Home Loan Refinance – Case Study
Do you want to save $1350 a month in Loan repayments?
We wanted to share with you a short story from a recent Home Loan Refinance and Debt consolidation loan we assisted with here at The Home Loan Professionals. We hope it puts into perspective some of the work we do and how we may be able to help you.
Adam and Anette (not real names) contacted us to see about refinancing their home loan, located in North Lakes, Queensland. During our interview, They mentioned they were wanting to start a family in the near future. With this in mind, they had decided to replace their older cars with 2 new cars.
They were on a decent combined salary but we noticed that when they would have their first child, with only 1 salary, the car loan repayments would put them into negative cash flow.
So what we suggested was to include both car repayments into the home loan. This reduced $1500 a month of car loan repayments into an additional $150 a month on the loan, just by including the car loans when we completed the Home Loan refinance.
We advised them that their aim should still be to pay off the car loan asap, as in the topped up amount on the home loan, otherwise they would pay substantially more in interest. What this did however was lower the minimum monthly repayment.
This meant, that when they do have the baby, they now have the OPTION to only pay $150 instead of the $1500.
In the end Adam and Anette continued to pay the extra $1500 to build up a buffer on their loan so that when Anette is on maternity they can scale back the repayments without worry.
Not only this, the Home Loan Refinance earned them an extra $4000 cashback! This was a win win win for them and it is great to be able to have played a part in this. Just another reason why you should always use a broker!
If you are reading this and thinking this sounds like you, why not call and see how we can help you?
