It has been an interesting year for the finance market with a lot of uncertainty which was highlighted in the way of a royal commission. The BIG4 banks were put under the microscope but tried their best to shift the spotlight to every other part of their world. This meant that the mortgage broking industry and others had the spotlight put on them.
This wasn’t and is never a bad thing and whilst the initial recommendations were off the mark, the outcome proved what the customers have been saying – keep business as usual as 96% of customers are happy with their broker and the service they continue to provide.
With 60% of all loans now written through a broker and growing, customers have spoken for the industry by continuing to come back and refer others.
Interest Rates Wrap-up
Movement in interest rates has been very sporadic for the past 12 months with the majority of lenders increasing rates throughout the year noting an increase in funding costs.
In more recent times, lenders have been focusing on decreasing their fixed rates to get customers before the anticipated RBA cash rate cut. In the month of May, there were 531 interest rate movements with 85% of these being cuts to fixed rates.
The RBA has now finally moved the cash rate after 3 years, with a decrease by 0.25% which all lenders have passed on in part or full.
There is a real difference in what all lenders will give in regards to interest rates to new business versus what they give to existing customers which is concerning.
This means that your existing lender may be giving new customers up to 1% less on their interest rate than what you are currently paying.
And with interest rates now hitting an all time low, there is no better time to come in for a full financial health check to ensure you are continuing to get the best deal in the market.
Our Finance team are always available for a FREE consultation and are ready and geared up to help you. Contact us use the button below.