Once people secure their home loan, they often forget about it and simply pay their loan repayments till the end of the loan. This may seem fine, but the reality is you could be missing out on many benefits and savings by not reviewing your home loan regularly. We have put together a list of potential benefits you could get simply by reviewing your home loan every now and then.
Unnecessary and unused perks
When you first set up your home loan have been often extra benefits that are part of the deal. However, as time goes on these benefits may seem unnecessary and are no longer of use to you. Despite this, the rate you pay for your home loan will remain unchanged. By reviewing your home loan, you can refinance to a home loan that makes more sense to your current lifestyle and financial goals.
A change of circumstances
Our lives are constantly changing, whether it is personal circumstances, family or finance, changes in circumstances will always affect the suitability of your loan. Therefore, you should be reviewing your home loan whenever your circumstances change to ensure your loan is still suitable.
Get a better interest rate
While your home loan’s interest rate may have been competitive at the time you signed up for it, it may no longer be competitive against current home loan interest rates. Additionally, the interest rate you were offered was based on your past circumstances, you may be able to get a cheaper interest rate with your current financial history and situation.
Pay off your home loan faster
When you initially set up your home loan you may not have had the funds to afford a shorter home loan. However, if you are now in a better financial position, you may be able to pay it off faster by refinancing.
Due to these potential benefits, you could be missing out on, it is worth reviewing your home loan regularly to ensure your loan is still the right one for you.
Reviewing your home loan can get a little confusing. If you would like to learn more about what’s right for you, book a chat with Nicole!