You may hear it quite a lot “If you are an investor, you should definitely choose interest only!”, but very few people understand why this is, which can make choosing this product a less suitable option than you think.
Firstly, and most importantly, interest only is NOT to be chosen so you can afford your
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Why do investors choose interest only?
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Impending Rate Changes
It has been widely publicised that Australia’s major banks have begun raising interest rates out of the Reserve Bank cycle, and this is set to continue, especially in the investment and interest only loan space.
So far, NAB have increased their standard variable interest rates for owner occupiers by .07%, and investment loans by 0.25%. -
Principal and Interest Loans – pros and cons.
What is a Principal and Interest loan?
A Principle & Interest Repayment Loan is where your repayments are calculated from day one, to pay your loan off over a term (usually 30 years) including the interest which is charged during that period. As opposed to an interest only loan is a loan which only charges -
Property Contracts: NSW Vs QLD.
Have you thought about investing in property North of the border in Queensland? Or maybe you’re a Queenslander looking at property in New South Wales?
When we’re not fighting over State of Origin, QLD and NSW generally get along quite well, with a lot of people crossing the border for various reasons fairly regularly.
However no -
LMI – What you need to know.
What is lenders mortgage insurance?
Lenders mortgage insurance (or LMI), is an insurance policy taken out by lenders that covers them in cases where borrowers are unable to pay back the money the amount. This insurance allows lenders to offer loans to a wider amount of customers who would otherwise be deemed too much of a risk for
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‘Land & Construction’ or ‘Off-the-plan’?
On this post we explain the main differences between a ‘Land & Construction’ loan and a loan for an ‘Off-the-plan’ property.
A land and construction loan is when you buy a block of land to build a property on. There will be 2 different contracts here: one for the land, which is similar to a -
Line of Credit x Standard Variable Rate with Offset Loan: understand the differences
What are the main differences between a Line of Credit and a Standard Variable Rate with Offset Loan?
The main difference between the two is functionality. A line of credit usually allows you to make minimum repayments equal to the interest-only amount – although sometimes for the first 10 years of the loan only. The -
Family Guarantees; Whats the go?
A Guarantor Mortgage, also known as a Family Guarantee or Family Pledge, is a way of using an additional property to secure a loan which may otherwise not be achievable due to a lower deposit. It basically means the lender will apply part of the loan against another person’s’ property or term deposit – usually
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Or maybe you’re thinking about some more sensible upgrades to your property?
Whatever your plans are, building or renovating a property of any kind is already complicated enough. With big decisions to make ranging from which walls to knock down, to what colour to paint the existing ones, the last thing you want to do is -
We’re super excited to announce our exclusive new investment rate.
At a variable rate of 3.77% with no application fee, no ongoing fees and a comparison rate of 3.803%*, this is sure to make you smile!
We honestly haven’t seen an investment rate this low in years, so this is a great opportunity for those looking for an investment property, to secure an amazing rate. We