When you’re comparing home loans, the ones with the lowest rates always jump out first. This is because banks usually offer a discounted rate for an introductory period to lure in the new customers.
The risk to borrowers is that many don’t realise that the rate they’re stuck with later on could be higher than others, making you a loss in the long run.
It’s also common for the introductory rate home loans to come with many conditions. For instance, if you fall behind on a payment you may be slapped with the standard rate, taking away all the benefits you may have enjoyed.
Think about the life of your loan rather than just the first one or two years, and make sure your impulses don’t come back to haunt you.