“After speaking with you today, I called my bank to negotiate a better rate on my investment property loan, but after an hour on the phone, 3 different staff members, and a whole lot of hold music, turns out that they couldn’t match the rate that you (@Finance) had quoted me. It didn’t seem like my $250,000 loan was “big” enough for them to care about but you certainly cared about it!”
This is the second of two conversations we had with one of our clients Jennifer (name changed for privacy reasons) this morning, to ask if we could improve her situation with regards to her investment property loan.
In the end we put together a great new package with a reduced rate and by taking some time to refinance this is how much Jen will be saving:
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- Rate offered by the current “major bank” 4.56%
- Comparable product rate options with other lenders 3.71%-3.89% (difference of at least 0.67%)
- On the $250,000 loan this is a saving of at least $1,675 per year / more than $50k in interest over the life of the loan
While you’re getting organised for your yearly accountants visit it’s a great time to get your paperwork together and organise a call or visit with us.
We don’t just want you to try to get as much money back from the tax man as you can, we want to stop the banks from “over” charging on interest.
| Decrease in repayment if your rate was decreased by | |||
| Loan Amount | 0.25% | 0.55% | 0.75% |
| $250,000 | $52 per month | $115 per month | $156 per month |
| $350,000 | $73 per month | $160 per month | $219 per month |
| $450,000 | $94 per month | $206 per month | $281 per month |
| $550,000 | $115 per month | $252 per month | $344 per month |
| $650,000 | $135 per month | $298 per month | $406 per month |
| $750,000 | $156 per month | $344 per month | $469 per month |
As you can see, it pays to take a little time to make sure your home loan is keeping up with the times.
Give us a call to arrange a 30 minute strategy session where we find out if we can save you $$ on your home loan 1300 469 840 .
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