As an investor you may consider streamlining your home loan in order to maximise the cash flow of your properties. There are many loans available to help achieve this, including Interest Only and Interest in Advance loans. Interest Only loans usually have a term of 25-30 years with the interest only portion from 5-10 years, at which point you are eligible to convert the loan to a standard principal and interest loan or roll over your interest only term.
Interest in Advance loans allow you to pay 12 months of interest upfront and are usually used for tax purposes.These loans allow you to pay the minimal repayment and assist in your cash flow. However the principal will remain and careful planning is required to ensure this can be repaid when the loan term has been reached.