Published at: 6/21/2016 3:29:23 PM
You searched hard for the right home or investment property. Now discover what’s involved with finding the loan that’s perfect for your needs.
When you’re ready to refinance it is worth investing time to be sure your new loan offers a match made in heaven.
Start with some soul searching
Before rushing out to the nearest lender, take a moment to think about your needs. Home loans come with a variety of features and knowing the options that are right for you will help you narrow down the choice.
A good starting point is whether you are looking for a fixed or variable rate. Bear in mind, you can enjoy the best of both worlds with a split loan that combines fixed and variable rate components.
Next, think about whether you prefer a ‘basic’ loan with a lower rate, or whether you prefer to have a wealth of loan features. The golden rule is only to pay for those features you will actually use and benefit from.
Look beyond face value
Beauty is more than skin deep when it comes to your home loan, and choosing a loan on the basis of a low rate alone could see the relationship sour later on. That’s because some of the cheapest loans can come with high fees. One way to avoid this trap is by looking at a loan’s comparison rate. This takes into account upfront and regular fees to give you a more accurate picture of the true cost of the loan. Or use ME’s Loan Comparison calculator to get an apples-for-apples view of different loans.
Importantly, look for a loan that’s an all-rounder – combining value, the features you need, and the flexibility to ensure your loan fits your lifestyle.
Does the loan give rather than just take?
The best relationships are a two-way street, and it pays to look for a loan that gives something back. ME’s home loans for example, have no application fees or ongoing account-keeping fees, and you can make fee-free additional repayments at any time on our variable rate loans with the freedom to redraw funds at no charge.
When it comes to deciding the type of loan that is best suited to your needs, there’s nothing like tailored advice. Talk to your ME Mobile Bank Manager for expert help deciding which home loan is your perfect match.
Terms, conditions, fees and charges apply. Applications are subject to credit approval. Members Equity Bank Limited ABN 56 070 887 679 Australian Credit Licence 229500.