Yearly Archives: 2016

5 IMPORTANT FEATURES TO LOOK FOR IN A VARIABLE HOME LOAN: Your Content Goes Here Are you currently on the market for a variable home loan? If yes, choose the appropriate variable loan for your unique needs by taking note of the following features. 1. Repayment Flexibility Combined with a Redraw Facility Most variable rate home loans nowadays offer a redraw facility. This feature allows you to make extra payments above the required minimum, as well as access the extra funds if needed. By making additional payments, even if it is just $50 or $100, you [...]

DEBT CONSOLIDATION Your Content Goes Here If you have debt, that can be a good thing sometimes. But as you know things can get out of hand. But how about if you had an option to pay off your debt sooner and consolidate into one monthly payment? Here at Freedom Lend we have the best debt consolidation program. By using are debt consolidation system you will be able to combine your outstanding debts into your existing home loan at a potential lower rate than you currently pay. By taking advantage of this process you will be able to [...]

WILL POSITIVE CASH FLOW WORK FOR YOU? Your Content Goes Here Most investors would think generating positive cash flow is the only way to go, but it actually has certain disadvantages worth considering. And, believe it or not, there are many positive cash flow properties that end up losing money. This article explains the dynamics behind positive cash flow and the associated risks. By definition, positive cash flow property is a property investment that generates more income than expenses over the course of a year. Such property is usually found in areas of town where interest repayments are [...]

HOW DOES NEGATIVE GEARING WORK Your Content Goes Here “Gearing,” by definition, simply means to borrow money to buy an asset. For instance, when you take out a loan to buy a property, that’s gearing. Basically, there are three types of gearing: Negative gearing, where the interest you’re paying on the loan you took out is greater than the income you’re getting from the property you purchased. In other words, you’re operating at a loss. Neutral gearing, where the interest you’re paying is the same as the income you’re getting. Positive gearing, where the property you just purchased [...]

THE DISADVANTAGES OF INVESTING IN CASH Your Content Goes Here Low interest rates are generally good for mortgage holders – it means people are more likely to pay on time and take out more loans. But if you’ve made cash investments, such as in term deposits and savings accounts, low interest rates actually work to your disadvantage. Now, investing in cash is a good way to diversify your portfolio, and as a result give you some much-needed peace of mind. But at the same time, it pays to check the numbers and see whether cash investments will actually [...]

WHAT TO EXPECT AFTER YOUR LOAN REQUEST IS APPROVED Your Content Goes Here After your home loan is advanced, your first repayment will be due exactly one month after. If you worked with Freedom Lend and they opened an offset account for you, the repayments will be drawn from this account unless you say otherwise. In any case, always be sure your repayment account has enough funds to cover the next repayment. You may also inform your employer to deposit your salary directly into this new account to simplify the process. Now what if you wanted to change [...]

WHAT IS CAPITAL GAINS TAX, AND WHERE DOES IT APPLY? Your Content Goes Here Capital Gains Tax is basically the tax you pay when you make a capital gain, or when you sell an asset after its value increases over time. If you’re just getting into the property industry and have been hearing the acronym “CGT” a lot, it simply means Capital Gains Tax. The term ‘asset’ can mean shares of stock, vacant land, business premises, holiday homes, and (very commonly in the property industry) rental property. Whenever an asset is disposed (sold), the fees that go with [...]

HOW TO REFINANCE YOUR HOME LOAN | FOLLOW THESE STEPS: Your Content Goes Here Refinancing a mortgage could be a great option for you if you plan to change jobs, borrow money for home improvement, or want a lower interest rate. Here are steps you can follow when switching to a new lender. 1. Know the Expected Total Cost of Your Refinance Refinancing could potentially save you thousands of dollars. Make sure to calculate all the fees involved to see if you could save more money through refinancing or changing mortgage lenders. Ask yourself, “Are there [...]

HOW TO CHANGE HOME LOAN BANKS IN 3 SIMPLE STEPS Your Content Goes Here You might think switching banks is too difficult, but it does not have to be that way. In this article, find out how to change your bank and take advantage of the best possible home loan by following these three easy steps. 1. Write down your requirements. Think of what services and products you want from a new lender. Below are some of the things you could consider: • Great customer service team • More flexibility in terms of payment schemes and [...]

5 PRO TIPS TO PAY OFF YOUR HOME LOAN Your Content Goes Here Tip #1: Pick the right loan for your needs. Do you want the option to repay the whole loan earlier than expected? If so, then a variable-rate loan may be the better choice, as they tend to be more flexible than fixed-rate loans. Loans with fixed rates tend to have stiffer payment options and penalties. Tip #2: Make your repayments more frequently. It’s generally a good idea to pay every two weeks instead of every month, as it shortens both the payment [...]