Home loan borrowers are paying an extra $2.7 billion a year in repayments because they don’t shop around to find the best deals available to them. After this week’s interest rate increases by the major banks, more than 60 other lenders had cheaper home loan rates.
As Australian consumers are usually pretty savvy when it comes to their finances, it is baffling that consumers don’t take up the opportunity of lower interest rates on their home loans. Attaining lower interest rates can be easily achieved, simply by choosing a smaller lender than the major banks; this is worthwhile especially in today’s uncertain economy.
According to a recent survey conducted on home loans, it showed that the average standard variable mortgage rate from the big four was more than half a percentage point higher than the nearest non-bank rival. This difference could add years of repayments to the average home loan.
Now is a great time to consider purchasing your first home as the Government’s first home buyers grant has been extended. The grant for first home buyers is $14,000 for existing properties and $21,000 for newly constructed homes. Property values are currently low and are set to dramatically increase over the next three years, therefore now is the perfect time to buy.
At Australian Lending Centre we pride ourselves on having competitive, low interest rates on home loans. Before making a decision to go ahead with your home loan, you should speak to a mortgage consultant.
Call Australian Lending Centre on 1300 138 188 and speak with a consultant today.