Gus Friends, a corporate accountant, had had a mortgage with one major bank for several years.
Recently he completed a mortgage health check which eventually saved him more than two thousand dollars a year. "We took out a mortgage for our first home with one big bank three years ago. After we have had a child, our income was reduced as my wife took maternity leave. We felt a bit stretched financially. So we had a mortgage health check with a lending manager," said Gus.
A quick mortgage health check lets you get a clear picture of where you stand with your mortgage and finance and find out if you are paying the best possible interest rates and how much you can reduce the repayment.
You might have a higher interest rate loan when you took out the mortgage because of higher LVR at the time. With increase in property value and reduction of loan principal over period of time, the loan LVR may have well dropped which makes lower interest rate loans available for you.
For a loan of $500,000, a reduction of 0.20% in interest rates can save you more than one thousand dollars a year in interest cost.
“The whole process was straight forward and helped us see how we can improve our cash flow,” Gus said. “Our lending manager then gave us a tailor-made solution to reduce the repayment. We also got a free valuation over our property.”
Through a mortgage health check, you may also identify other opportunities hidden in your properties, either for investment or lifestyle.
To find out if you are having the best interest rates and receive a free and obligation-free mortgage health check with a complimentary CoreLogic RP Data property valuation, simply give us a call on 1300 884 689 or send us an email now.