Revolving Credit Facilities

Property investors tend to have a rich portfolio that demonstrates financial responsibility and profitable decision-making. As a result, some lenders will offer a revolving credit facility, also known as a ‘hunting licence’, which functions as a set amount of credit you can use at any time to invest in your property portfolio. 

A revolving line of credit offers many advantages compared to standard loans, including:

• Gives you more control over your investment opportunities by removing the delays associated with standard lending. 
• Cost-effective as you’ll only pay interest on what you withdraw. 
• Large credit limits offered for proven property investors. 

Provided you have the right experience and a demonstrable history of profitable investments, a revolving credit facility is a great way to boost your buying power and enables you to approach sellers as a cash buyer, with all of the credit you need waiting to be withdrawn as required. 

To find the most appropriate lender, talk to Rangewell. We’ll help you identify a lender that understands the property sector and can actively support you as an investor. Even if you’re still relatively new to investment or your credit history isn’t as strong as it could be, you may be able to get a revolving line of credit with our help. Apply today and see how we can help you.

What is a revolving line of credit? 

Compared to traditional forms of finance, a revolving credit facility is far more flexible and efficient. Rather than having to submit multiple mortgage enquiries and applications, you’ll deal with a single lender who will approve a set amount of credit to be utilised at leisure. 

This means you can make property investment decisions quickly, without the red tape associated with traditional commercial mortgages or other forms of lending. Additionally, revolving credit facilities are useful for investments with staged payment structures as there’s no initial up-front sum and instead, you can draw out from the ‘pot’ when needed.

Alternatives to revolving credit

Property investors who want a dependable credit solution that can be drawn upon when needed and repaid when it suits them will benefit from a revolving facility. However, if you’re not planning to make multiple acquisitions in the near future, you may be better off with a more traditional commercial property investment loan with cheaper interest rates. 

Commercial mortgages are perhaps the most popular form of private lending for property investors, as they are structured in a similar manner to residential mortgages. You’ll need a deposit and the lender will offer the rest, with repayments usually spread across a longer term than other types of lending to keep costs low. 

If a commercial mortgage sounds more suitable to you, visit our commercial mortgages page now and apply with Rangewell to get a better deal. 

Apply for a revolving line of credit with Rangewell

Cost-effective and time-efficient revolving credit facilities depend on your background as a borrower, your property portfolio expertise and of course, the strength of your application. Speak to Rangewell today to see how we can help you maximise the potential of all of these factors and secure a credit facility from a supportive lender specialised in property.