Today’s global consumer financial market is conclusively wiling to take on more debt today than ever before. Debt is taken on more freely in Australia than arguably any other country, continent, state, province, or region in the world. In 2015, the average Aussie spent just short of $170,000 even, despite only bringing in an approximate average of $80,000, after taxes.
Over half of all consumer debt in the land down under – home of not-so-cuddly kangaroos, koala bears, and aboriginals just three decades ago finally finishing the last bout of first contact with modernized humans – is in the form of Australian home loans. Out of about 9,000,000 homes in the country, there have been approximately 60,000 Australian home loans originated each and every year for the past half-decade, hitting a low of 40,000 in 2009, after the global financial crisis hit. Australian home loans are very expensive, coming in at an average of $376,200 per loan!
While it’s not possible to get the citizens of this great country – or any country across the planet for that matter – to stop spending so much that’s not owned by them already, racking up huge piles of consumer debt that the majority of Australians won’t dig themselves out of. Take note of the several tips, tricks, and strategies below for saving money on Australian home loans. With so many people taking on debt like there will not be a sunrise the following day, it’s important for them – that’s probably you, too – to utilize the below tools in saving money on Australian home loans.
First things first, you should go see a financial advisor. Make sure to bring printouts of literally everything financial related to your life: debt, income, credit report and score, pictures of living spaces and cars, schedules of planned future income, and the list goes on. Your advisor will recommend any other financial information you should bring along with you in discussing Australian home loans with banks, financial institutions, and other lenders prior to inking your John Hancock – that’s an American term for “signature” – on any home loan agreement.
Be prompt in closing deals, as financial servicers don’t like having to wait weeks on end for clients to make their minds up. As such, indecisive clients are often charged more for spending too much time deciding what they wish to do, if not forced to fork over sums of “honesty” funds, those that keep clients from backing out on deals and keeps them close to their original word.
Seek out Australian Loans.com.au Home Loan with short terms, rather than long, drawn-out financing terms that take 20, 25, 30 years, or even longer to pay off completely. Further, make sure any Australian home loans you sign up for don’t have penalties for consumers who pay early to avoid excess interest, essentially resulting in no discounts no matter how quickly you pay lenders back.
Place a down payment at least one-quarter of the principal – the home’s purchase price – at once. This makes loan terms shorter, likely causes interest rates to be lower, and also reduces lender’s and closing fees, ultimately saving you loads of cash.