Finance

Interest rates fell to record lows during the pandemic, which lead to a dramatic rise in fixed rate borrowing and refinancing. Many borrowers who locked in low rates for two to three years, are now coming off their fixed term onto the now much higher variable rate. This is the so called “mortgage cliff” that we are hearing about frequently... Read more

With expectations that the Reserve Bank will continue to increase interest rates given inflationary pressures, now is the time for borrowers to reassess their existing loans. At the time of borrowing, loans are assessed for serviceability based on interest rates well above the rates we’ve experienced over recent years. The RBA suggests that most households are ahead on mortgage repayments,... Read more

Following years of ultra-low interest rates, discussion is rising amongst economists about a sooner-than-expected interest rate rise. The Reserve Bank of Australia has indicated that if economic recovery continues faster than expected, then the timing of interest rate rises would be brought forward from the RBA’s previous suggestion of 2024. Which raises the question, for the six million home loans... Read more

Best Interests Duty New legislation affecting mortgage brokers was introduced following the Royal Commission into banking. The new ‘Best Interests Duty’ means that as mortgage brokers, we have to choose a loan, rate, product and lender that is in the best interests of our client. What Changes for Our Clients? Since our establishment, Edney Ryan Mortgage & Finance has always... Read more

Banks have outlined how they are supporting those affected by the coronavirus pandemic and its economic impacts. All members of the Australian Banking Association (ABA) will suspend principal and interest loan repayments for distressed small-business customers for six months. All four major banks (CBA, NAB, ANZ and Westpac) will also extend this to distressed home loan customers, enabling them to... Read more

Talk of Australia’s housing market recovery is back, with our biggest markets – Sydney and Melbourne  – increasing property prices once again this month. For a concise overview of the Sydney Property Market’s latest performance, click here to watch a short video from CoreLogic. If you’re considering your options, now is a great time to get an estimate of your... Read more

The record low interest rates we currently have in Australia has put borrowers squarely in the box seat when it comes to choosing a home loan. There are some highly competitive loans available as lenders eagerly battle for new business. However, it is important buyers are aware of the hidden dangers that may come with some of the cheaper home... Read more

In the last edition of our newsletter, we looked at how living expenses can affect a client’s borrowing power. This time around we’re looking at credit cards and, more importantly, the impact they have on your capacity to borrow. Why Credit Cards Affect Borrowing Power Owning a credit card can have a real effect on a person’s borrowing power. And... Read more

Potential reforms are currently being discussed, which, if enacted, could make the mortgage broker channel unsustainable – potentially forcing customers back to the big banks and cutting their access to smaller lenders and credit. Support your broker now. Visit www.brokerbehindyou.com.au

If you’re looking for a home loan, one of the first things your lender will ask about is your living expenses. That’s because, under the National Consumer Credit Protection Act, lenders must allow for living costs when deciding how much an applicant can afford to borrow. While some lenders will simply require a rough estimate of your weekly or monthly... Read more