Refresh your finances with a brand new home loan. Whether you’re buying or refinancing, these tips will help get the right deal for you.
The new year is a good time for a fresh start. So many of us make resolutions – we start exercising more, eating healthier foods and looking at various ways we can makeover our lives. But what about our finances?
Aussie Broker Anthony Walsh says a new year is the ideal time to revisit your financial arrangements, including your home loan. “With all the changes in the lending market towards the end of 2016 I’d say there’s no better time than now to sit down and have a look at not only your goals for 2017 but also whether there’s a better home loan deal for you given those changes.”
We spoke to Anthony about the list of things homebuyers and refinancers should consider when shopping for their next home loan.
Consider your needs
Your ideal home loan should fit with your current needs, so it’s a good idea to figure out what these are before you start shopping. “First and foremost is sitting with an Aussie Broker to talk about your goals for the year ahead,” says Anthony. No matter what life stage you’re at, circumstances often change, so make sure you revisit your options regularly. “I recommend having a home loan health check every two to three years,” he continues. “But there’s no harm in doing it sooner. If some of your circumstances change with family or work, then that would be a good time to review and make sure your home loan is still aligned with your personal goals and objectives.”
Plan for the future
When you re-examine your home loan, it’s also important to think about the future. Anthony explains: “You want to align your strategy, whether it’s your home loan or your investment strategy, with the right type of product or package so it can help you, not just now but into the future.” Take into account the different features and options that are most appropriate for your circumstances. For example, a fixed rate may be more suitable if you like to know exactly what’s ahead. Let your broker help you decide what’s right for your circumstances.
Look at the whole picture
When looking for a new home loan this new year, you should look at not just the rates but also the associated fees and charges. “Compare the fees and all the rates as a comparison,” says Anthony. “This is something your Aussie Broker will do on your behalf. You don’t need to shop around because that’s what we do for you,” says Anthony. “That’s my mantra. We’ll shop around for a suitable loan based on all of your requirements.”
Pick preferred features
There are many different types of home loans available with all kinds of benefits, so you’ll need to determine which option is right for you. How? “Look at the key features to determine whether they’re going to be suitable for your strategy,” recommends Anthony. Offset accounts, redraw and extra payments are all useful options to have at your fingertips – and there’s a lot more out there just waiting to be discovered. “Sit with an Aussie Broker and have a look at it all at an initial consultation appointment at no cost to you.”
Look for extra benefits
Home loans can come with all kinds of extra features that can be really useful so it’s a good idea to be aware of what’s available. “You may want to look at any secondary benefits with credit cards or insurances,” says Anthony. “Any subsidiary benefits that the lender might offer you, say reward points, credit cards, insurance discounts – some of those secondary items can be really helpful for your family.”
Do you have any tips when looking for a new home loan? Tell us your experiences in the comments below.