How is the home loan on your Perth property doing? Is it in good health? When the financial planners or mortgage brokers in our Perth office ask these questions, they are often greeted by puzzled looks and furrowed brows. The reality though is that homeowners should always have regular home loan health checks to ensure that they have the right product for their needs.
Here are some reasons why you should always know your home loan’s health:
The economy and the mortgage market are both fluid and both have an effect on what product is appropriate for your situation. For example, variable rates are great during a stable economy while a fixed rate can be extremely helpful during unstable periods. A simple refinance loan can make a huge difference in your bottom line.
Personal or Professional Changes
What if you get a promotion and a raise? What if you find a job that pays more? Conversely, what happens if you suddenly sustain a loss in your income due to reduced wages? These are just a few of the factors that can affect your personal finances.
You also might go from a salary to starting your own business or you might decide on a sea-change. You might want to start a family or you might want to pay for your kids to go to college. As your situation changes, your needs change and you will want to adjust your mortgage accordingly.
New Home Loan Products
As little as 20 years ago, the mortgage market was predictable. There wasn’t a lot of creativity in home loan products, making almost every product the same. In those days, one could just look at the interest rate and make a decision.
Nowadays, though, there is a lot of competition in the mortgage market. Lenders are creating new ways to package their loans, benefiting borrowers in their attempts to create more business. The typical homeowner doesn’t have time to keep up with all of the changes but we do.
Call a “Loan Doctor”
At Purely Finance, we have access to the newest and best home loan products. We will be happy to compare your loan to your current situation and recommend the right product.
Call (08) 9472 9766 for more information.