If you are purchasing a home or apartment that you intend to live in, it is considered an owner-occupied property.

You might also hear this referred to as your principal place of residence or PPOR for short.

The fact that you intend to live in the property, is what differentiates it from an investment, the purpose of which is to make money. However, owner-occupiers should expect to see their homes increase in value over time.

Financing an owner-occupier property 

• Generally speaking, interest rates on loans for owner-occupied properties are lower than for investors.
• As there is no rental income, you must be able to service the debt on an owner-occupier loan, based on your income. 
• Owner-occupier loans often come with attractive introductory offers. 
• It is possible to access owner-occupier loans with variable or fixed interest rates.
• Interest-only loans are normally not available.
• First home buyers are able to access products such as guarantor loans. 
• Generally, lenders will require a lower deposit for an owner-occupied property, compared to investment.
• When you sell your owner-occupied property, you are not required to pay capital gains tax.

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