1 MIN READRBA hands down first FY23 cash rate decision
Amid widespread speculation of another significant hike, the Reserve Bank of Australia has revealed its cash rate decisi...
Read More
SHARE 
Investors should be looking beyond the interest rate and putting loan features, fees and their financial objectives higher up the priority list, according to a Australia's largest independently-operated mortgage broker.
Planning ahead and keeping the future in sight is important for investors that are getting caught up with interest rates, said Mortgage Choice spokesperson Belinda Williamson.
"With much attention placed on lenders' home loan interest rates, it is easy to lose sight of the bigger picture and to neglect to factor in other loan aspects that may offer longer-term benefits to borrowers than a loan with simply the lowest interest rate,” Ms Williamson said.
"Investors should do their finances a favour by choosing a home loan on more than interest rate alone.
“A loan's features, such as an offset account or redraw facility, associated fees, and whether you choose a fixed, variable or split interest rate will have an effect on how much you will pay in overall interest and how long it could take to repay the loan,” she said.
Additional features that give investors the flexibility to continue borrowing are an important part of financing a property portfolio.
“When looking to make multiple property purchases, the flexibility of a loan product can be more important than its interest rate,” Resi Home Loans chief executive Lisa Montgomery told Smart Property Investment.
“The flexibility of a product is the key to leveraging for that next property,” Ms Montgomery said.
Rates refer to a fixed price or an amount charged by sellers or providers for their goods and services.
SHARE 
Get notifications in real-time for staying up to date with content that matters to you.
Copyright © 2021 Smart Property Investment
