Is your home loan interest rate under 3.22%

November 19, 2019

Everyone in Australia should have a rate under 3.2%
…according to Sophie Elsworth (Nov 17, 2019- Herald Sun)

These news stories can create confusion. What the reporter hasn’t said is the rate most people get on their mortgage is matched to their risk rating in the banks’ eyes.

3.2% interest rates MaxWe can still borrow up to 99% of the value of the property for some clients (that’s a 95% lend plus risk fees). However, going into a home with just 1% equity means the borrower is a higher risk. And the interest rate will not be 3.2%!

Most people are aware that if they have less than 20% equity they not only pay for Lenders Mortgage Insurance but usually the interest rate is higher. This rarely gets reported in these “expertly” written news items.

As a broker, we provide many functions. Just one is to get the most competitive rate for the customers position (read : risk level). We also want low fees, good service, consistency of the lender in being competitive and providing good service, suitable loan features, and a lender who will lend to the client based on their savings,employment, age, etc … and many more considerations.

Simply, We have rates from 2.85% to 7.4%. Whilst we want every client to have 2.85%... ultimately the client and the strength of their financial position will determine what the rate will be. Our goal is to make sure it’s the best possible outcome for everyone.

These figures quoted are correct a the time of publication (19 November 2019) but will always vary depending on timing and the market rates at any given point in time. At Cosim Free we will always strive to achieve teh best rates on behalf of ou rclients.

Call us now on 1300 463 733