As widely reported in the media recently, up to 800,000 fixed loan contracts are expected to end this year with many homeowners having previously locked in a low interest rate for as long as they could. With interest rates now on the rise, this means once the loan switches from a fixed rate to a variable rate they are likely to be hit with a significant increase in their mortgage repayments.
If you are one of these mortgage holders, which represents a whopping $370 billion worth of loans, you might be ready to refinance your loan to ensure you have the best interest rate possible.
One of our Growth Point Capital Residential Brokers said he recently assisted a client with a $1m mortgage change to another lender after they were looking at having a 6% interest rate on their mortgage when their fixed term ended.
“The client was initially hesitant to switch lenders, seeing it as an unnecessary hassle but after I found them a major bank that offered an interest rate of 4.75% along with $3,000 cashback, they decided it was well worth it.”
___________________________________________________________________
Our content is prepared and reviewed by experienced financial experts. The information we provide is general in nature and does not take into account your personal objectives or needs. We recommend you consider whether it is appropriate to your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. All information pertaining to loans are subject to lenders terms and conditions and fees and charges and eligibility criteria apply.
Although every effort has been made to verify the accuracy of the information, we disclaim all liability (except for any liability which by law cannot be excluded), for any error, inaccuracy, or omission from the information or any loss or damage suffered by any person directly or indirectly through relying on this information.
All information pertaining to loans and interest rates are accurate at time of distribution – 20/2/23 – but are subject to change.