Investment Property Loans › Can I turn my home into an investment and buy a new home?

Can I turn my home into an investment and buy a new home?

Often yes. You can keep your current home, convert its loan to an investment loan, and use your equity to buy a new home to live in. The structure and timing have tax implications worth planning.

Written by Ross McFarlane, Licensed Mortgage Broker (Credit Representative 526725). About the author

Why this matters

Holding your existing home as an investment while upgrading is a common wealth strategy, but how you structure the loans affects your tax deductions significantly. Paying down the wrong loan or mixing purposes can cost you. This is a case where lining up your broker and accountant before you act really pays off.

The key points

Keep the current home and convert its loan to investment.
Use equity to buy your next home to live in.
Loan structure drives your tax deductions.
Plan it with your broker and accountant first.

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Last reviewed: June 2026

General information only. This page provides general information about home loans and is not financial or credit advice, a quote, or a guarantee, and your personal circumstances have not been considered. Lending policies, interest rates, fees and eligibility vary by lender and change over time. Always confirm your own situation with a licensed mortgage broker or lender before acting. Ross McFarlane (Credit Representative 526725) is an authorised Credit Representative of Australian Associated Advisers Pty Ltd t/a Keylend, Australian Credit Licence 392169.