Where the purchase funds come from
Savings and borrowing have different effects on your finances. If a refinance would help fund the down payment, include its costs and additional payment in the plan.
← Real Estate Wealth Map™
02 / Aspiring Investor
Plan the financing for your first rental property.
A rental purchase introduces new income, costs and borrowing decisions. Work out how it would fit with the commitments you already have before relying on the rent or choosing a mortgage.
Talk about your first rental ↗Your financing priorities
Connect the rental purchase to your finances.
The down payment, rental mortgage and existing debts are parts of the same decision. Review them together to understand the payments and funds the purchase would require.
What the rent needs to cover
Allow for operating costs, vacancies, repairs and mortgage payments. Expected rent and the income a lender recognises in its assessment may differ.
How the rental fits your plans
A property you intend to hold may need a different financing discussion from one you intend to renovate or sell. Explain your plans and the time and funds you can commit.
Bring the financing into focus
Review the purchase funds and the mortgage together.
Having equity does not mean the cash is already available. A proposed refinance needs its own assessment, and its payments belong in the overall purchase plan.
01
Purchase funds
Savings and any proposed borrowing
Assess availability, costs and payments.02
Rental mortgage
The proposed property financing
Assess terms, payments and the rental income.The combined commitment
Existing debt payments + new borrowing + rental operating costs
Review against your income, expected rent and reserves.How Streetwise helps
Plan the rental mortgage in context.
Streetwise reviews the proposed rental alongside your income, debts and existing properties. We help you assess the source of purchase funds and the mortgage terms in relation to your investment plans.
For connected financing decisions, the complimentary Financing Roadmap™ starts with your goals and brings the financial review and recommendations together.
Explore rental-property financing →How the Financing Roadmap™ works →Learn and work through your numbers
Useful before your next decision.
Learning guide
Understand equity and refinancing
See what affects the funds available after a refinance.
Read the guide →
Learning guide
How lenders assess rental income
Learn why the rent received and the rent used in a financing assessment may differ.
Read the guide →
Interactive calculator
Test the rental cash flow
Explore income, operating expenses, mortgage payments and reserves.
Open calculator →Talk to Streetwise
Considering your first rental?
Tell us about the purchase you are considering and how you expect to fund it. We can help you identify the financing questions to address.