Choosing Your Home Loan
For many first home buyers, the process of doing a home loan comparison to find the best product can seem a little overwhelming.
Requirements for a mortgage will differ from person to person, but although there are many different factors that can influence your choice, there are a few universal aspects you may want to keep in mind throughout the process.
Fixed or floating rates
The eternal question which haunts many buyers is the dilemma of whether to go for a fixed or floating interest rate.
Fixed rates can offer short term certainty with a set repayment amount each month, while variable rates can offer you more flexibility and competitiveness if market conditions change for the better.
Those who would like to hedge their bets may prefer the option of splitting their loan - fixing part of it while keeping another part floating.
You may want to think about whether you want extra features such as an offset account or redraw facility, but these may not be available with every standard loan product.
Home loans are an important financial commitment, so it’s a good idea to take advantage of expert help and advice.
To get more detailed information on your situation, talk to a Loan Market mortgage broker today.