All you need to know about mortgages, interest rates, and home loan fees.
There are two types of mortgages available to you: fixed rate and variable. Fixed rate means you lock in a fixed interest rate for a fixed yearly term (usually there or five years). Variable means the interest rate isn’t locked in and it varies. Talk with your mortgage broker to decide what’s best for you.
Here are some helpful questions to ask your preferred mortgage broker:
Can I make unlimited extra repayments without penalty?
Will I get free redraws that I can use at any time?
Can I switch from a variable loan to a fixed or split loan at no extra cost?
Can I transfer my loan to another property when I move?
Can I have my salary paid directly into my loan account?
Can I pay weekly or fortnightly rather than just monthly
Here are a list of fees associated with your home loan to be aware of:
Application fee or Loan processing fee
Lender fee or Settlement fee
LMI fee amount
Valuation fee amount
Lender’s solicitors fees
Other questions to ask your mortgage broker:
Is there a prepayment penalty? If so, how much is it?
How long does the penalty period last? (for example, 3 years? 5 years?)
Is the Rate Lock-in agreement in writing?
Is there a fee to Rate Lock?
When does the Rate Lock occur – at application, approval, or another time?
How long will the Rate Lock last?
If the rate drops before settlement, can you Rate Lock at a lower rate?
If the loan is a variable-rate mortgage, what is the initial rate?
Edgeview Mortgages provides free mortgage assistance, with its famous ‘hands on approach’ in New South Wales, Queensland, Victoria and South Australia. We arrange mortgage finance that will suit your lifestyle and save you time. We are ready if you wish to apply today: 1800 533 969