It pays to be prepared when considering your home loan options. Buying a home is a substantial, lifelong investment so choosing the right loan is one of the most important decisions you will make. When it comes to finding the best home loan it pays to do your research, calculate your repayments and compare loans.
There are a large array of home loan options and the web has made it easier than ever to compare loans, to find one that best suits your individual needs.
While brand loyalty may still be a contributing factor in your decision making process don’t limit yourself to the main banks. Consider credit unions and building societies which continue to offer competitive rates.
What are the most important factors to consider when meeting with a lender?
- How much money you can borrow?
- Can you make additional sum repayments without being penalised?
- Can you make repayments weekly, fortnightly or monthly and how will this affect the total interest you incur?
- What’s the comparison rate? This will give you a better idea of the total cost of the loan in the long term.
- What are the fees and charges?
While there are many contributing factors it’s important to scope out the market to find the most competitive home loan lenders. Research, research, research!
RateCity has some great tools to get you started in the search for your ideal home loan.
The mortgage repayment calculator can be used to work out your repayments, by factoring in the loan amount, interest rates, loan terms and other important factors.