Mortgage Choice Can Help Repay Your Home Loan Sooner Tips for budgeting, spending and managing your mortgage in 2012. Cheltenham, Victoria (I- Newswire) January 25, 2012 - Becoming a better budgeter, wising up on your spending habits and making the most of any savings can help borrowers master their mortgage and own their home outright sooner, according to Australia's largest independently- operated mortgage broker, Mortgage Choice. Local Mortgage Choice mortgage broker, Ebony Curtis said, "If your goal is to pay off your loan sooner, the beginning of the year is a great time to set new financial resolutions." "Challenge yourself to ramp up your home loan repayments by readjusting your budget and finding ways to make extra contributions to your mortgage. "Well thought- out saving, spending and loan repayment strategy decisions can help put you months or even years closer to living mortgage free. Keep in mind even small financial changes can have a big impact on how much interest you pay over the life of your loan and the length of your loan term." Mortgage Choice in Cheltenham, Melbourne offers these financial resolutions to help borrowers own their home sooner: Resolution 1. Become best buddies with your budget If you don't already have a budget, the New Year is the ideal time to start one. Ensure it factors in all your regular spending - home and/ or other loans, utility bills, medical expenses, memberships, grocery bills, insurance costs, etc. Don't forget to include funds for socialising treats. Be honest with your budget and refer to it each time you contemplate a new expense. Resolution 2. Slash your cash limit Consider ways to cut your daily spend. For instance, a daily caffeine hit at $4 per weekday equates to $80 per month. Did you know by making a coffee an every- second- day spend and contributing $40 extra per month to your mortgage from day one (based on a $300,000 loan over 30 years at 7%) could reduce the total interest owed by over $31,000 and the loan term by almost 2 years? Resolution 3. Review your home loan with a fine- toothed comb There could be underutilised loan features costing you money or features worth refinancing for. Get to know your loan's features. Your mortgage broker can help review your current loan and its features and identify any opportunities to shop around for something better suited to your goals. Resolution 4. When rates fall, keep repaying more If your home loan's interest rate has recently fallen, consider keeping your repayments at the higher, pre- fall rate. For example, take a home loan of $300,000 at 7% over 30 years. If your rate reduces to 6.5% and you keep repaying your loan as if the interest rate was still 7%, you could shave approximately 4 years off your loan term and save over $60,000 in interest owed. Resolution 5. Make the move from monthly to fortnightly Switching your monthly repayment to fortnightly may make a significant difference to your loan term and the interest owed. There are 12 months and 26 fortnights in one calendar year; by paying fortnightly, you make the equivalent of 13 monthly repayments. The savings, based on a $300,000 loan at 7% equates to around $103,000 in interest and 6 years and 6 months off the loan term. Visit Ebony Curtis's website at http:// www.mortgagechoice.com.au/ anthony.smith or call 1300 302 668.
Additional Resources About Mortgage Choice: Australia's largest independently- operated mortgage broker, Mortgage Choice has sourced a home loan for well over 350,000 people since 1992. It works with all manner of property finance borrowers via hundreds of franchises. The company writes one in every 25 home loans in Australia by providing professional guidance on, and choice of, products offered by an extensive panel of leading lenders. Many of its brokers provide a broader service, helping customers source commercial and personal loans, asset finance, deposit bonds and risk and general insurances. Uniquely, Mortgage Choice pays its franchisees the same commission rate for home loans they write, regardless of rate paid by the lender a new customer selects, working in the customer's best interests to tailor a solution to them. The company has no balance sheet or funding risk, and consistently delivers strong profits and attractive yields. It listed on the ASX in 2004 (MOC) and is a member of the Mortgage & Finance Association of Australia (MFAA). Recent recognition: 2011 Australian Broking Awards Major Brokerage of the Year - Franchise; No.1 on The Adviser magazine's 2011, 2010 and 2009 Top 25 Brokerages list; 2011, 2010, 2009 and 2008 10 Thousand FEET Top 10 Franchise list; 2010, 2009, 2008, 2006 and 2005 MFAA Awards Retail Aggregator/ Originator of the Year; 2010 Forbes AsiaPacific Best Under A Billion list. Mortgage Choice holds an Australian Credit Licence: no. 382869, issued by ASIC. Company Contact Information: Mortgage Choice Ebony Curtis: firstname.lastname@example.org 302 Charman Road Cheltenham Victoria 3192 Phone: 1300 302 668 Published in: Home and Family Tags: mortgage mortgage broker mortgage choice Published on: January 25, 2012 Original Source: Mortgage Choice Can Help Repay Your Home Loan Sooner