Property investing checklist
Investing in property, such as residential real estate, is likely to be a lengthy process and one...
What is the cash rate and how could it impact me?
The cash rate can have a significant impact on home loan repayments. When interest rates are low, it can make it easier for people to buy a home or refinance their existing mortgage, as their repayments will be lower. However, when interest rates rise, home loan repayments can increase, which can be a burden for some homeowners.
What is lenders mortgage insurance? (LMI)
Lenders Mortgage Insurance, or LMI, is designed to protect the lender, not the borrower, in case the borrower defaults on their loan (i.e. can no longer make their repayments). If the borrower defaults, the lender can repossess the property, however there’s a risk that the property price could have fallen and the lender could suffer a loss. LMI covers this risk.
What is interest only?
Home loan repayments are generally made up of two components: the principal (your loan balance) and the interest (the amount you’re charged on the outstanding loan balance).
What is a fixed rate?
A fixed rate loan allows you to lock your interest rate in for a period of time. This means that...
What is a family guarantee?
Guarantor Home Loan - Can my family help?A guarantor allows you to purchase a property sooner and...
What is an offset account?
An offset account is one of the most powerful ways to save you hundreds of thousands of dollars...