If you’ve kept up-to-date with the Reserve Bank’s statements on the Cash Rate Target, you will know there has been a reprieve from interest rate rises in the last three months including October. It’s time to ask if these decisions have been reflected in your own home loan repayments.
Giving your Bank a call and asking for a rate review is the first step towards reviewing whether your repayments are reflecting the RBA’s decisions. Banks have a retention process that cater for rate and repayment revisions, so you may find that there is a potential for saving money via a phone call that takes less than 5 minutes. Completing this process every 6 months ensures you’re in the best position possible with your finances.
Reaching out to your broker opens up a conversation for refinance options and the potential to drop your monthly financial commitment. Brokers have the ability to negotiate loan features and policy decisions; with the customer’s best interests at heart.
Our Senior Lending Specialist Antonio says “With inflation slowly returning to an ideal condition, property prices are predicted to drop along with interest rates on home loan products. There has never been a better time to follow-up on the money you could be saving. Additional savings could then be placed into a term deposit or high interest account to contribute towards said home loan repayments.”
“We understand that refinancing can seem arduous, and most clients enquire with several questions before they’re ready to commence. That’s exactly what we’re here to help with” says Antonio. We’re prepared for the questions you may want to ask us, and will take the time to ensure you know which tailored home loan products are available to you.
Refinancing your home loan doesn’t have to always be a turnover of the product you’re on. Fox Home Loans has helped several clients with equity releases as part of their mortgage bundles too. Equity releases allow for clients to get hold of additional funds for a multitude of purposes such as home renovations, upgrading vehicles, and debt consolidations.
In some cases, clients are able to receive cash top-ups all whilst lowering their monthly home loan repayments. The best way to determine the savings on your repayments is by using a home loan repayment calculator. We use this tool with our clients regularly, to ensure we’re completing a thorough home loan comparison.
People often assume that the ‘best home loan rates’ are the lowest percentage available on the market, but we encourage clients to consider affordability and cash flow as important factors as part of their refinance.
A low interest rate doesn’t necessarily mean that product is the best home loan option on the market. Banks will include fees and charges in addition to the loan amount, and often vary their products with fixed and variable terms. Having the ability to compare all options and products available to you is necessary to ensure you are securing the most competitive home loan.
The dedicated team at Fox Home Loans are ready to discuss your next investment, purchase or refinance today. Give us a call on 1300 665 906, or apply online.