April 28, 2017
For Central Coast home loan borrowers worried about the prospect of rising interest rates, now could be the time to consider fixing says Central Coast Mortgage Broker – Terry Hinchliffe.
Research by Mortgage Choice, shows an increasing proportion of Central Coast home loan borrowers are opting for a fixed rate home loan, with demand for this type of loan rising month after month.
In fact, 28% of NSW home loan borrowers are opting to fix, and if you’re worried about your Central Coast home loan repayments climbing because of rising rates, now is the time to lock in your home loan rate – or at least part of it.
Rates expected to rise
Interest rate movements are always hard to predict but according to the latest (February 2017) Finder Reserve Bank survey 58% of home loan experts believe the next move for interest rates is up. So the time to lock in your rate could be now.
For many first home buyers with a Central Coast home loan, a fixed rate provides the reassurance of protection against rate hikes. For investors with a Central Coast rental property, fixing can mean a more certain yield on your investment. But even established home owners can take advantage of fixing, which often makes home loan repayments easier to budget for.
The good news is that by shopping around it is still possible to find Central Coast home loans offering very tight fixed rates.
Fixed rate home loans more flexible
Along with a highly competitive rate, fixed home loans are vastly more flexible than they used to be. Some allow extra repayments (within annual limits) and there are even a couple of fixed rate loans offering offset accounts.
This being the case, it is worth giving me a call on 0459 487 396 to know if fixing is the right choice for your Central Coast home loan. But the time to act is now. Fixed rates are extremely competitive at present but if lenders believe market rates will climb, it’s a fair bet fixed rates will rise ahead of variable rates.
Splitting can offer the best of both worlds
Don’t forget too, fixing isn’t an “all or nothing” proposition. It’s possible to fix part of your Central Coast home loan while leaving the rest variable. It’s a smart way to enjoy flexibility of features plus certainty of repayments.
For expert advice on whether fixing is the right move for your Central Coast home loan call me today on 0459 487 396 or email me at email@example.com. I’m more than happy to answer any questions you may have.