We can also detail the specific features which make up the loan products and what it means to you.
Most Lenders offer what is commonly referred to as a Professional Package. For an ongoing fee, you will be entitled to interest and fee discounts on a suite of commonly used banking related products and services. The size of your loan determines the magnitude of the interest rate discount that is applied for the life of the loan.
First Home Buyers
Get Real Finance helps first home buyers every day to achieve their dreams. We can assist by attending property inspections with you and liaise with Real Estate Agents on your behalf. We can ask the questions you may not know to ask as well as also answer any questions you may not know the answer to. Quite often the banks offer first home buyers concessions on rates and fees, to help them get their foot in the door. We can help you decide which of these offers is going to be best for you. We will also give you a full costing guide so you know what government and legal costs you will have. We even lodge your First Home Owners Grant for you with the chosen bank.
Construction and land loans
A land loan is sourced to purchase the land and then a construction loan is sourced to fund the construction of your home or investment property. The lender pays direct to the builder as per an agreed drawdown schedule. At Get Real Finance we will explain the whole process to you and assist you with funding the loan from day one until the property is complete and ready to occupy.
Refinance & Debt Consolidation
Loans that allow customers to consolidate varying types of debt and lower your monthly repayments.
Standard variable interest rate loan
The interest rate can move up or down depending on current markets rates. In most instances a Standard Variable Rate Loan allows you to make unlimited extra repayments without incurring penalties to do so. With most lenders you can pay weekly, fortnightly and monthly if you take a Principal & Interest loan with the ability to redraw additional monies that you have paid into the loan. You can use these funds for any purpose. You have the ability to fix part or all of the loan at any time after settlement. This loan is available as an Interest Only loan whereby payments must be monthly. Features available include lump sum payments, redraw, portability, 100% offset. Aimed to give you flexibility and value.
Basic variable interest rate loan
Many lenders, particularly the banks now offer a "basic" variable loan with lower rates than standard variable loans. These loans are generally "no frills" loans and don't have all the features that most standard variable rate loans offer. They are suited to people on a budget who do not want the frills and will therefore not require features like redraw, lump sum payments, portability, etc. Most of these loans do not allow you to fix the interest rate without incurring a fee. So, if interest rates are forecast to rise and you wish to fix, any savings from being on the lower rate may be lost in the switching fee.
Fixed rate home loans / investment loans
A fixed interest rate loan allows you to fix the interest rate for a period of time, generally between one and five years, but with some lenders up to fifteen years. After the fixed term the loan usually reverts to the then standard variable rate or you may choose to re-fix the loan for another term. One advantage of these types of loans is the certainty of the monthly payments during the fixed period as the interest rate will not vary, making it easy to budget. However, a major disadvantage is that a large number of lenders either restrict you on making additional payments or only allow you to do so if you pay a penalty fee. Also, if you decide to sell your home whilst on a fixed interest rate a penalty will generally apply.
Superfund Lending has recently been allowed by the Australian Government. You can now utilise your Superannuation to purchase an Investment Property. The structure is complex and requires individual discussion for appropriateness.
Line of Credit
Unlike other term loans this loan can be likened to an overdraft. It is a flexible loan which allows the borrower to access funds, at the borrower's discretion, up to an agreed limit. These loans provide increased flexibility but must be entered into with care. This type of loan may help you actively manage your finances the way you want and be utilised as part of a disciplined debt reduction strategy. This may suit people who wish to borrow for investment and require flexibility. However, for all of the flexibility that these loans have comes the adage "You get what you pay for". The interest rates on these loans are usually on the higher side so this needs to be taken into account.
Commercial loans may be used to purchase a business, business expansion, purchase plant and machinery or a business premises. Loan terms are usually from 1 - 25 years and you have the choice of Fixed or Variable Interest Rates. Most lenders offer a Low Doc Commercial Loan which can be useful if potential borrowers don't have financials available.
Defence Force Lending
Defence force home loans are only available through three lending institutions and are available to existing and past defence force personnel who satisfy eligibility criteria.