Christmas for most of us is a magical time of year but the post Christmas blues come when those credit card bills start to roll in and the bank account is empty. If you plan carefully and take the time to think about your costs, you can save a lot of money on unnecessary expenses. Here are the top 10 tips to save money at Christmas.
Over the past week, all four of the major banks in Australia have announced an increase on interest rates for variable home loans, independent of the RBA ( Reserve Bank of Australia). The RBA have kept the cash rate at a record low of 2% for three consecutive months but the banks are sighting their increases on a requirement to hold more capital to cover their mortgage loan books as the reason for the rise in interest rates.
How to save money on your home loan when interest rates are low
Now is the ideal time to save money on your home loan as the cash rate in Australia has been kept at a record low 2 per cent for three consecutive months by the RBA. This low rate has allowed many home owners to get in front and save large amounts on their home loans. If your not capitalising on the current low rates to save money on your home loan, below are a few things to consider before rates inevitably rise again in the future.
Buying property in a sellers market can be extremely difficult. With the current booming real estate market in Sydney, many buyers are missing out on securing a property to purchase. With interest rates at the lowest point in Australia’s history, auction clearance rates at the highest level in many years and property prices increasing by 16% in Sydney over the past 12 months, buying a property has become a more difficult process than ever. The number of affordable properties on the market is far outweighed by the amount of buyers competing for the purchase.
Home buyers and investors need to adjust to the current real estate conditions and realise that there are a whole new set of rules when buying property in a sellers market. You need to do your research, be prepared to move fast and take on a completely different negotiation strategy. Below is a list of things you can do to increase your success when buying property in a sellers market.
Finding the cheapest home loan isn’t as simple as looking at a home loan comparison chart and picking the lender who has the lowest rate. If that was the case, we’d all have our home loans with the same lender and the rest would go out of business. There are many variables in choosing the right loan and sometimes what appears to be the cheapest home loan, is not actually the case.
With property prices in Australia rapidly increasing, saving enough money for a good deposit on a home loan is becoming more and more difficult. Lenders in Australia prefer a deposit of 20% of the property value but if that figure is out of your league, there are other options. Lenders Mortgage Insurance allows you to have a smaller deposit and still get a home loan.