Gliding along with low repayments it is easy to forget the days of interest rates as high as 9%. With more than half of us, mortgage borrowers on floating, it is a good time to consider options. If our economy picks up a little steam I wonder how quickly the reserve bank will start to cool things down.
My clients love asking me abut the future of interest rates and I do my best to spread out the tarot cards whilst wearing my Gypsy hat. The best way to determine accurately the future of your interest rate, is to lock them in. With great rates on offer over the longer term, it is good time to thing about your capacity for future increases in repayments if the rates were to shoot up.
Rates such as 5.99% for 5 years is not unheard of in the current market and still obtainable. Of course the five year path would burn if rates dropped further and for some people hedging their bets can be done by breaking up the whole loan amount into different fixed terms.
Feel free to contact us on 09 625 4693 for any fixed rate quotes.
