Home loan hints and tricks
When it comes to home loans it can seem like everybody has advice that you absolutely must follow. It’s hard to know who to believe sometimes!
That’s because everyone has a different experience with home finance.
Each home buyer has their own needs and circumstances, so there is no ‘one-size-fits-all’ home loan solution.
However, there are some pieces of advice that have stood the test of time and can be quite helpful for those seeking to arrange and manage their home finance.
Clever deposit saving trick
If you aren’t sure whether you have the financial discipline to manage monthly home loan repayments, a great way to test yourself out is by treating your deposit like a mortgage.
Instead of searching for savings in piecemeal fashion here and there, commit to a methodical once a month savings deposit into a high interest account and act as if this were a home loan repayment – i.e. non-negotiable.
Making it an absolute imperative to put this money aside is a great way of enforcing discipline upon yourself and excellent training for your future mortgage.
Be prepared to act quickly
When you find the house, apartment or unit of your dreams, the last thing you want is a delay in getting your finance arranged preventing you from getting it.
Getting your home loan pre-approved is an excellent way to make sure that this doesn’t happen.
Rather than losing out to better-prepared fellow home buyers, you’ll be the one ready to act when the time is right.
Pre-approval is also helpful because it lets you know exactly how much money you have to work with when shopping for a property.
Regularly review your loan
One thing that all home owners would benefit from is a regular review of their mortgage finance.
Times change and so do your own circumstances, so it is good to have a fresh look at your loan once a year to make sure it is still working for you.
If it isn’t, home loan refinancing may be a good option to get back on the right track.