More and more property investors are searching for better deals on their investment loans following a series of rate increases over a 24 month period.
According to Canstar, in 2016 investor loans and owner-occupier loans had almost identical rates. Much has changed in 24 months. many lenders have increased interest rates for property investment purchases.
Did you know that a rate reduction of 0.30% on a loan of $600,000 could lead to a reduction of interest of up to $150 per month? That could be a savings of $1800 per year back into your pocket. Imagine the impact that these savings will make over the life of a 20-year loan.
The process of finding a better rate is called refinancing. As a borrower, you can call your lender and discuss a rate reduction with them. However, if they have increased rates it is likely you will not get the most competitive solution offered to you.
Comparing a range of options for a lower rate, or better product features can be done quite effortlessly with a mortgage broker.
Why our clients refinance property investment loans:
- When buying a new home or investment property
- When their current interest-only period is about to expire
- When their fixed rate period is about to expire
- When their current lender has increased interest rates and they want a better deal
If you aren’t sure you have the best deal possible on your investment loan, you can find out. Call our team of expert mortgage brokers to talk about saving today. Call 1300 652 842 or email email@example.com.