Have you been thinking about switching your home loan to a fixed rate? While variables are an attractive offer with low rates, there is no guarantee they will remain so.
Locking in your loan to a fixed rate when those rates can be around 50 basis points less than the standard variable rate offered by the majors, can be attractive. Be aware however that whilst fixing your rate allows you to set and know your budget, they don’t allow as much flexibility to make extra repayments. We recommend fixing part of your loan and leaving the other part variable.
Standard Variable Rates currently range from 5.62% – 7.29%. Low cost 3 year fixed rates (the most popular) are currently between 5.39% – 6.25%. But it’s not all about the rate. The amount you want to borrow or refinance, the term of the loan, the loan purpose, the fees, the lender and your credit record/rating will have an impact on the loan. At The Home Loan Company, we can help you compare loans and choose.
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