Loan repayments are THE single biggest expense for most families yet ironically most people feel like it's too hard to fix. The truth is, it isn’t! That’s where we come in.
Your home loan repayments are no different to your utilities bill… if you don’t review your mortgage or investment loan every 12-24 months or so, it’s likely that there are better product options in the market that better suit your current lifestyle.
Your loyalty to your lender could be costing you thousands of dollars each year. Refinancing could achieve a lower interest rate which can make for significant savings over the long term. For example, if you have an average $500,000 size home loan on an average variable rate of 4.30% p.a, you’re paying $2,466 a month on your home loan. If you refinanced that average home loan to a rate of 3.70% p.a, your monthly repayments would drop down to $2,294. That’s a saving of $172 per month. Over the course of 30 years, you’d save $46,500.
Here’s why we recommend reviewing your loans every 12-24 months:
COMPETITIVE INTEREST RATES
You could achieve a lower interest rate than what you’re currently paying which over the course of a number of years, could make up the deposit on an investment property or fund a renovation.
ACCESS AND USE EQUITY
Refinancing can give you access to equity that you can use to invest in other assets such as a new home, investment property, etc. One of the key advantages to this is that you can purchase an item with the same interest rate as your home loan, rather than the higher interest rates charged on personal loans, car finance or credit cards.
NEW LOAN FEATURES
Loans go through product developments just like any other product or new technology so there may be new features that can help you reduce your interest repayments such as additional repayments, portability and, offset accounts.
PAY LESS FEES
When you refinance with a broker you may benefit from waived application or establishment fees, ongoing fees, valuation fees and monthly fees.
SIMPLIFY AND OR CONSOLIDATE DEBT
There may be benefits to consolidating your debt by rolling your existing debts into a single, more manageable loan with a competitive interest rate. This can result in reduced fees and interest repayments. Our aim is to save you money wherever we can during the loan process.
LOAN TO SUIT YOUR LIFESTYLE
Depending on your life stage, your requirements can vary widely when it comes to lending. Our aim is to achieve a level of flexibility to give you the freedom to do what you want to do in life.
For life transforming advice, call us today on 1300 76 40 30.