We Can Build a Debt Reduction Strategy Around Your Lifestyle That Will Save You Money & Valuable Time
In our experience, most people with a home loan are unaware that by the time they make their final payment on their home loan, they would have paid back double what they originally borrowed.
This is a scary thought, particularly when you look at the median house price in Melbourne is currently $605,000.00 and in Sydney $850,000.00.
Not only are houses and units in Australia becoming more expensive, people are borrowing a lot more money to have those expensive properties.
Borrowing the money is the easy bit, but paying it back the hard when you consider the average mortgage is taken out of a 30-year period with some lenders now offering 40 year terms to make repayments more affordable.
This means the longer the term, the cheaper the monthly repayment, but the more interest you pay to the lender over the extended loan term.
Having a debt reduction strategy is crucial to saving yourself thousands of dollars in interest. However, it does need be accompanied with an appropriate home loan structure for it to be completely successful.
The appropriate strategy and loan structure can save you thousands of dollars in interest, take years off the term of the loan and set you up for life.
When tailoring a debt reduction strategy and loan structure for our Clients we take into consideration the following elements to ensure success.
We consider our Client’s:
- Annual income
- Spending habits
- Preferred method of payments i.e. cash, credit card, electronic banking
- Amount of money they are borrowing
It is crucial that the strategy we implement meets our Client’s needs, goals and objectives in order to achieve success and we are not talking about spare change now; we are talking about saving tens of thousands of dollars in interest.
These savings can go a long way to setting a family/person up for life and allowing them plenty of time to plan and prepare for their retirement years.