Equity & Renovations

Equity is the difference between your property’s current market value and the balance of your outstanding mortgage. For example, if your home is worth $750,000 and you owe $450,000, your available equity is $300,000. However, not all of this amount can be used. Lenders typically allow you to access up to 80% of your property’s value, minus your remaining loan balance.

So, in this case, the usable equity would be around $150,000—depending on your income, financial stability, and overall loan structure.

The next step is calculating how much equity is available to fund your renovation. This involves understanding the maximum loan-to-value ratio (LVR) lenders will accept, any existing debts, and whether you’re planning to stay with your current lender or switch to another.

Our mortgage brokers Gold Coast team will assess your home’s value and your financial position to help determine how much you can borrow. We’ll also show you how different lending structures—like splitting your loan or refinancing with an offset account—can impact your repayments and interest.

Before applying, it’s essential to clarify what you want to achieve with your renovations. Are you improving your lifestyle, increasing the value of the property, or preparing the home for sale or rental?

If you’re renovating as part of a broader investment strategy, speak to a property investment broker on our team to ensure your loan structure supports long-term growth. We can also connect you with a SMSF accountant on the Gold Coast if you’re planning to invest in renovations through a self-managed super fund.

When using equity to renovate, lenders will often request documentation to understand the scope of work. This may include:

• Renovation quotes or building contracts
• Council approvals (for large projects)
• Estimated post-renovation value

Having the right paperwork ready speeds up the approval process. We’ll help you prepare what’s needed and liaise with all parties involved, including builders, valuers, and your current lender.

Once everything is in place, we’ll prepare your loan application and submit it to the most suitable lender. As your broker, we’ll handle all communications, negotiate terms, and ensure the loan settles smoothly.

Depending on your structure, funds may be released as a lump sum or in stages. We’ll guide you through each phase and ensure your renovation kicks off without unnecessary delays.