Parent Equity Home Loan

Mum and Dad can help you purchase or build an investment property without having to dip into their savings. A Parent Equity Loan lets them use the equity in their home to help you with an investment property.

If your family is willing and able to guarantee part of your investment loan and give us additional security over their property, you may be able to afford your own investment property even though you don’t have enough savings for a deposit. You will need to be able to afford the repayments on the amount you wish to borrow without their help though¹.

Features

• Borrow up to 100% of the purchase price of your investment property.
• Borrow up to 10% more to help with associated costs such as stamp duty.
• Choose from a range of home loan options².
• The guarantee is only for the difference between the amount borrowed and 80% of the value of your property; not the whole loan amount.
• The guarantee can be released as soon as the loan amount falls below 80% of the value of your property³.
• Reduce the need to pay Lenders Mortgage Insurance.

Rates & Fees

• A competitive fixed or variable interest rate.
• Establishment fee $445⁴. 

Extras

• pinnacle +plus membership - our package offering discounted interest rates and fees⁵.
• Insure your investment property.
• Parent Equity Loan fact sheet for borrowers
• Parent Equity Loan parent information sheet.

Useful Links

• Our Investing in Property Basics provide some simple facts.
• Our Handy Home Loan Tips can help you to manage your home loan.
• Investment essentials advice from the ATO.
• Useful tips and checklists for buying and renovating your home including green tips
• Green living tips from the Australian Conservation Foundation.

  

Important Information

Terms, conditions, fees, charges and normal lending criteria apply.  Full details are available in our loan offer and on request.

¹The guarantee and additional security must be provided by your parent, parent in law or step parent. ²All-In-One Accounts and interest only repayments are not available. ³Provided you are not in default and subject to property location. ⁴A settlement fee of $150 and other upfront fees including valuation fees and government charges are payable. ⁵Eligibility criteria apply.