3. Are the penalty fees still worth it?
You may be wondering why individuals would knowingly choose to switch their mortgage broker if it means that they’ll have to pay a hefty fee. The answer is that as interest rates have fallen significantly, in many cases individuals will be able to save tens of thousands of dollars in the long run, by switching to a mortgage provider who offers a lower interest rate and that it is well worth paying any penalty fee associated with switching mortgage brokers.
If you’re interested in finding out how much money you can save in the long term, by switching your mortgage over to our highly related firm, it’s well worth getting in contact with a member of our friendly team. As you may be able to pay off your mortgage and to own your home freehold years earlier than you expect if you decide to go ahead with the switch which our team proposes.
4. Does switching mortgages make sense for you?
There are a few important questions which you should ask yourself before going ahead and switching your mortgage broker. Firstly find out how much money you can expect to pay in the penalties which you’ll be likely to face. Next, consider the balance of your mortgage which you have left to pay and the current interest rate which you’re paying with your current mortgage broker.
Then try to calculate how much time is left on your current term and how much you currently pay each month, towards your mortgage, before figuring out how much you’d pay in monthly payments if you were to switch mortgage brokers.
5. What are the benefits of a variable mortgage rate?
As interest rates have plummeted in recent years and show no signs of rising, if you choose to negotiate a new mortgage, it’s seriously well worth considering opting for a variable mortgage rate. As each time interest rates continue to fall, the interest which you’ll pay on your mortgage will also decrease. Which should significantly increase your disposable income and in turn, your quality of life.
Remember that contrary to popular belief, even if you sign a mortgage with a variable interest rate, you’ll still have the option to lock down an interest rate which you’re happy paying, in the long term. Which is a great idea if you believe at any point that interest rates will rise again.
So if you’re interested in switching mortgage brokers in order to save thousands of dollars and pay off your mortgage sooner, it’s well worth getting in touch with our team at your earliest convenience for more information.