Mind the interest rate gap Over the past twelve months or so, a significant interest rate gap has opened up between different types of loans. This has been driven by regulatory changes to reduce investment and interest only loans. Banks and lenders responded by increasing rates on investment loans and interest only loans. Increases have been […]
Fortnightly Loan Payments
Fortnightly loan payments pay off loan faster? A question I am often asked is whether fortnightly loan payments will help pay off your home loan faster. The answer is…it depends. It depends on how your bank or lender calculates your fortnightly loan payments. Yes there are two ways of calculating the payment. One will accelerate the repayment […]
Your Home Loan Interest Rate
In todays complicated home loan lending world there are six keys to your home loan interest rate . They are; Whether the purpose of the loan is for owner occupier or investment property. With most lenders, borrowers with an investment loan will pay a higher rate that an owner occupier loan. The size of the loan, or […]
Begin with the end in mind
If you have read Stephen Covey’s famous book, The Seven Habits of Highly Effective People you will be aware that Habit #2 is “Begin with the end in mind“. This habit can be directly applied to the humble home loan. In this context, the “end” is the repayment of the loan. There are two main ways repayment […]