One of the benefits of having a Mortgage Broker is that you constantly have someone checking in to compare your loan and helping you to keep on top of your lender to make sure you’re always getting the best rate you can.
So recently I had an annual review with an existing client of mine, she originally locked in a ‘First Home Buyer’ rate to build her home in Redland Bay.
When we fixed her rate is was the best rate on the market and Fixing it meant she could work out her budget for the next two years while she settled into her new home loan and life as a property owner.
Fast forward to last month and her two year Fixed period had expired which meant we had the opportunity to do some new pricing, with her current lender and over 30 others, to see what the new rate is she can get on her home loan.
She was offered a new rate of 2.29% Fixed for 2 years, again to help with budgeting.
This new interest rate was a savings of 1.3% which on her loan balance equals a savings of over $5k in the first year!
This means she can either continue paying the same repayment and pay more principle off her loan (repaying her loan off faster and saving even more on interest) or, she can have a little ‘extra’ money to put aside for something she might like… an upgrade to the home or a holiday, the choice is hers!
The other REALLY important factor is, we have kept the loan term at the same loan term she is currently on. This means she is still on track to finish her loan in less than 28 years so she is truly saving money (rather than taking it back out over another 30 years and actually going backwards)
If you want to know what you can save each year it doesn’t necessarily require switching banks, sometimes I can get great deals with your current lender but if you don’t ask, you don’t get.
So make sure you contact me today to see how much I can save you – 0412 862 811