Thunderbolt Alert - Rates are Rising, Considering a Refinancing ? Do it Now Before They Go Higher.

Quick one today.

When banks look at your borrowing capacity, they use current interest rates.

The higher rates go, the less they will lend you.

For example, a couple with 2 kids, each earning $120k pa as PAYG, at todays interest rates can borrow around $1.2m.

If rates go up 0.5% pa , this borrowing capacity reduces to $1.1m (approximately).

Thats a big difference.

Thus for clients who are looking to refinance (use the equity in their home to buy an investment property later for example), even if they dont need to draw the funds yet, now is a good time to consider this rather than waiting.

Want to chat about it? Please get in touch for a free chat.

Look forward to your email at [email protected] or call me 0403397060