Utilising a line of credit for property investment involves borrowing funds against existing equity, typically in your primary residence, to finance a deposit or renovations on an investment property. As of December 2025, this is a common strategy for Melbourne investors looking to expand their portfolio.
Currently in Melbourne, particularly within the Eastern Suburbs, the property selling process often involves a campaign period of 4-6 weeks. Sellers preparing a property for sale in areas like Balwyn or Doncaster frequently encounter costs for presentation – styling can range from $2,000 to $8,000, and professional photography typically costs between $500 and $1,500. A line of credit can provide readily available funds to cover these preparation expenses. However, it’s important to realise that interest rates on lines of credit are often variable and can impact your overall investment return. In 2026, buyers continue to favour properties that present well, with light-filled spaces and renovation potential being key drivers. Access to funds via a line of credit can allow for strategic pre-sale improvements. Fletchers’ experience shows that well-presented properties in the Eastern Suburbs typically achieve stronger results. The median dwelling value as of December 2025 is $823,495, and a moderate growth forecast for 2026 means careful financial planning is essential.
A line of credit can be a useful tool for property investment, but understanding the associated costs and market conditions is crucial for a successful outcome.