+ up to 70%. New basic Investment home loans on P&I repayments. T&Cs apply.
Why choose Westpac for your investment?
Discounts for diligent investors
Get additional interest rate discounts by paying 12 months interest in advance on Fixed Rate Investment Property Loans with Interest Only in Advance.***
Best Investor Lender two years running
Awarded at RFi Group Australian Lending Awards, 2020 & 2021 for Best Investor Lender
Guides and calculators for property investors
Applying is simple, get started online
1. Apply for your home loan now
Apply in around 10-20 mins, or save and come back later. Tell us about you and see how much you could borrow. And don't worry, we'll let you know before the credit check. Need help? You can live chat with us to help you complete the application.
2. Fast approval
You could get unconditional refinance approval the same day you apply. Or conditional approval within 1 business day to help you confidently bid or make an offer for up to 90 days.
3. Discuss your rate and features with a lender
A dedicated lender will be in touch to go over the finer points of your loan. You’ll have an opportunity to negotiate your rate, as there’s no obligation until you accept your rate and loan offer.
4. On to settlement
Your lender will finalise your loan through to settlement. Accept our loan offer, and that’s it.
What to consider when buying an investment property
Whether you're a savvy property investor or new to real estate investment, here are some things to look out for.
- Capital growth. Property prices have shown good growth over the long-term, with less volatility than other investments like the stock market.
- Physical asset. You can renovate and add your personal touches to increase its value.
- Tax deduction. Most of your property's expenses can be offset against your rental income.
- Passive income. The right property filled with quality tenants can generate a lucrative long-term income.
- Diversification. A property portfolio adds balance to your investment portfolio, protecting you against underperformance in any one asset class. There's also an option to buy property through an SMSF (self-managed super fund), although this does come with restrictions.
- Costs involved. Investment properties can be costlier than other investments, with high costs like stamp duty, real estate agents, professional property manager and maintenance costs, landlord insurance and exit costs. For example, you may need to pay Capital Gains Tax when you sell – even if it’s your holiday home – which will eat into your capital growth.
- Non-liquid asset. If you need to access money, you can't sell off a room. It takes a long time to sell and settle a property, unlike reselling other investments, like shares and managed funds – read more on using equity to invest in shares.
- Risk. You could overestimate market value, property prices could fall, and you could get into negative equity – where property value is less than your loan amount.
- Interest rates. Investment home loans have higher rates than owner-occupied home loans. And interest rates could rise over the life the of your loan, increasing your repayments.
- Tenants. You're reliant on your property having good tenants – periods of vacancy or bad tenants can eat into your property income, and reduce your rental yield.
Articles for Property Investors
Things you should know
Conditions, credit criteria, fees and charges apply. Terms and conditions available on request. Based on Westpac's credit criteria, residential lending is not available for Non-Australian Resident borrowers. This information has been prepared without taking your objectives, needs and overall financial situation into account. For this reason, you should consider the appropriateness of the information and, if necessary, seek appropriate professional advice. This includes any tax consequences arising from any promotions for investors and customers should seek independent advice on any taxation matters. Credit provided by Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714
*Comparison rate: The comparison rate is based on a loan of $150,000 over the term of 25 years. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
*** Interest Only in Advance: Subject to Bank's approval and normal lending criteria apply. Interest Only in Advance interest rates and discounts apply to new Fixed Rate Investment Property Loans and loans which have been switched into Interest Only in Advance products. Existing fixed loans are not eligible unless the loan is re-fixed. Discounts are subject to change.
+LVR stands for the loan-to-value ratio. LVR is the amount of your loan compared to the Bank’s valuation of your property offered to secure your loan expressed as a percentage. Home loan rates for new loans are set based on the initial LVR and won’t change during the life of the loan as the LVR changes.
#Premier Advantage Package: Conditions of Use and $395 annual package fee applies. You must either hold or be approved for a Westpac Choice transaction account in order to qualify and continue to receive the benefits of the Premier Advantage Package. Applicants must have a Westpac Choice transaction account linked to the home loan at the time of settlement and must keep this account open for 60 days after settlement. Before deciding to acquire a Westpac Choice account, read the terms and conditions, and consider whether the product is right for you. Tax consequences may arise from this promotion for investors and customers should seek independent advice on any taxation matters.
^Flexi First Option special offer rates with Principal & Interest repayments
Special offers are only available on new Flexi First Option Home and Investment Loans with Principal & Interest repayments. Discounts do not apply to internal refinances or switches within the Westpac Group, which includes refinances from Westpac, St.George, Bank of Melbourne, BankSA and RAMS. Not available to company and trust account holders. Offer may be varied or withdrawn at any time. Interest rates are subject to change:
- For a property to live in (Owner occupier): Offer commences 24/11/2023. Includes a 1.64% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.24% p.a. discount for the life of the loan.
- For an investment property: Offer commences 24/11/2023. Includes a 1.89% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.49% p.a. discount for the life of the loan.
Flexi First Option special offer rates with Interest Only repayments
Special offers are only available on new Flexi First Option Home and Investment Loans with Interest Only repayments. Discounts do not apply to internal refinances or switches within the Westpac Group, which includes refinances from Westpac, St.George, Bank of Melbourne, BankSA and RAMS. Not available to company and trust account holders. Offer may be varied or withdrawn at any time. Interest rates are subject to change:
- For a property to live in (Owner Occupier): Offer commences 5/06/2020. Includes a 0.53% p.a. discount off our Flexi First Option Home Loan Variable Rate with Interest Only repayments for the life of loan. Interest rates are subject to change.
- For an investment property: Offer commences 24/11/2023. Includes a 1.65% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.25% p.a. discount for the life of loan.
If at any time before the end of a fixed rate period you switch to another product, interest rate (fixed or variable) or repayment type, then a break cost and administration fee may apply.
1Break costs on prepayments and switching: Customers can make total prepayments of up to $15,000 (cumulative) for loans fixed prior to 21 March 2009, $25,000 (cumulative) for loans fixed between 21 March 2009 and 16 March 2012 or $30,000 (cumulative) for loans fixed on or after 17 March 2012, without costs or fees applying. Prepayments exceeding this threshold may incur a break cost and administration fee.
3Redraw facility: if you have ‘available funds’ (you’ve made extra home loan repayments) and you’ve activated your redraw facility, you’re free to redraw them with no redraw fee. Read our for full details.
The output or result of this calculator:
- Is subject to the assumptions, which are subject to change.
- Is prepared without knowing your personal financial circumstances. Before you act on the output of this calculator, please consider if it’s right for you. If you need more information, please call 131 900. We recommend you talk with your financial adviser before taking out a loan.
- Doesn’t represent a quote or pre-qualification for a loan.
- Might not be taken into account if you apply for a loan with us, as we’ll make our own calculations. When assessing ability to service a loan, Westpac may use an interest rate that’s higher than the current interest rate for the loan you’ve requested.
The interest rates used in the calculator:
- Are current, as shown on our home loan interest rate pages
- Are Westpac's standard interest rates, and include any package or promotional discounts
- Are subject to change.