When buying your first home or refinancing an existing loan, knowing how to find cheaper mortgage rates is beneficial. With meticulous planning and considering various factors, you’ll save more money on the loan. However, you must first assess your requirements and conduct in-depth research to get the best-value interest rates. The whole process of acquiring a good deal can get very hectic, and this is where our assistance comes in.
At Mortgage Friend, we examine your current financial situation and help you find cheaper home loans in Bulleen. Additionally, we’ll also look at your existing loan - its interest rates, mortgage insurance, and monthly repayments. Based on these factors, we can suggest changes to your current mortgage that could be beneficial. Our goal is to provide a good deal that meets your financial needs and offers significant savings.
Types of Home Loans
Securing ideal home loan rates is an uphill battle as you’ll have to understand the whole process inside out. If you don’t have the time or energy to handle the legwork, let our loan specialist help. We are always updated on the current interest rates, repayment terms, and other applicable fees in the contract.
When you rely on our free mortgage review service, we’ll ensure you’re making the best use of your finances. You’ll be taken through the entire process, which can be especially beneficial for first-home buyers. Additionally, we have access to several lenders who can offer you the following loan options:
Fixed Rate Loans: If you wish to keep the interest rate consistent for the entire term, apply for fixed-rate home loans. It’s a steady, unchanging option that provides stability of repayments over a predetermined period.
Variable Rate Mortgages: Another alternative that delivers excellent savings when financing a property is variable rate home loans. As opposed to fixed interest costs, variable rates change over time, depending on the changes to the index and will decrease or increase based on market fluctuations.
Split Rate Loans: Are you undecided between a variable or fixed rate property mortgage? If so, split-rate home loans may be a great substitute. You tap into the benefits of both fixed and variable by dividing your mortgage into two or more parts, depending on how you see fit.
Refinancing: You can secure a lower monthly payment on your existing loan if you choose to refinance. At times, you may feel the interest rates are starting to hurt your finances. In such cases, refinancing is a great choice as it allows you to change the terms of your mortgage. The ideal time to refinance home loans is when the market rate has fallen below the mortgage cost.
First-home Owner Grant: This is a government scheme, where a one-off incentive is paid to first-home buyers who satisfy the eligibility criteria. Our finance broker can help you fill out the application and enjoy all the maximum benefits offered by the program.
Steps to Apply for a Home Loan
The first step towards a successful property purchase is to figure out how to finance it. Most people choose to get a home loan to ease the burden. However, you should understand that a mortgage is a big commitment as you’ll be paying it off in the foreseeable future. Hence, it’s important to research as much as possible before you apply. The next process can get tricky, but it doesn’t have to be with the support of our Mortgage Broker.
Here’s how Mortgage Friend assists you with home loan finance in Bulleen:
Choosing a Lender and Product: Our mortgage brokers will prepare recommendations, giving you the freedom to decide which lender and product you want to proceed with. You can select from several financing institutions and loan options we have access to.
Sort Your Requirements: Before going forward with the application process, we’ll check if you meet the lender’s requirements. It may include verifying your ID, particulars and credit score or submitting the necessary documents for evaluation.
Fill Out Your Application: We’ll help you complete pre-qualification to ensure you qualify for the home loan. After that, you can proceed with the process.
Provide the Required Documents: The next step our mortgage loan broker takes is handing over the prepared documents to the lending specialist. It’s better to stay prepared and avoid delays because of a missing document.
Receive Approval: If everything goes well, you’ll receive an approval letter from your creditor with the conditions agreed upon previously.
Contract Signing: Next, the lender will issue your loan agreement within a few days of approval. Once you’ve received it, review, sign, and return it to the concerned party. You can go over the document with our expert and get your queries answered.
Settlement: Congratulations! You’ve reached the final stage where your home loan finance application is approved. The amount will be transferred directly to your account in a few hours or business days.
Factors Affecting Mortgage Rates
When applying for a mortgage loan, understanding how interest rates work is necessary. They determine the overall borrowing cost, and fluctuations in an unstable market can be quite profound. Some factors that have a major influence on mortgage rates include:
Credit Score: A higher credit score typically qualifies you for lower interest rates as it shows lenders that you are a reliable borrower. Conversely, a lower credit score can result in higher rates due to perceived risks.
Loan Type: The type of mortgage you choose, like variable or fixed rates, will impact the total costs, based on different risk levels.
Down Payment Size: If you can manage a larger down payment, chances are you’ll get lower interest rates. On the contrary, a smaller down payment is riskier for lenders and can hike loan costs.
Current Market Conditions: Factors like inflation, employment rates, and the economy’s condition influence mortgage interests. When it’s strong, rates tend to rise whereas during downturns, rates often decrease.
Competition Among Lenders: Financial institutions that offer loans provide different interest rates to attract more borrowers. Hence, our loan broker analyses the market before suggesting a lender that meets your requirements.
Demand and Supply: As property demand increases, so do the interest rates, as lenders capitalise on the competitive market. However, when there is a surplus need for properties, interest costs may be lower to attract borrowers.
Benefits of Refinancing Your Home Loan
By replacing your existing mortgage with a new one, you can improve terms and save money over the life of the loan. Refinancing is a strategic move that optimises your mortgage to suit your financial goals better. Here are some key benefits when you refinance home loans:
A lower interest rate
Reduces the total cost of your mortgage
Lowers your monthly payments
Access your equity to finance renovations, education, etc.
Combine multiple debts into a single monthly payment
Switch loan type
Shorten the term to save more money
Get a Free Mortgage Review Today!
There are several mortgages available in the market today, but finding the most suitable one can get stressful. With the assistance of our mortgage consultant in Bulleen, everything is much simpler. Mortgage Friend simplifies the loan application process by helping you understand the difference between various products. Our expert compares various interest rates to suggest one that meets your goals.
Additionally, we can review your existing loan and recommend refinancing options. If necessary, we’ll also discuss your needs with the lender on your behalf to make this process even smoother. Also, you no longer need to ask yourself questions like, how much does a mortgage broker cost? Our services are very affordable and offer excellent value for money.
We are one of the leading mortgage brokers in this industry because of the following reasons:
Comprehensive Financial Assessment
Wide Range of Lenders
Detailed Loan Explanations
Negotiation on Your Behalf
Complete Paperwork Assistance
Expert Advice
Free Mortgage Review
Whether you need assistance getting a first-home buyer mortgage or refinancing one, Mortgage Friend has you covered. You don’t have to worry about the process or finding the right loan, as we’ll take care of the legwork. The best part is the benefit of a loan review you get at absolutely no cost. So, if you’re interested to know more about securing cheaper mortgage ratesin Bulleen, call us on 0407 949 044 or email us at jkassoc@arc.net.au.
