C&G’s Guide to Buying Your Second Property

Are you thinking of expanding your investment portfolio? Or simply purchasing a second home to use as a ‘sea change’ or ‘treechange’ getaway? Acquiring a second property – for investment or pleasure - is an exciting endeavour that inevitably requires thoughtful planning and budgeting. In this latest C&G blog, we highlight key considerations when buying your second property.

Consider your Cashflow

A second property, and subsequently second mortgage, will impact you financially in some way. It’s always a smart idea to budget your finances months in advance, with a contingency plan should unexpected costs arise. When applying for a loan, banks will assess your income, debts and your regular spending habits. Ensure you are in a financially robust position, with a stable income that proves you can service both your current and potential mortgages.

Using your Equity

Purchasing a second property will likely mean applying for a new home loan. You may not be required to provide a deposit on your second asset, instead using the equity on your existing property as collateral. Property equity is the difference between your asset’s market value and the amount you owe on your mortgage. This is a common investment strategy, but it does depend on how much equity you’ve accumulated, and your financial standing. For a better understanding, C&G have an informative blog unpacking property equity here!

Be Aware of Costs

This is where budgeting and having all the facts is important! Ensure you know which costs will arise, and prepare your budget to cover them before pursuing a purchase. These costs will include:  potential deposit on the new property, stamp duty, property title transfer fees, conveyancing fees and registration fees. These will also vary depending on the property type you pursue. An apartment, for example, will have additional owner’s corporation costs to consider.

Buying a second property is a big and exciting decision. Chisholm and Gamon’s expert sales team have years of experience handling residential and investment sales across Melbourne. We would be delighted to answer your questions and provide a tailored strategy for reaching your real estate goals. Reach out today!


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90 Ormond Road,
Elwood Vic 3184
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Black Rock

03 9589 3133
3 Bluff Road,
Black Rock Vic 3193
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03 9646 4444
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Port Melbourne Vic 3207
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