Mortgage-Mart has access to Honeymoon rate home loans (also known as introductory rate home loans).
These types of home loans offer a low interest rate usually for the first six months to a year of the home loan. Once the Introductory or Honeymoon period is finished the interest rate usually reverts to the standard variable rate.
The advantage of an Introductory Rate is that it offers borrowers a chance to reduce the principal quickly by making extra repayments during the honeymoon period.
The main disadvantage is that most banks charge penalties if you discharge these types of mortgages within the first 0-5 years after settlement. You are also returning to a standard variable rate which, depending on the lender, may not give you access to long term savings past the honeymoon period.
If you need more information on these types of home loan products and how they suit your individual home loan needs, enquire online or call 1300 720 623 to speak with an experienced Mortgage-Mart consultant.
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