Best Home Loan Interest Rate

Everyone is of course looking for the “best interest rate home loan” but to establish an optimal home loan product in each case there are many questions that need to be answered first. Some of the more important questions that need to be answered are;

• What is the loan size
• What is the property value
• How many securities are involved
• What type of home loan is preferred? Eg fixed, variable, pro pack or splits...
• What is the loan to value ratio
• What type of property
• Where is the property located
• What is the source of income to be used to repay the loan
• What is the estimated or intended life of this loan before it is to be repaid in full or refinanced
• What additional banking features are required
• What additional banking features could be utilised, saving you cost elsewhere

There are often other variables but the above shortlist should provide a general idea. Once we establish the above parameters we can then begin to look at actual loan products and the differences. Additional costs which may be incurred can dramatically affect the interest rate and may render a “low interest home loan” more expensive that a higher interest home loan. Costs which may be incurred and end up costing more than an “advertised interest rate” could include any combination of the following;

Application fee

Valuation fee

Legal fee

Document fee

Loan discharge fee

Deferred establishment fee

Early repayment fee

Break costs

Lenders mortgage insurance

Monthly account keeping fee

Annual package fee

To establish the real interest rate, each home loan being considered needs to have these additional costs added to the “interest cost”, and then have the actual interest rate calculated once the additional costs are included to establish an actual interest cost.

Often a home loan that has a slightly higher interest rate and no, or minimal additional fees and charges, may end up costing less that a home loan with a lower interest rate and additional fees and charges.

Ability Finance brokers can help customers make comparisons of home loans using our home loan qualifier software database.

Once all the details and required loan amounts are entered, the system calculates which home loan options are potentially available, and recalculates an averaged interest percentage rate based on known additional fees and charges that will be incurred over a given loan term.

This home loan qualifier system helps Ability Finance customers to quickly build a shortlist of possible competitive home loan options, extensive “what if” scenarios can be examined, and competitive home loan reports can be quickly and easily generated then compared detail for detail.

Ability Finance regularly discuss refinance options with customers where it is established that actually remaining where the existing loan is often a more economical option.

This is established by calculating all the costs that will be incurred, not by quoting a “cheaper interest rate”.

Contact us, there is nothing to lose!

So if you are looking for a quoted best interest rate we are not going to be able to answer that because Ability Finance represent a very wide range of lenders and ¨cheapest interest rate" is rarely the cheapest home loan!

We need to carefully assess your unique situation and requirements before beginning to develop a shortlist of options and we prefer to help our customers choose which option will suit them best.

Unlike a bank or lender who may be offering around a dozen different home loan options we are helping our customers choose from literally hundereds of different home loan options spread across 20 or 30 different lenders.

If you call a bank or lender they can easily quote you their lowest interest rates but it may end up being their best interest rate, not yours once other costs are included!

Ability Finance brokers can be contacted from this web page, our service costs you nothing and we help you apply for the same loan you would if you had approached the bank directly.

Contact us, there is nothing to lose!

There is no need for you to ring or march around different banks and lenders trying to compare apples with watermelons, our home loan comparison software can do it all for you from the comfort of your own home or office.

We look forward to helping every one of our customers in making the most informed home loan decision we possibly can.

A great way to get started quickly is to complete this quick online home loan application form.

Ability Finance will enter your information in our home loan qualifier system, check what options may be available and contact you.