Sign-up for Our Newsletter

 

Prefer to talk ? Let's Talk 1300 ­ ­734 410

Mon - Fri 9 am to 5 pm | website enquiry 24/7

Calls Close
Request a Call Back

Captcha Image

NEWS

Expert Advice Equals Serious Saving

Wednesday, February 10, 2016

Expert Advice Equals Serious Savings 

Having a mortgage expert on your side can be the key to getting your finance over the line, and may save you thousands in interest and fees.

When Nathan was offered the opportunity to purchase his mother's property in Tasmania at a favourable price – just $180,000 for a house worth $350,000 – he wanted to take the opportunity to consolidate other debts. Using the equity available in his own property, he applied to refinance to cover both the debts and the favourable purchase, expecting to have all the loose ends tied up relatively quickly.

This was not the case. When Nathan tired of waiting for the bank to sort out the valuation on the Tasmanian property and decide whether it would approve the loan, he visited an MFAA Approved Finance Broker.

"He said it was taking forever, so he came to see me," says Nathan's finance broker."

Based on the little information he had gleaned during his original application, where questions were raised about the loan-to-valuation ratio , Nathan walked into his new credit adviser's office assuming that he would need to apply to a specialist lender.

"After doing a credit check, and looking at the figures, serviceability and the rest of it, I couldn't see any reason whatsoever to need to go to a specialist lender. His credit checks came up clean, so I put it to a prime lender," says Nathan's finance broker.

"I chose a lender and product I knew quite well. The product itself is one of the cheapest in the market and doesn't have annual fees, and I knew I could order upfront valuations with the lender. When the valuation stacked up, we knew we had something that we could do."

The loan settled, with Nathan able to consolidate his debts and purchase the property from his mother.

"He was happy to go and pay a higher interest rate to a specialist lender," says his credit adviser. "It would have been at least one full per cent higher in interest."

On the loan amount of $350,000, getting expert advice meant making serious savings. Even assuming Nathan would have refinanced to a prime product after a few years, he saved more than $12,000.

 

We can help you – Click here to contact us today or call 1300734410

You are welcome to email us too

Source: The Mortgage and Finance Association of Australia (MFAA)

 


close
Adelaide Bank

Adelaide Bank

Heritage Bank

Heritage Bank

P&N Bank

P&N Bank

AMP Bank

AMP Bank

Australian First Mortgage

Australian First Mortgage

Commonwealth Bank

Commonwealth Bank

Citibank

Citibank

Bankwest

Bankwest

ANZ Bank

ANZ Bank

Homeloans Ltd

Homeloans Ltd

St George Bank

St George Bank

Suncorp

Suncorp

Peppermoney

Peppermoney

The Rock Building Society

Mystate

ME Bank

ME Bank

Keystart Home Loans

Keystart Home Loans

Macquarie Bank

Macquarie Bank

La Trobe

La Trobe

ING Direct

ING Direct

Liberty Financial

Liberty Financial

Westpac

Westpac

Bluestone

Bluestone

Australian First Mortgage

Australian First Mortgage

Bank of Melbourne

Bank of Melbourne

BankSA

BankSA

NAB

NAB

Plan Lending

Plan Lending

Fristmac

Fristmac