It’s time!!! If you have not locked in your fixed mortgage rate, now is the time. Economists have been predicting mortgage rates to rise in late 2015, but they are beginning to change their tune. Possibly rates will rise even sooner and that will raise the cost of variable rate loans. They now are saying it is the time to lock in a fixed rate. If you have not applied for a fixed rate mortgage because of a bad credit history, you may be surprised that a bad credit mortgage is available at a competitive rate!
Costly Variable Bad Credit Mortgage
Variable rates rising can make quite a difference in what you are paying out each year. A small increase in interest rates can raise the amount due each month quite a lot. When the rates begin to rise they will rise fast. It can be a shock to those families that have not budgeted for the inevitable rise in rates. Most Australians have held off getting a fixed rate mortgage due to the variable rates being so low.
With rates being lowered, it was a good environment to take a variable loan for a short amount of time but that will change soon. Australian consumers have been willing to take their chances and the variable rates have stayed low for a while. That is changing rapidly because of other market conditions.
Rising Mortgage Rates
The truth is with the variable mortgage rates on the rise it will affect a family’s budget and how much they have left after their mortgage payment for family necessities. Most Australians will not have to think back too far in the past to remember how high rates can get. Choosing a traditional fixed bad credit mortgage can end up saving you a lot of money over time.
Rates vs. Unemployment
Unemployment plays a big factor in the rise and fall of rates. If unemployment improves then the rates will begin to rise and rise quickly, but if the unemployment rate rises then interest rates will stay low for a while longer to stimulate employment. It is time to compare those mortgage rates and start saving now!
Lock in a Fixed Rate Bad Credit Mortgage
Locking in at a fixed rate, possibly even taking advantage of a bad credit mortgage at a competitive rate could potentially save your family a lot of money over time. Waiting may not be a smart choice and could end up causing financial stress.
We understand credit files aren’t always perfect. We try and work with your current credit and mortgage to get you a better deal. Grab your better fixed bad credit mortgage rate today! Call us on 1300 138 188 or Enquire Online Now!