Types of home loans
There are many different home loan options available. We explore the four most common loans below. Your Finance Broker can help you to determine which options best suit your needs.
Variable rate loans
A variable rate home loan is where your interest rate will vary with market changes. This may mean that your minimum repayments will also vary.
Fixed rate loans
A fixed rate loan is where your interest rate is essentially fixed for a set period. This means your minimum repayments will remain the same.
Construction loans are designed to help you build your dream home. It allows for your finance to be paid in stages as the build progresses. Typically, you only pay interest on the amount that is drawn at each stage, as opposed to the whole loan amount.
Guarantor loans are a type of loan that requires a guarantor to co-sign for finance. Essentially, this means the guarantor agrees to repay the borrower’s debt should the borrower default.