3 ways to get to financial freedom
Are you clambering up the ladder and into the property market? Here are just a few tips to help
handle your mortgage and achieve financial freedom.
Chances are that you’ll be after the financial support that home loans offer.
While there is mountains of information regarding the often stressful, sometimes agonising road to buying your new home, what about the years of debt to your mortgage lender once the smoke has cleared?
The Mortgage & Finance Association of Australia has made some interesting findings on this. Even
through global financial crises, the Australian industry for home loans has continued to grow unheeded for
nearly 100 consecutive quarters and counting.
What you should always keep in mind before making that first step into the property market with your mortgage
lender is that you are essentially renting that money.
The interest will ensure that your mortgage will cost you more for every day extra you take to pay it off.
Therefore, it would make sense to get it over and done with and achieve financial freedom sooner! Here are just a few tips to help handle your mortgage.
Make bigger payments
You’ve spent all your time and money putting funds aside for your new home’s deposit, but now isn’t the time for saving.
Any dough you have to spare should be put towards mortgage repayments. End that sporadically used gym membership,
the questionable Asian takeaways and daily work drinks.
There’s a cunning method to ensure you stay well and truly ahead of your mortgage. Simply act as if your required repayments are higher than in reality – just 2 or 3 points. While this will have the obvious effect of shrugging off your financial burden faster, it will also make any future increases in rates less relevant.
Time your payments
Mortgage & Finance Help suggests timing your repayments so that they occur on your pay day. This way it won’t even
feel like you’re managing a mortgage – you’re just earning an average income!
The advantage to this method is that you will know that all the money in your account is for you. Not to mention that if as a result of rescheduling your payments they become more frequent, your loan will disappear faster.
Find the right loan
Fortunately for you, there are a lot of options when it comes to home loans. We can help you sift through the good and the bad, often with no fee.
So go shopping, see what’s out there. It’s good to know what you will be paying for the next decade or three!