Types of Mortgage Loans There are thousands of different home loans, commercial loans and personal loans on the market, all with different interest rates, fees and features. If you are confused and have not already decided, the following might help you choose the type of finance that’s best suited to your circumstances whether it be a residential property or real estate of another choice. - Standard Variable Rate Home Loan
- Basic Variable Rate Home Loan
- Fixed Rate Home Loan
- Non-Conforming Home Loans
- Low Doc Loans (for self employed)
- Line of Credit Home Loans
- Commercial Loans
- Personal Loans
- Seniors Loans (Reverse Mortgage)
- General Insurance
- Refinancing
- Self Managed Super Fund Loans
Each lender that is available to you have slightly different terms & conditions.
To request an obligation free appointment, click here and Your North Coast Money Man will explain the differences and how each loan could suit your finance needs.
Standard Variable Rate
Standard Variable Rate home loans typically offer you maximum flexibility and great features, including the option to fix or split your loan, the ability to make additional repayments when you can afford to, and the option to redraw these funds for any purpose when you need too, plus other options eg. offset account, ATM, Eftpos and cheque account.
Basic Variable Rate
Basic Variable Rate home loans offer a lower interest rate, but fewer features. However, you usually have the option to pay for additional flexibility and features when you need them, although this is not always the case.
Some loans are now available up to a 100% lend on your purchase with this product (Conditions Apply).
However, this home loan is changing because of popular demand for this product. Most of these loans now have similar flexibility as your Standard Variable Rate.
Fixed Rate Loans
Fixed Rate home loans protect you against interest rate changes for an agreed time, so you have peace of mind knowing your repayments won't increase. However, you won't benefit if rates go down during the fixed term.
Non-Conforming Loans
Non Conforming home loans have been designed especially to help borrowers who do not meet 'standard' lending criteria, including those who have an impaired credit history, are unable to provide the required documentation in support of their home loan application, or wish to borrow up to 80% of the property value, or more (depending on postcode) if using other residential property as security. These are worth looking at for refinancing when your circumstances have changed dramaticly.
Low Doc Loans Low Document Loans are basicly for people who are self employed and do not have their financials up to date, although their income maybe sufficent to service the home or investment loan without the paper work to verify this. An 80% lend is normally the maximum you can borrow depending on the security and location of the property. You will normally require BAS statements and/or 12mth bank statements.
Line of Credit
Line of Credit home loans are interest only variable rate loans that allow you to borrow against the equity in a home with the added flexibility of a transaction account built into the home loan.
Commercial Loans
Commercial loans can be very complex. Depending on all of the information required a commercial loan can be sought from the many Commercial Lenders we have available for you.
Whether it be a refinance for an existing business, purchasing a new business or even a Debtors Loan, we can source a commercial loan suitable to your needs. It is always beneficial for you if you have a Business Plan to go with your loan submission.
Personal Loans
A smaller type loan generally under $50k, either with or without security, and taken over a short period of time (normally five to seven years). This can be used to consolidate debt eg credit cards, or to purchase a vehicle etc.
Reverse Mortgage Home Loans
These mortgages are available to residential property owners over sixty five years of age living in their own home. It is a loan secured on your home or investment property and provides a source of funds by releasing some of the equity tied up in the property. You are not required to make any repayments (unless you want to), whilst you are still living in your home, as all interest and fees are capitalized into the loan balance.
InsuranceGeneral Insurance: we are able to provide you with most of your Insurance
needs including - House/Building, Contents and Landlords Insurance. There is also the availability of Mortgage Protection Insurance & Accident/Disability Insurance as well (with the first three months Free). Refinancing If you are not happy with your current financier and want to refinance your home or commercial loan we can do the leg work for you by checking out the most suitable finance available for you. With refinancing your loan we can also consolidate other debt (considering you have equity in your home) you may have, to do some renovations or just to refinance your current home loan debt. We will track down a home loan that suits you. The choiice is yours. Self Managed Super Fund Loans This type of loan can be used to purchase investment properties but not an owner occupied property. Your superannuation fund will need to have at least 20% of the value of the property you wish to purchase. The balance will be borrowed from the bank. Your contributions will need to cover the repayments of your loan plus your rental return will be taken into account to cover the repayments as well. |
