| Finding the right loan product and lender to suit the individual needs of our clients is the most important focus of our home loan service. We are all individuals with our own particular needs and priorities and hence in selecting a home loan product those issues must be taken into consideration to ensure a homebuyer obtains the best loan for their individual needs.
In today’s competitive home loan market a homebuyer’s exiting bank may not have the best loan product for the homebuyer’s individual needs. Your own bank can only offer their own loan products. You may not be able to borrow as much from your own bank as another lender as they all have their own loan amount assessment guidelines. However a loan broker having access to many lenders and many loan products can offer a wide range of loan products and lenders to the homebuyer. The best loan for an individual homebuyer may be at another bank or lender.
In selecting a home loan many aspects should be taken into consideration. Interest rates and fees are naturally always at the top of the list and again a homebuyers existing bank may not have the best interest rate and lowest fees. In considering fees there is a range of them including application or loan establishment fees, settlement fees, document preparation fees, valuation fees, ongoing monthly or annual fees or exit fees for early repayment of the loan. Introductory interest rates, redraws, offset accounts/mortgage reduction facilities, access to the lender via a branch network and or online facilities are all features to be considered in a home loan. An experienced loan broker with a range of lenders and loan products is well placed to assist a homebuyer in obtaining the best loan for their individual needs.
There is a wide range of loan products and interest rates. The interest rates can be grouped into three areas standard variable, basic variable and fixed rates. The standard variable rates apply to both standard principal and interest or interest only home loans over terms up to thirty years and Lines of Credit. However the line of credit often has a higher interest rate than a standard interest rate home loan. The standard interest rate loans have a wide range of features including redraws, introductory rates and offset/mortgage reduction facilities. The basic variable rates apply to a basic loan with limited features although most now have redraw facilities. The interest rate on the basic loan is about a half percent below the standard variable interest rate. The fixed rates apply to a loan product fixed for a term ranging from one year to up to fifteen years with the rate depending on the term.
Professional packages for loans have developed over recent years and are generally based on the amount of the loan. Under this package discounts apply on interest rates depending on the amount of the loan, fees and other bank services such as creditcards and savings accounts. |
