Mark and Shelley (Not their real names), a hardworking couple were paying $2725 per month for their home loan for their property South of Perth near Lake Coogee.
With no kids but a family wish on the horizon, they were struggling to live outside paying their mortgage each month.
They contacted me after being referred from a friend who had used my services.
We were able to look at their situation which was a loan of $387,000 at 7.25% interest rate. I was able to identify a more flexible lender and refinance their loan to a 4.59% interest rate which saved Mark and Shelley $624 per month or $7488 per year.
This is money that they needed to come up with after they paid tax so by saving them this much we effectively saved them more than $10,000 per year.
With the additional savings coming in, Mark and Shelley have started to make home improvements and enjoy life without worrying at night.
Over the 27 year loan term, they will save $202,000 in interest or if they kept their previous payments which they were managing they could be debt free 9 years sooner. This means their home equity would be building faster setting them up to upgrade into a better home or area into the future with a bigger deposit.
If you are concerned about your interest rate or your lenders flexibility, please get in touch with me as their is almost always a better option available to save you money,
Regards
Jon Ashfield
Lead Mortgage Broker
Ashfield Finance