Hi
Posted this yesterday but didn’t go through(I think) so hopefully we won’t have a double up.
I have just finished “0-130” and was unsure of the structuring of the loans. I understand 25yr loans P+I. With most +ve CF properties returning about $30/wk a small rise in interest rates would blow this +ve to a -ve very quickly. Do you lock interest rates for the start of the loan say
5yrs or do you (can you) lock them in for the full 25yr term.Thanks
NevaniaNevania
Personally I fix my interest rates around the 3-5 year mark but this also depends on the interest rate trends at the time. This allows me to budget for all expenses for this amount of time and gives me piece of mind so I can still afford holidays etc. Its not the most aggressive way to do it but it suits my situation.
It also can give you the opportunity to setup an exit strategy if your fixed term is about to expire and you cant afford the new interest rates or you want to budget for another investment property.
Hi Nevania,
I don’t think you can lock for 25 years interest rates in OZ. I am locking my interest rates for 3 years right now.
Cheers
[
]
PropertyGuRu
I will be billionaire soon!Hi,
The best I’ve seen in Oz is ten year fixed interest rates.
What I do is know at what interest rate I can lock in my positive cashflow and still earn a good return. That way I can monitor what happens and be proactive rather than reactive.
Cheers,
Steve McKnight
**********
Remember that success comes from doing things differently.
**********Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.comSuccess comes from doing things differently
Hey Steve,
Could you please tell us “Which Fiancial Lender” who is offering 10 years fixed rate and what their currnet rate is?
Cheers
s.i.sSIS, I can’t tell you which ones cos I don’t remember, but know that I’ve seen at least a few. They were at 7.5% about 2 years ago when I first saw them.
Ask a broker.
Cheers
MelHey Melbear,
Is it alright if i grab your email?[
][
]if you can, can you email me at [email protected]cheers
s.i.sIs “melbear” “steve” ??? [}
]REDWING
“The man that thinks at 5o as he did when he was 20 has wasted 30 years of his life”
The best I’ve seen in Oz is ten year fixed interest rates.I would also be ineterest where you can get 10 years fixed, the I have seen is 5.
Matt
“If you do what you have always done, you will get what you have always had.”
“Isn’t it time for a change?”
Hi guys
Westpac do a 10 year fixed interest, currently 7.6%
I think St George do one as well…
Cheers
rHi Richmond,
Thanks for the info,
How was your wedding and also, how did your bachelor party go? [
][]cheers
s.i.sG’day SIS
Wedding was great, the perfect day… had my buck’s night when the rugby world cup was on a few weeks ago, and can’t recall much after kick off!!
Cheers
rHey Richmond!!!
Congrats mate. I didn’t know you were getting married… welcome to the club.
No – I’m not melbear – just me.
As for 10 year loans… it’s not that hard to find out, you just need to dig further than the surface.
The infochoice website has it nicely packaged for you – just call the people who offer 5 year fixed terms to see if they also offer 10 year terms. I bet some do (wink, wink) but they just don’t advertise it.
Website (doesn’t seem to be running that quick):
http://www.infochoice.com.au/banking/homeloans/compare/tables/fixed/I/VIC.asp
Bye,
Steve McKnight
**********
Remember that success comes from doing things differently.
**********Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.comSuccess comes from doing things differently
]
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