Home ownership, here you come! Full steam ahead!
Believe me, I know the feeling. You probably feel like you’ve got blinders on, and are focused on getting those keys in your hand.
While this is normal, it can leave you vulnerable in that you may not have the patience or the foresight to think ahead when it comes to choosing the right loan to suit your needs long-term. You’re about to enter into what will be, for many, the biggest financial investment of your life.
Taking a few minutes to answer these simple questions may be able to save you time, money and heartache down the track.
What's more important to you when it comes to repayments?
- While interest rates are at historic lows right now, at some point in the future they may rise as economic conditions change. If you’re after security against rate increases, and the peace of mind that comes with a fixed repayment amount over a set term, taking a Fixed Rate Loan is the better option.
- If you want to be able to take advantage of interest rate decreases now and into the future, a Variable Rate Loan is more up your alley. This means that when banks drop (or increase) their rates, your repayments will fluctuate.
How important is redraw?
Over the life of your loan, you may find you’re able to repay more than the minimum repayment in a given period. This additional amount sends your loan into credit, which is essentially a form of saving. It also means that you’re reducing the amount of principle you’re being charged interest on, saving you money in the long term.
However, if a rainy day were to strike, do you want to be able to access these extra repayments easily, and without being charged a fee?
If so, make sure you look for a loan which offers a redraw facility that is both free and convenient. The Greater offers access to free redraw through Internet Banking on all its home loans, allowing you to re-borrow your extra repayments when you need it.
Which is more important?
- No ongoing fees: Who needs more expenses to squeeze into the budget? If you’re looking for a loan that’s completely fee-free, meaning no hidden surprises over the life of the loan, our Great Rate Home Loan may be the simple, easy to use option for you.
- Lowest Possible Rate: If saving as much as you can on interest is top priority, you should check out our Ultimate Home Loan Package. Offering our best rates, this package combines fee-free everyday banking, discounts on your Credit Card and Insurance, as well as a linked 100% Ultimate Offset Account.
We’ve been helping our customers achieve their dreams of home ownership for over 70 years, so we consider ourselves the experts in honest, responsible lending.
If you’re ready to speak with an expert lender, or would just like some more info on one of our Loan Products, start a conversation with us today by making a Home Loan Enquiry online.
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