To Fix or Not To Fix, Is That The Only Question?

In Home Loans, Investment Loans by Andy Edmonds

When it comes to finding the right home loan for your particular needs, one that will work in your favour and not the banks, there are a few more questions to ask than just whether you should go fixed or variable.

As home loan specialist, I can tailor a solution that reflects your lifestyle. Whether to go fixed or variable is a good starting point and there are a few conditions with fixed rate loans that many people don’t know about. If the following conditions are not an issue, then taking out a fixed loan can be a good option:

  • Lenders may only allow you to make $10,000 a year in extra repayments.
  • When you fix the rate on your loan there is no redraw.
  • Getting out of a fixed rate loan early can be very expensive.

Fixed rates are not all bad though, there are good points too:

  • The interest rate will usually be lower than the variable, especially if you go for a 3 year fixed loan.
  • You will know exactly what your repayments will be, so you can do some serious budgeting.
  • No caps on how much you pay back per year.

These days with not only so many lenders out there but also so many products, you really need to speak to a specialist who can compare your options, make sure you get the correct information and match you with the perfect loan. I am available any time to have a chat and to guide you through the whole process.  Please don’t hesitate to contact me directly on 0448 811 567.

 

Andy Edmonds

Home Loan Specialist