Seek Home Loans Qld

23/04/2019

I hope you all had a nice Easter break

There is much happening in the World of Home Loan interest rates.

It would appear that with the Royal Commission now seemly behind them, the Big banks are making a push for Home Loan business.

The result has seen the Big 4 providing larger concessions on their variable interest rates to make them more competitive.

In response, many of what we refer to as the second tier Lenders have also moved on rate and in general we have found that their current offerings are undercutting what the Big four have moved to.

More significant changes have also been seen in the Fixed rate market where some lenders have introduced strong 2 or 3 years fixed rates.

We are currently looking at where this leaves the market overall and what would be deemed to be ‘a good deal’.

Of course there is much to consider in a market like this - some key points would be:

- What is the real cost of a Lender package - ie Annual fee package v Basic loans with no fees
- The balance of a strong variable rate combined with a strong fixed rate - who does it better
- Fixed rates - is it the right time to look at them for your needs
- The real benefit of a change in Lender - the cost of making the move against the benefit of a better ongoing deal
- Convenience of the Lender - everyone is different and not all loan structures are the same

I plan over the next few weeks to tackle each of these questions in more detail as i am getting a lot of inquiry from my clients on what they should do with their loans.

If you are interested in seeing how your current deal stacks up please let us know.

29/06/2017

I think we all know an Interest rate rise is inevitable however this article raises the questions of when and to what level these rates rises will go.

The Reserve Bank of Australia could hike rates eight times in two years, pushing the average standard variable rate up to seven per cent, a former...

29/05/2016

Over the past quarter century the Australian economy has been underpinned by a strong and consistent Banking Industry - some say the envy of the World economies

But are the Banks as strong as we think they are?

This article might have you think otherwise.

​If Australia is an economic miracle -- the so-called Lucky Country, beneficiary of more than a quarter century of uninterrupted growth -- then its banks are its most visible sign of strength.

19/11/2015

Great recognition for the team from Seek Home Loans

4 years in a row Choice category award goes to the team at Seek...! Well done guys and girls another great effort for 2015...

20/05/2015

I have attached an article that looks at the imminent changes in the way Mortgage Lenders deal with the Interest rates for Investment Property loans.

ASIC have sited the potential for a property 'bubbles' in Sydney and Melbourne as the catalyst for tighter controls of the Investor Lending sector.

This will likely take the Industry back to the days when you paid a higher Interest rate for your Investment property loan than you do for your Home Loan.

Moving forward, don't be surprised to also see tougher regulation on the affordability levels the Lenders implement when assessing a loan as the Regulatory bodies promote 'Responsible Lending' through the Mortgage Market.

With Interest rates currently at record low levels and the potential for them to rise historically back up to 7 - 7.5% the concern (rightly) is that this might put pressure on the average Mortgage holder to be able to afford their loan commitments as rates rise.

One safeguard that is already in place is the use of a rate buffer by the Lenders when assessing a loan application.

This happens behind the scenes and involves the Lender applying a higher rate when calculating the client's affordability - usually incorporating a buffer of between 2.5% to 3% depending on the lender.

No need to worry - they don't apply this rate to your loan!

As I often say to my clients, it doesn't matter how much the Computer says you can afford, your own person budget and circumstances should be a major part of determining whether you can afford the commitment you are looking to take on.

One way a Mortgage Holder can protect themselves against the possibility of rate rises in the future is to look at bringing in fixed Interest rate options to their loan structure.

As always, we are happy to discuss any details relating to your Mortgage requirements.

I am only a phone call away - 0410 327 673

Cheers

Greg

One of the Big Four has cut the discount it offers on mortgages to landlords amid a regulatory crackdown... ASIC fears property bubble to burst… Consumer sentiment improves among mortgage holders.. ...

13/01/2015

We are constantly hearing in the media about the Resources boom and the impact it has on the Mining Sector.

One flow on from this is the effect changes in the Mining sector have on property prices in the areas that provide accommodation for the workers.

When it comes to buying a rental property, It is important to look at what drives demand and ultimately the prices in the area you are looking to purchase in.

Areas that rely predominantly on the local mines or are a hub for fly in/fly out Mining workers need to be more closely scrutinized.

Can these areas survive and hold their value if a downturn comes in the area.

Areas linked to mining have suffered some of the biggest losses in the housing market according to new data… Perth rents drop… Aussies are saving the spare cash from cheaper petrol says ANZ… Real e ...

29/07/2014

Here is little bit of light reading on how Australia's Housing market moved in June - the growth being a turn around on the May figures.

Not much to hang your hat on if you are looking for longer term growth or trends but at least a bit more positive news - particularly for the Brisbane area

We look at how Australia’s housing market fared in June.

28/07/2014

To say the Interest Rates in the Home Loan market are hot right now would be an understatement.

With many of the Lenders moving to match the 4.99% Five Year fixed rate offered by Commonwealth, it is a great opportunity to lock in a very strong long term rate.

For those considering fixed options it is important to look at your overall loan structure before making the change

If you want to discuss the benefits and processes of fixing in your Interest rate I would be more than happy to discuss with you.

All the Best

Greg
0410 327 673

17/10/2013

I have been talking to many of my clients over recent months about the fixed rate market and the benefits of locking in rates on all or part of their debts.

While I can't tell you what to do as I am not the owner of a crystal ball, I can certainly keep everyone updated on changes in the fixed interest rate market.

The past 12 months have been easy in this regard as rates have slowly reduced and no pressure has been evident on this trend changing.

I did however promise many of you that if there was a change in this position i would advise.

One of my leading lenders has announced today an increase of 0.20% on their 3 year fixed rate and 0.24% on their 5 year fixed rate.

Whether this is simply a pricing adjustment on their behalf or the start of a new upward trend is anyone's guess however i believe it is something that needs an eye kept on for those who are rate conscious.

If you are looking at fixed options with your existing loans or loans about to come on board and want to discuss further please feel free to give me a call on 0410 327 673.

I have a Fixed rate spreadsheet I will be updating over the next week noting all the major lenders fixed rates and would be happy to send you a copy when completed.

I am certainly not saying that you should fix however I do believe it is a good time to consider the option

23/09/2013

If you are in the Maleny area this Saturday 28th September here is a chance to support one of the local groups raise funds for the Rural Fire Brigade

07/08/2013

As many would know the RBA yesterday made a further 0.25% reduction to the cash rate leaving it at 2.5%

This cash rate is the one that helps determines the variable rate on your Home Loan

It is interesting to sit back and see how the Major lenders handle not just the process of working that reduction in to their Interest rate offerings but also how they try to benefit from it.

Westpac's move to reduce their Standard rate by 0.28% is a perfect example of ceasing the moment - headline it with the media - Westpac pass on more than the other Majors.

It does grab your attention.

But lets put it into perspective

Westpac have had the highest standard variable rate of the Majors since the GFC.

Until this 'generous' offering of an extra 0.03% they were up to 0.13% higher than the best of the other Majors.

Don't get caught out by the hype as it is often tied in with the smoke & mirrors the Majors use to have the general public think they are doing it tough, that margins are squeezed and they don't make much out of your Home Loans.

Look at the maths when it comes to margins:

Standard Variable rate - 5.88% (NAB) less cash rate 2.5% = margin 3.38%

Not a bad margin to work with and considerably more than the margins pre GFC - their not doing it tough, the consumers are.

There is plenty of room for these lenders to give the average Mortgage Holder a better deal.

As always I am happy to discuss this further and work out what is a good deal right now

You might find the best option isn't one of the 'Majors'