Why Many Over-50s Can Save Big on their Mortgage
If you have a home loan and you live in one of the cities on the east coast of Australia, you’re in a very fortunate position. Sky rocketing real estate prices have meant a boom for many people over 50.
With the Reserve again leaving interest rates on hold this week (there hasn’t been a cash rate rise since August 2016) it may be time to consider reviewing your interest rate.
(NB: To compare the lowest rates at RateCity.com.au, you can click on this link.)
While Economists can’t seem to agree on what rates will be this year, homeowners with equity are now in the box seat and you can bring the ball back into your court by asking your lender for a better deal.
Here at the Fiftyup Club we are always advising members to go back to your provider, whether it’s your energy company, health fund or telco and see if there’s a better deal to be had.
New research from RateCity.com.au shows that some of the lowest rates on the market are being reserved for mortgage holders who already have sizeable amounts of equity in their property.
RateCity money editor Sally Tindall said lenders were on the hunt for ‘ideal borrowers’ – owner occupiers with decent deposits of at least 20 per cent.
“Find out what other lenders are offering new customers, then pick up the phone to your bank and ask them for a lower interest rate” she added.
Isn’t it great to hear that someone is actually courting us over-50s?
RateCity research shows an average borrower with a discounted variable mortgage with one of the big four banks could save an estimated $215 per month or $77,343 over the lifetime of their loan by switching to the lowest rate lender on the market.*
Here are some of RateCity’s top low-rate Home Loans:
*Calculation assumes borrower has an owner-occupier principal and interest mortgage of $350K with a loan term of 30 years.
++ Powered by RateCity.com.au ACN 122 743 542 AFSL/ACL 316710. Any advice contained in this article is general in nature and doest not take account of your individual circumstances or needs. By providing a means for members to access RateCity.com.au we are not providing specific financial product advice or credit assistance but acting as an intermediary.
As a result of services provided by us RateCity Pty Ltd may pay The FiftyUp Club a fee of up to 70% of any fees they receive from their providers. These fees may be based on either referrals to third parties or on application or approval for products from third party providers; for further details see RateCity's Financial Services Guide available here.
