How often should you review your home loan?

We live in a constantly changing world where circumstances and conditions are constantly evolving. Our personal situation and lifestyle will shift endlessly throughout the years and we will change what we eat, where we live and what we do constantly. As a result, it makes sense to review your home loan regularly to make sure it still aligns with your life and your goals.

Generally, you should review your home every 2 years. However, there are a number of situations where it is a good idea to review your home loan regardless.

Interest Rate Changes

It is a good idea to keep track of any Reserve Bank of Australia interest rate changes as these changes eventually influence the interest rates of lenders. Once you are aware of an RBA change, you should keep an eye on changes to lender interest rates and review your home loan to ensure it is still competitive.

Your Fixed Period Is Coming to an End

When your fixed loan period comes to an end, that is when your repayments and interest rate is likely to change. This is a good time to review your home loan and check to see if the new interest rate is still a competitive interest rate.

Life Changes

There are changes that can happen in our lives that can affect how well your home loan suits you. A change in job, income, debt, or financial position would all significantly affect the suitability of your home loan. As a result, it makes sense to review your home loan to ensure it still suits your individual needs and goals.

It is a good idea to review your home loan regularly, but especially so if you are met with some of these situations.

If you would like to learn if your loan is still competitive, get in touch with us today!

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