Vicky McLoughlin No Comments

Fixed vs Variable Home Loan

After over a decade of cutting the cash rate, the Reserve Bank of Australia (RBA) has been increasing rates almost every month since April 2022. Homeowners and would-be borrowers may be nervously wondering how high their home loan rates will go.

The Reserve Bank’s continuing push with interest rate hikes has brought into focus the dilemma that borrowers now face in choosing their home loans. 

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Vicky McLoughlin No Comments

The Pros and Cons of a Fixed-Rate Loan

UPDATE – As of November 2021, a number of lenders are increasing their fixed rates across various terms between 1 and 5 years. If you are thinking of fixing your loan, make sure you speak with your broker about how these recent changes may impact you.

When purchasing a property, refinancing or just renegotiating with your current lender, borrowers can generally decide between fixed-interest loans that maintain the same interest rate over a specific period of time, or variable-rate loans that charge interest according to market rate fluctuations. With interest rates at an all-time low, and many lender’s fixed rates significantly lower than their variable options, refinancing to a fixed rate is a very attractive option at the moment. While none of us know what the future holds, we can look at the facts and make an educated decision. Here are the ins and outs of fixed-rate loans.

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