Good morning everyone.
I have a situation which I could use some general advice for.
I have a fixed rate loan with BOQ which ends in September this year but I am deciding whether to break the fixed rate as amp is offering 4.40% finance on variable. I am also looking to go to an interest only loan as our house will become an IP when we upgrade.
The reason I am looking at going to a lower repayment is because we are aggressively paying down our personal debt to get ourselves into a position to buy our next house around Christmas 2016.
With what we are currently paying, plus the difference between mortgage repayments, we could be debt free (minus our mortgage) within 12 months. Then once the debt is payed down the extra funds would be used to finish our reno, we just have the kitchen left.
This house was our first and was purchased at 97% lvr in September 2012. We are currently at 84% lvr so LMI would have to be payed again.
What would you do in this situation?
I have a situation which I could use some general advice for.
I have a fixed rate loan with BOQ which ends in September this year but I am deciding whether to break the fixed rate as amp is offering 4.40% finance on variable. I am also looking to go to an interest only loan as our house will become an IP when we upgrade.
The reason I am looking at going to a lower repayment is because we are aggressively paying down our personal debt to get ourselves into a position to buy our next house around Christmas 2016.
With what we are currently paying, plus the difference between mortgage repayments, we could be debt free (minus our mortgage) within 12 months. Then once the debt is payed down the extra funds would be used to finish our reno, we just have the kitchen left.
This house was our first and was purchased at 97% lvr in September 2012. We are currently at 84% lvr so LMI would have to be payed again.
What would you do in this situation?