Search For Sale

Your loan options

June 8th, 2015 by Geoff Baldwin

To purchase your own property, you would most likely have used a principal and interest loan. A P&I loan allows you to pay extra amounts off the principal however is usually susceptible to interest rate movements. Although, you may be willing to put up with rate movements to retain the flexibility to pay off your own home quicker, this is not necessarily the best way to go with investment loans.

A better option may be the Interest Only Loan. This type of loan only requires you to pay the interest component and allows you the security of fixing the interest rate for up to five years. This would be the most popular type of loan for investors however there are a proliferation of competitive loan options available and it is good advice to deal through a good mortgage origination company to get the full story.

You also have the option of Splitting your borrowings fixing some of your loan and having the remainder on a principal and interest basis.

Mortgage Originators have access to the loan products available from of the banks and other lending institutions. Unlike individual banks, they are able to demonstrate the full spectrum of loan options and then assist you to find the one that suits your particular needs. The lender usually pays mortgage originators so there is no charge to you for this fantastic, in home service.