G’day all,
Just a quick question in regards to my PPOR home loan that I currently have fixed. Originally the loan was approved for $380… we have now paid off $30,000 of this loan and am looking for some extra cash for the next few months. As I cannot redraw any funds under the fixed interest rate option currently, when that fixed rate period ends will the money we have paid off then become available to redraw? Any help appreciated. Cheers
ChrisG’day Chris,
This would be lender specific. Some Banks/Lenders will still allow redraws even if your loan is fixed. Because technically the surplus is not what you were contracted to pay. These are extra funds.
So, best to check with your Lender. I am pretty sure if they a helping enough, there will be a way.
Regards,
Kev
An alternative is to refinance and access the cash that way.
If you’re partial to fixed interest rates they have come down a lot over the last 3 years so you could lock in a really competitive rate and access the cash you’re after. Or if you want to throw your dice with the variable rate then you could still refinance to access the cash.
This all depends upon the value of your property having remained steady or hopefully increased over the last 3 years.
Cheers,
TomTom@SadhanaConstructions | Sadhana Constructions
http:\\www.sadhanaconstructions.com.au
Email Me | Phone MePerth builders of developments and bespoke homes
Hiya Chris
Kev hit the nail on the head – it’s lender specific. Best bet is to call your bank/broker and ask them the question.
Either way – when it reverts to variable, you’ll be able to access those funds one way or another.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
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