Australian Fixed Rate Mortgages

Mortgages, Home Loans, Debt Solutions Australia, Bad Credit Debt Consolidation Loans, Debt Consolidation Refinance Loans, Mortgages, Home Loans, Debt Consolidation Loans Australia - Honey Loans Australia

Apply Now!
The Pros And Cons Of The Fixed Rate Mortgage

There are a few benefits to fixed rate mortgages. One benefit is that the rates and payments remain constant. There won’t be any surprises even if inflation surges out of control and mortgage rates head to 20%. This kind of stability makes budgeting easier. People can manage their money with more certainty because their housing expenses won’t change. Fixed rate mortgages are simple to understand making them appealing and good for first time buyers. Also longer term fixed rate mortgages are very affordable. 

There are also a few drawbacks to fixed rate mortgages. To take advantage of falling rates, mortgage holders would have to refinance. That can mean additional mortgage closing costs, another trip to the title company’s office and several hours spent digging up tax forms, bank statements etc. Fixed rate mortgages can be too expensive for some borrowers, especially in high rate environments, because there is generally no early repayment option available on such loans. Nor would you enjoy a reduction in repayments if the interest rates fall, as you would with variable rate mortgages. Fixed rate mortgages are more similar from lender to lender.

There are a few other important questions you should make sure you have answers to when deciding which type of mortgage is better for you. How long do you plan on staying in the home? How frequently does the variable rate mortgage adjust, and when is the next adjustment likely to be made? What’s the interest rate environment like? Could you still afford your monthly payment if interest rates rise significantly? Do you know the main pros and cons for each type of loan? 

Generally, fixed-rate mortgages are a safer way for first time home buyers to get a mortgage. There is greater stability and less risk involved. It is easy to budget and regulate your expenses when you know exactly what your interest rate will be.

 Apply for your Mortgage

top of the page


 Debt Consolidations

   Loans  Debt Consolidation - enquiry
   Loans  Debt Relief - Overview
   Loans  Debt Consolidation Tips


 Home Loans & Mortgages

   Loans  Home Loans - enquiry
   Loans  Home Loans - Available Types
   Loans  Home Loan Documents

   Loans  Low Doc Home Loans - enquiry
   Loans  Low Doc Loans - Overview
   Loans  Investment Loans - Overview
   Loans  No Deposit Home Loans
   Loans  Interest Only Home Loans


 Mortgage Refinance

   Loans  Mortgage Refinance
   Loans  Home Refinance
   Loans  Refinance Loans
   Loans  Refinance & Save


Personal Loans & Car Loans

   Loans  Personal Loan Facts
   Loans  Car Loans - Overview


 First Home Buyers

   Loans  First Home Buyers Info
   Loans  FHOG - Do You Qualify?
   Loans  How Much FHOG Will I receive?
   Loans  Cost Of Home Purchase
   Loans  How Much I Can Borrow?
   Loans  Consolidation of Debts into
      your Mortgage

   Loans  Purchasing Process
   Loans  Documents Required
   Loans  Do I Need A Guarantor?


Home Loans Bad Credit Home Loans  |  Debt Consolidation Loans  |  Mortgage Refinance

676 Centre Rd, Betnleigh East, Vic 3165
Copyright © 2004-2015 serviced by Honey Finance Group Pty.Ltd