Do you think you are paying a fair price for your mortgage? You may want to think again.
Recent data from the Reserve Bank of Australia suggest that Australians are overtaxed for their home loans, especially relative to new borrowers. In fact, the average interest rate of the current owners is 0.4% higher than that of the new borrowers .
Here's the secret: if you do not shop for a home loan, you probably pay too much. Banks have the habit of overburdening mortgages, to make a profit on owners who do not shop .
This is where HomeLoansAustralia.com comes in. This comparison service allows borrowers to compare rates of trusted lenders in Australia. Thousands of Australians have used this service to get a lower interest rate on their home loan without the inconveniences .
How do you know if you are paying too much for your home loan? The RBA revealed that the average advertised variable rate by the big banks was about 5.7%. If this number seems high, it is so.
Banks often offer discounts on their advertised rate which is why most current owners pay an average interest rate of about 4.5% – but that's not all .
New borrowers seem to have the advantage: the average interest rate of loans issued at the end of 2018 is 4.1%. It's easy to take the chance, that's what the banks hope you'll do.
You see, these lower interest rates are not reserved for new borrowers. Almost everyone can get a lower interest rate, if you want to compare.
A difference of 0.4% may seem small, but it can accumulate over time. Take the example of a $ 400,000 home loan over 30 years. With a 4.5% interest rate, a borrower pays $ 729,627 over the life of the loan. If this interest rate falls to 4.1%, the total cost is $ 695,806.
This 0.4% difference in interest translates into a saving of $ 33,821 – and this is only an average. The reality could be much worse for Australian households.
Too many Australians are paying thousands of dollars more for their home loans, a phenomenon known as "lazy tax". Fortunately, the lazy tax is optional and easy to avoid when using HomeLoansAustralia.com.
Previously, finding a better deal on your mortgage was complicated, but Home Loans Australia simplified the process. All you have to do is select your state and answer a few questions. You will then receive a quote on available home loans.
Australians love this service because it does not stop with a comparison. You will also have the chance to talk to a mortgage professional, who works on your behalf to negotiate the terms of the loan with the lender.
Once you have chosen a home loan, your mortgage advisor will help you manage the documents. Everything can be done in just a few clicks and a phone call, which saves you time and money.
There is no obligation to pass. Use the service to get your initial quote in order to get a better idea of ​​your current position. From there, you can decide what to do: continue to pay the lazy tax or start saving your money.
Source: https://www.smh.com.au/business/banking-and-finance/have-you-claimed-your-kenneth-hayne-mortgage-discount-yet-20190322-p516h. html
Disclaimer: The views expressed by the contributors do not necessarily reflect the opinion of Your Investment Property.
Do you have more than $ 200,000 in your super fund? You Can Use Your Super To Buy A Property – Find Out How
Top suburbs:
St Mary
,
St. Peters
,
Toowong
,
Canterbury
,
Padbury
Get help for your investment property
Do you need help in finding the right loan for your investment?
When you invest in real estate, it is important to make sure that you do not only have the lowest available rate that you can get, but you also have the features of ready adapted to your needs.
Just fill in a few details below and then we will arrange for a local Australian mortgage broker to contact you and sort out the problem What features or what types of loans are suited to your needs? We will even help with the paperwork. In addition, an appointment is free.
We value your privacy and treat all your information seriously – you can check
our privacy policy here
