How To Budget Right For Your Home Loan
Are you having trouble working out your home loan budget?
Making sure that you can comfortably afford your loan repayments is critical to ensuring that your home loan is the right fit for you.
The last thing you want is to struggle to keep up with the normal costs of living once your mortgage payment comes out of the bank account each month.
Rather, a more ideal situation would see you have enough money to service your loan, cover the costs of living and even have a bit to put away for savings or emergency expenses.
To get to that place, it pays to do some planning before you select a loan so that you find a mortgage structure that meets your needs.
A loan repayment calculator can help you assess what your repayments would be with different loan types, rates, amounts and term lengths.
You can also see what effect changing to fortnightly or weekly repayments could have on your loan.
The important thing to remember is that although it may be tempting to opt for an ambitious repayment schedule to pay your loan off sooner, one that allows you a bit of financial breathing space may be more sustainable in the long run.
To get more detailed information on your situation, talk to a Loan Market mortgage broker today.