Get the right mortgage to buy your next home
There are any number of reasons for you to sell your home and purchase a new one. Perhaps you’re an empty-nester ready to downsize or maybe your growing family needs more room. At emoney, we know that there’s no such thing as a one-size fits all solution, which is why we take the time to understand your needs and find you the right mortgage to buy your next home. And because we have access to hundreds of fully featured home loans you can be confident of getting the best home loan available.
Common types of home loans
Home loan features
One of the more popular features is an offset account. It operates like a savings account that is directly linked to your home loan. Any money in your offset account reduces the interest charged on your linked home loan.
Traditionally only available with variable rate home loans, some fixed rate loans now offer this feature. Extra repayments allow you to pay additional sums on top of your regular repayments to bring down the principal and in so doing, pay less interest.
This feature is typically found with home loans that allow extra repayments, although it is unusual to have a redraw facility as part of a fixed rate home loan. A redraw facility allows you to withdraw funds from the extra repayments you have made.
With a split loan you divide your home loan into a fixed portion and a variable portion. This can give you the stability of a fixed interest rate, with the benefits of possible interest rate reductions and other features associated with variable rate home loans.
This feature allows you to swap the security property on your home loan. In other words, if you buy a new house, you may be able to keep the same loan which could save you on loan set up and discharge fees.
Tips and information to help take the stress out of your home buying experience
As COVID-19 spreads and a global recession looms, investment in the share market has become high risk. It is in this type of economic climate that the Australian residential property market has historically performed well. With interest rates at an all-time low, if you have been thinking of purchasing a home or investment property, now just might be the perfect time.
There seems to be a lot of confusion about how lenders set their rates. The cash rate does have an impact but it is not the only factor taken into account.
How much can you borrow?
Use our borrowing calculator for an estimate of your borrowing capacity or contact one of our lending specialists to discuss your situation.