FIXED RATE HOME LOANS
With 30 years experience writing home loans, we know exactly who’s offering the best option to suit your needs. We have access to numerous Fixed Rate home loan options from over 30 bank and non-bank lenders. Take advantage of the economic down turn and make the most of a fixed rate home loan.
Pros of a fixed rate home loan
Fixed rate loans can offer you a set term and interest rate which will generally range from 6 months to 10 years. Having a fixed rate gives you peace of mind knowing your repayments won’t change over the fixed loan term. This type of loan appeals to borrowers who like to keep a set budget and make set loan repayments. You can be certain of your loan repayments over the fixed period.
Cons of a fixed rate home loan
They do not allow the reduction of repayment amounts if official interest rates fall and therefore you will not receive the financial benefit that a variable rate loan can offer in this circumstance. Generally the interest rate is higher in comparison to a variable rate loan.
Once the fixed rate period is completed the rate will usually revert to a variable rate unless you take up the option to rollover for another fixed term. Fixed rate home loans can also be combined with variable rate products. This is called a split home loan to gain the best of both worlds; a variable rate loan for flexibility and a fixed rate loan for security.
