A split loan can provide even more flexibility to a loan. The loan can be split on a proportion basis between a variable rate and a fixed rate of interest. A split can also be between a principal and interest payment and an interest only payment.

Unbeknown to many property owners, there are financing options that allow you to extract the equity that has built up in your property over time. This line of credit is usable to purchase consumer items or make strategic investments allowing you to increase you investment portfolio with outlaying further money.

Advantages:
- Flexibility of using the funds and paying pack the funds as you please. The minimum payment required is the interest on the outstanding principal.
- A Funding account which allows you to capitalise on an investment opportunity rather than waiting for loan approvals and potentially missing out.
- Secured by residential property and provides attractive interest rates as opposed to credit cards and business loans

Disadvantages:
- Higher interest rate due to the flexible nature of the product
- Variable interest rate applies which means if interest rates rise, then so do your minimum repayments
- Must be disciplined to not use the equity for overspending and creating more bad debt