As the property investment sector shows signs of recovery, a new mortgage product targeted at investors has been launched by ANZ.
'ANZ Portfolio' enables property investors to bring together all of their home and residential investment lending under a single credit limit.
The product is being sold across all the bank's distribution channels.
It has been developed on the back of research commissioned by ANZ which found more than 50% of investors go on to purchase more than one investment property and 60% of investors secure an investment loan over existing property.
Data released by AFG in its June mortgage index showed the proportion of loans to investors rising to 29.0%, up from a low of 24.5% in March and heading back towards its long term norm for this sector; a range of 30% - 35% of all mortgages sold.
ANZ general manager Mortgages Michael Bock said ANZ Portfolio was designed specifically for investors looking to build wealth over the long term using equity in their property portfolio.
He said the turmoil in global financial markets in the past year had highlighted the relative security of investing in the residential property market, which over the past two years, has been much less volatile than stocks.
ANZ Porfolio features the ability to create up to 12 sub-accounts from a variety of loan types including a line of credit, fixed or variable rate mortgage under one single limit
The loan comes with a one-off upfront fee of $750 and an annual fee of $550 (payable in arrears) covering all sub-accounts and ongoing sub-account administration.
Applications are subject to ANZ's normal lending criteria and ANZ Portfolio's credit limit is established on a customer's ability to repay the entire credit facility.
Investors optimistic property values on the rise - Investors are being lured back into the property market by strong rental yields and an overall improvement in confidence and market conditions, reports RP Data.