Congratulations, you have purchased a new house!
Great interest rate for your Home Loan – Check.
Used your local mortgage broker Paul Halford or Nikki Meldrum – Check.
Everyone is happy, you settle in nicely to your new home and get to know your friendly neighbours in North Lakes, Brighton or Strathpine in sunny Queensland, and time moves on.
As time goes on, you pay your Home Loan, interest rates go up, maybe go down and then we forget, and we continue to happily pay down our home loan.
So what happens then after you have had your Home Loan for 1 year, 2 years or more?
Bank – What Happens Next??
If you went direct with the bank, your rates will move up and down, in line with the Reserve Bank of Australia decisions. The bank will not look at what specials or promotions they have available for new customers. They will gladly keep your rate higher because most don’t ask for a better deal and don’t know that they could get a better deal. We call this the bank loyalty tax.
Your Local Mortgage Broker – What Happens Next?
Every 6 to 12 months, we will be checking or calling the bank to ensure you have the best interest rate possible. We know which bank you are with, and when that bank comes out with an amazing rate to attract new clients. We call them and say, Hey! our client should have that too! Most of the time they give it to us, if they don’t, well, we continue to see what is best in the market. It could also be time to Refinance your home loan and switch banks? After all, if they do not value your business enough to give you their best possible interest rate, then why should you be loyal? Loyalty needs to go both ways.
Mortgage brokers do this follow up for the life of your Home loan — why? well we work for YOU remember? now and always
If you are looking to buy a home, or refinance your home loan, or both, now is the perfect time to reach out to a mortgage broker to help.
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