Mortgage Restructuring
Make sure paying off your mortgage isn’t an uphill task
Save interest on your existing home loan through our Mortgage Genius Plan.
Our Mortgage Genius Plan is all about restructuring your home loan in the correct combination of fixed and floating interest rates, selecting the right term for the fixed portion of the loan and setting the appropriate loan repayment amounts with the objective to help you save money in interest repayments, allowing you to pay off the mortgage quicker than the standard 30-year term offered by the banks.
Often deciding what combination is best for you can be quite confusing as there are multiple ways to restructure a mortgage. That’s where our expertise comes in handy as your trusted mortgage broker. We have helped over five thousand Kiwi families structure their mortgage to repay it quicker and become debt free. In the last sixteen years, we have restructured over $3.5 billion worth of mortgages. It makes us the top individual mortgage broker in New Zealand as home owners keep coming back to us not just for a good deal but to save thousands of dollars of interest on their home loans.
How to pay off your home loan quicker
There are three main methods to repay your loan quicker than the term that bank will offer you:
1. Pay off higher loan repayment instalments regularly
The simplest way of paying off your loan quickly is to make regular loan repayments which are higher than standard 30 year loan repayments you make, so each loan repayment reduces your borrowed loan amount quicker.
2. Pay a set amount of loan upon loan maturity
Setting higher loan repayment instalments than normal may not suit you if you have other expenses or outgoing commitments which may require attention in future and therefore calls for you to save money. In this scenario, you can pay normal loan instalments for the fixed period of the loan but pay a set amount of loan back from your savings when the fixed loan comes to expiry thus reducing your borrowed loan amount quicker
3. Save interest repayments using offset account and direct it towards principal repayment
These days all banks offer you to setup part of your loan in an account where interest is only charged on outstanding balance of that account and if there is any money or savings available in that account no interest is charged on the available money. This is called an offset account and you can either direct your savings in this loan account or link this loan account to a number of separate savings accounts. By doing this, you only pay interest on a smaller portion of the loan and the savings in interest repayment can be used to pay off the loan and reduce it quickly.
Restructuring your mortgage with Global Finance’s expertise
No one takes out a home loan from the bank to have it sit there forever. We all want to get rid of it as soon as possible. That’s where over 19 years of expertise and experience comes in handy. Our Mortgage Genius Plan will help you pay off your mortgage in less than your original term and best of all you’ll keep the mortgage repayments on a 30-year term level so you can continue living the lifestyle you are used to without any extra commitments.
Proper mortgage restructuring requires a combination of five main factors:
- Assessment of your income, expenses and potential savings
- Consideration of current and projected interest rates
- Evaluation of your near future financial commitments and position
- Securing of lowest possible interest rates right from the start
- Correct splitting of the loan between fixed and floating
By doing a thorough review of these above five factors and on your financial and family situation, we can assess and advise you on the right structure for your loan so you can live the lifestyle you want without compromise and still enjoy the peace of mind that your loan will be paid off quicker than the usual term offered by the banks.