Take the first step towards buying your next home
You’ve been through the motions of buying your first home, you probably already know the kind of time-consuming, headache-inducing affair you’re in for, especially when you’re organising your home loan.
You actually have a couple of options for funding your next home, though. You could either get a bridging loan or turn your home into an investment property.
What is a bridging loan?
Earning its name from the fact that it serves as a funding bridge between your current home and your next one, a bridging loan is an option for people who are planning to buy or build a new home even before they could sell their current property. Think of it as a sort of advance, particularly in the case of people who are planning to use the proceeds of the sale of their current home to fund their new purchase, and need funds to cover the time gap.
However, it’s not that simple to just commit to a bridging loan, as different financial circumstances necessitate different approaches. Still, it’s always better to close the sale of your current property prior to moving on to your next home purchase.
Turning your home into an investment property
Another option is to use available equity to fund your next home, by turning your existing property into an investment property. Again, these matters are best handled with lending specialists by your side, as the specifics of investment properties are a bit complicated.
Why choose Royal Capital?
- Hassle-freeNot only will we take care of all the information-gathering, consulting, and analysing basically, all the heavy lifting. We’ll also set meetings with you at a time and place that’s convenient for you.
- The best optionsRoyal Capital offers a comprehensive mortgage broking service that includes over 30 trusted lenders, you’ll never be out of options.
- Dedicated and personalised serviceWe have qualified lending specialists who are more than willing to provide helpful advice and insights tailored to your specific circumstances. Our lending specialists will also guide you throughout your loan application process, making sure that you’re aware and secure, every step of the way.
- No FeesWe won’t charge you any extra fees for our service (unless specified) – that’s one less thing for you to worry about.
When should you consider mortgage refinancing?
With official cash rates at an all-time low, now would be as good a time as any to review your home loan needs, even if it’s just to make sure it is still helping you achieve your financial goals. Save money, lower your monthly repayments and free up room in your budget by getting a better deal. Changes may include shortening your loan term, adjusting repayments on your loan, so you can own your home sooner; or taking out a loan with added features such as an off-set account or redraw facilities.
- When your interest rate is greater
If your current interest rate is more than .75% above a comparable product, perhaps it’s time to switch.
- If you want more out of your deal
Consider refinancing if you need a bit more flexibility in your loan arrangement, such as line-of-credit or a redraw facility.
- If you need extra cash or equity in your home
Refinance your loan if you need funds to use for investment purposes, school fees, renovations and other important matters.
- If your circumstances have changed
If a significant change recently happened in your life (such as marriage or a job change), maybe it’s time to change your loan, too.
- If you need to consolidate debt
Refinance your loan if you need to roll other higher interest loans (like credit card loans or personal loans) into your home loan.It is prudent to review your mortgage once every two years. Competition changes, whether you’re on the right deal or not. We can provide this as a free no-obligation service to you.
Mortgage refinancing made easy
Take a moment to review your current circumstances and compare your home loan.
Please feel free to contact our lending specialist firstname.lastname@example.org or on tel. 03 9028 8135 for an obligation-free loan review or quote.