26/08/2026
Property investors: thinking of selling because repayments are squeezing your cash flow?
Before deciding, check whether your loan structure is contributing to the pressure.
AMP Bank has launched Equity Flex for eligible new investment loans:
• A required 6 to 10-year interest-only period
• A total loan term of 31 to 40 years
• No reassessment during the approved IO period
• An offset account available
• Lending up to 80% LVR
At the maximum structure, that means 10 years interest only followed by a full 30 years of principal-and-interest repayments.
A common structure is 5 years interest only within a 30-year total term. Some lenders offer longer IO periods, so the difference here is the combination of the extended approved IO period and longer total term. Policies vary.
This may reduce required repayments during the IO period and may support servicing or borrowing power. Any borrowing outcome depends on a full credit assessment and is not guaranteed.
There is a trade-off. IO repayments do not reduce principal. Without additional principal repayments, the balance will generally remain unchanged during the IO period. You may pay more interest overall, and required repayments are likely to increase when P&I begins.
Before recommending a change, I would compare current repayments, possible cash-flow difference, rates, fees, refinancing costs, total interest and repayments after IO.
Thinking of selling because cash flow has become uncomfortable? Send me the word FLEX and I’ll run the numbers with you.
Josh Tuckwell | 4 Home Loans Bayswater | 0418 148 689
General information only. This has not considered your individual objectives or circumstances. Refinancing or extending a loan term may increase total interest and fees. Eligibility and approval are subject to lender policy and assessment. Consider independent tax advice.
Joshua Tuckwell is a Credit Representative (499661) of BLSSA Pty Ltd ACN 117 651 760, Australian Credit Licence 391237.
