Loan Purchasing Costs
Don't forget the little things.
When looking at loans and mortgages, most times the main client focus is on the interest rate. The thought here is Cash Flow and cost, if we get the lowest interest rate, we must have the right loan.
Borrowers forget to calculate the fees and charges and often don't realise the hidden costs and fees which would show you, in fact you have a more expensive loan than first thought.
Another factor with not enough focus, are the purchase costs. Clients save for deposit and may place larger than necessary cash deposit on the purchase. This will leave you with little or no back up funds or Risk Management. Who knows, it may be a better option to pay a small amount of Lenders Mortgage Insurance. This way you leave some spare cash for those rainy days and this gives you piece of mind.
At time of settlement you may come up short and see yourself in a situation of trying to find money. This may delay settlement and cost even further
Before looking to purchase I would strongly suggest we chat so I can fully arm you with the information on all cost and charges, this way the journey will be more enjoyable, less mistakes and more profitable.