Your investment borrowing capacity just dropped 20% after new tax laws. We share 5 strategies to maximise your potential
If you're a marketing professional who's been thinking about buying an investment property this year, the recent government changes to CGT and negative gearing have likely shifted your position more than you realise. I've had three conversations over the past few weeks with people sitting in exactly this spot. Good income, clear goals, suddenly uncertain about what's still possible. Here's what I told them.
THE LADDER LOWDOWN:
The new rules aren't just a policy headline — they have a direct impact on how much lenders will let you borrow
Smart strategies available — which are outlined below to maximise your borrowing potential
Speak to your financial advisors — with tax implications get expert advice from your accountant and financial planner on what’s right for you.
What Actually Changed
We covered off the changes in this post here. But essentially negative gearing is now limited to new builds, capital gains tax calculation has changed and taxed higher.
5 strategies to maximise your investment loan potential
1 . Talk to your accountant beofre 30 June EOFY
If you’re a marketing contractor, freelancer, side hustler or run a business with an ABN, there may still be legitimate ways to maximise your income position before June 30. This matters because most lenders assess your borrowing capacity based on your most recent tax return. Most people don't think about this until it's already too late. A quick conversation with your accountant now could meaningfully improve your borrowing capacity.
2.. Ask your broker about about home valuations to maximise your deposit
The first step for many investors is to refinance their existing home loan, taking a cash out to go towards an investment property deposit. Two lenders can value the same property up to 10% differently. That difference directly affects your loan-to-value ratio, the interest rate you're offered, and whether you'll need to pay Lenders Mortgage Insurance. If you already own property, it's worth understanding how different lenders see it before you apply anywhere.
3. Get the experts to fully assess your actual borrowing capacity, not an online calculator
We’re seeing large differences by lender. Lenders are interpreting the new rules differently, and the gap between them is significant. In one recent scenario, the difference between the most and least generous lender was $200,000 — from $1.1m to $1.3m. An online calculator won't show you that. A broker will. We’ll also find the best bank fit for you - borrowing capacity, rate, structure.
4. Consider whether an SMSF structure makes sense to buy property
This is a bigger play and not right for everyone, but worth understanding. For example, do you have sufficient super balances? Buying property inside a self-managed super fund means different tax rules apply. If you're thinking long-term about property investment and wealth building, a conversation with a financial planner about SMSF could open doors that seem closed under current lending conditions. Its a great way to get onto the property ladder.
5. Buy a brand new build, and sidestep the new rules entirely
This is arguably the most powerful option available right now. New builds are exempt from the CGT and negative gearing changes, which means lenders assess them differently, and more favourably. In practice, that translates to significantly higher borrowing power. You could buy a property worth 20% more than an established home under current rules, with some lenders going even higher.
Final Thoughts
These are the biggest property changes in years, and there’s much uncertainty in the market. But if you’re well informed, you can make the right call, and move forward with confidence.
Ready to Find Out What's Still Possible?
The window before EOFY is short. If you'd like to understand where you actually stand, and what your real options are we'd love to help.
📞 0414 877 724
📧 will@ladderfs.com.au
🔗 Book a call at www.ladderfs.com.au/book-now