Q: I have an interest-only loan with Westpac at 4.84% and owe $680,000. If I change to principal and interest what is the best rate I could get without paying an annual fee?
A: Hi Rikki
This is why brokers are important to the industry, no matter what the bankers are saying at the royal commission.
Bank are not your friend!
Your rate will depend on, if it is a owner occupied loan or an investment loan. if it is an owner occupied loan it should have a 3 in the front if it for a principle and interest loan.
If it is an investment loan it should be at least, for a principle and interest loan in the low 4% or mid 4% for an interest only loan.
My accountant once said to me that the best bank may be your next bank.
If your current bank will not negotiate a better rate look for a better deal.
Q: Hi, We are with NAB and reasonably happy with their service but the interest rate on our loan is 4.39%. The loan is $560k and the value of the property is around $800k. Can we get a better rate and how much would it save us?
A: Hi Toni,
Is this loan for your own home or an investment property , is it a principle and interest loan or interest only these factors can influence the rate you pay?
If this is an owner occupied home loan and is principle and interest, you should be looking at an interest rate with a 3 in front of it.
Regards Peer Rogers
Q: I have a desire to pool my wife's superannuation with mine and invest in a property. I understand that I must move into the SMSF to do this but what are the practical steps associated with the plan?
A: Hi Jimmy
Your understanding is not right. You can not live in a property that is owned under your own SMSF.
The property must be rented at an arms length rental agreement.
Regards Peter Rogers Broken Bay Lending Solutions