A Investment Mortgages are designed to help real estate investors finance properties for rental income or capital appreciation.
The main point when purchasing multiple rental properties is understanding how rental mortgage lenders calculate the property income and expenses. By deducting the expenses of carrying the rental mortgage from the income generated from the property, your debt load (from a lenders point of view) will often be unchanged. This is compared to having the same income without the added expense of an additional property. This allows the average person with a decent income to purchase multiple rental properties.
An Investment Mortgage is a loan used to purchase properties with the intention of generating rental income or capital gain, rather than for personal occupancy.
Construction Mortgages disburse funds in instalments as construction milestones are met. Borrowers typically make interest-only payments during the construction phase and then transition to regular mortgage payments once the home is completed.