As mortgage brokers, below is a brief description of some of the services we provide. If you'd like more information regarding these, or other lending services, please give one of our credit advisors a call.
Basic or "No Frills" Loan
These are variable rate loans with a relatively low interest rate. Repayments will rise and fall with interest fluctuations. With these loans, remember to check that the loan conditions will suit your circumstances, particularly the ability to make additional repayments and pay out the term of the loan without any penalty.
Standard or Variable Rate Loans
The standard variable rate loan, like a basic or “no frills” loan, offers more flexibility than a fixed rate loan. A standard variable rate loan will often have more features than the basic variable option so the rate may be slightly higher. The extra options (for example a redraw facility, the option to split between fixed and variable, extra repayments and portability) should be taken into account when choosing your type of variable loan. Repayments will vary as interest rates fluctuate.
Fixed Rate Loans
These loans are set at a fixed rate for a specified period – usually one to five years. Repayments do not rise and fall with interest fluctuation through the specified period. At the end of the term you can lock in another fixed rate, switch to variable or go for a split loan. These loans may have limited features and lack the flexibility of variable loans. There may be early exit fees and limited ability to make extra repayments.
Interest Only Loans
With an interest only loan your repayments are set to cover the interest component of your loan only, which allows you to keep your repayments on your investment property to a minimum. Generally, interest only loans are for a maximum five year term (depending on your lender) reverting to a principal and interest loan at the end of the agreed interest only term. However a further interest only term can be negotiated at this time. The interest on your investment loan is tax deductible, making these types of loans attractive to investors.I
Professional Loan Packages
These loans are offered to provide an all-in-one loan package. They offer interest rate and fee savings on your loan, credit card and transaction accounts and some lenders also waive the annual fees for your credit cards. An annual fee ranging from $120 to $395 is usually applicable on these loans.
These packages can also offer amazing flexibility, with some banks willing to waive product switching fees when changing from a variable to a fixed rate or converting a principal and interest loan to an interest only loan.
We will provide you with a comparison of various loan options from our panel of lenders to assist you with choosing the right loan for your circumstances.