You get your car serviced and you probably go to the dentist regularly – but what about checking on your most significant financial commitment?
Home loans and major personal loans should never be ‘set and forget’.
By asking yourself some serious questions about your current loans, making sure that your financial commitments are in good health shouldn’t be too stressful – and the rewards can last a lifetime.
Understand the basics
Could you answer, without checking paperwork, exactly how much you owe on your home loan, what your interest is, how long you have left on your loan and how much of that is interest?
If you don’t know the basics of your home loan, it’s worth checking – or getting a professional to do it for you – to help ensure you are accessing the best possible deal for your budget.
Small changes = big savings
Refinancing a home loan can be a very simple process and with the potential to save yourself thousands of dollars over the life of your loan, it’s always worth exploring. Sometimes, getting a better deal on your interest rate is as easy as ringing your lender to tell them you are looking at moving. They will often jump through hoops to retain your business and, depending on the structure of your loan that could mean offering you a better deal over the phone.
This home loan checklist will help you find other ways to analyse your home loan to see if it’s a great time to speak to a mortgage broking specialist and get a better deal.
- Am I paying an overly high interest rate?
- Am I paying too much in fees?
- Am I frustrated by poor service?
- Does my loan give me access to the features I need?
- Am I paying for features I don’t need?
- Have my financial circumstances changed?
Whether you are about to hit the market to purchase your first home, or if you are looking to downsize or move, or even take the first steps towards an investment property portfolio to set you up for a secure retirement in style, fine-tuning your current home loan with a regular health check is critical.
A professional financial advisor is a great place to start and point you in the direction of building better wealth by giving you more opportunities to save.
If you need advice for a home loan, business or commercial loan, self-managed super fund loan, or an investment home loan, speak to a broker at Lending Specialists. We have a wealth of experience under our belt and a robust network to connect you to the right industry professional for the loan you need.