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?

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

Hi neighbour, I also live in Beaumont Hills, whilst my office is at Baulkham Hills.
I trust you have already approached NAB and asked them to lower your rate?
If not, that is your first course of action.
Home loan rates are available below 3.7% so on your loan, the annual interest saving would be over $3,500.
Happy to meet and discuss if you have no joy with NAB.

Hi Toni

Yes you most certainly can get a lower rate; the margin will depend from lender to lender. You can approach NAB and ask them to reduce your rate and see what they come back with. You can then see if there is a better rate out there for you.

I have rates (like most brokers) in the 3 percentile range. The question is; is this lender/ product the right one for you.

In summary; approach NAB and ask them if they can reduce your rate. Feel free to contact me to see if I can do any better.

All the best.

Hi Toni,

Excellent question - It sounds like this is pretty important for you! (like many of my existing clients, this is the #1 benchmark people measure lenders against)

Good on you for popping your head up and seeing what is available in the market - There are very competitive specials out there at the moment with some lenders delivering rates well below the 4% mark.

4.39% is a middle of the road rate for an owner occupied loan for that amount. To answer you question very simply - YES you can get a much better rate than that with some lenders offering rates well below 4% if you were able to provide evidence of your income (payslips, tax returns, & bank account statements) and the property is owner occupied.

As I'm sure you know, interest calculated daily on the loan balance and debited monthly a reduction in rate will enable you to put that additional difference into the loan so you can own your home sooner- if that's what your looking for?

From a simple interest saving perspective the loan of $560k at 4.39% for 30 years you would have a principal & interest repayment of $2,800.90
If you were to secure an interest rate sub 4% - as a guide 3.99% - With a loan of $560k at 3.99% for 30 years you would have a principal & interest repayment of $2,670.30
A cash flow saving of = $130 per month.

This is just the start that hopefully give you some measurable benefit that you would get cash flow wise.

Aside from the monthly cash flow saving you have here it would be prudent to explore your specific requirements, along with rate, so you can get a loan facility that can provide you with further benefits that another lender may provide that will help you own your home sooner.

At the end of the day, most people want a HOME NOT A HOME LOAN.

I would love to explore how I may be able to help you move towards a better interest rate, freeing up your cash-flow and helping you own your home sooner.

I trust that helps in some way?

Regards

Craig
0481 383 490

Hi Toni

I had accidentally put my response in comments and not Answer! Please see my Answer as per my comments.

Hi there Toni,

In short - yes there are better rates out there. We can get owner occupied rates down as low as 3.59% and 3.88% for investment - both rates mentioned are principal and interest variable rates.

We would absolutely need to do a preliminary assessment to ensure that you qualify for these rates.

We love helping our customers save on their monthly repayments and if you would life an obligation free review more than happy to help you.

Hope this helps,
Nicole :)
Pink Finance

Hi,
Good morning,
I am a mortgage broker.
You can get 3.69 easily for your owner occupied loan.
And you can save approximately $3920 in a year as far interest is concern.
Let me know if you need any help.

Regards,