All Topics / Finance / Variations on Mortgage

Viewing 2 posts - 1 through 2 (of 2 total)
  • Profile photo of JULES1JULES1
    Participant
    @jules1
    Join Date: 2003
    Post Count: 147
    April 28, 2005 - 7:03 am

    Hi
    My problem – how much to borrow.

    If I take out a loan of 300,000. My repayments fortnightly are approx 1001-00. If I repay 100,000 early or put 100,000 in the MISA account, will my fortnightly payments remain the same or will they reduce in proportion to the 100,000.

    Hope someone can assist me as this point for me is my guide as to how much to borrow. Just negotiating with the bank today.
    Jules

    JULES1
    Email Me

    Profile photo of Robbie BRobbie B
    Member
    @robbie-b
    Join Date: 2004
    Post Count: 2,493
    April 28, 2005 - 8:38 am

    Firstly, I would suggest using a broker but it seems you prefer doing it yourself.

    Regarding your question, the repayments will only reduce if the loan is set up as interest only. If the loan is set up as principal and interest, the loan term will reduce but the repayments will only change if interest rates change.

    Robert Bou-Hamdan
    Mortgage Adviser

    http://www.mortgagepackaging.com.au

    Investor Links

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.