Home Loans & Mortgages

With most mortgage interest rate crystal gazers, Mr Mortgage included, expecting the RBA to increase the cash rate by 0.5% this this year, it might be tempting to think about fixed interest rate.

The two things against this are that we have seen base rates rise by nearly 2% since the GFC, and that was the time to fix. The other reason this might be a bad idea is that the RBA talks about rate rises a lot more than it actually raises the cash rate.
The motives for raising interest rates are skimpy.

Adelaide Bank’s shared equity home loan The Adelaide Bank is the first bank in Australia to launch a shared-equity home loan which could make property ownership easier, but analysts warn it could boost house prices. The Shared Equity Mortgage [Equity Finance Mortgage] is a home loan product that allows home owners to borrow as little [...]

Mortgage loan exit fees [really deferred establishment fees by another name] have become a way on chaining homeowners to their bank loans.

Melbourne Australia’s Liberman family has entered the fledgling shared equity home loan business through a $25 million investment in an unlisted fund recently launched by Macquarie Bank-affiliated Rismark International. Its LJCB Investment Group has bought into the first of several planned Equity mortgage funds from which Rismark hopes to corner the shared equity home loan market. [...]

Construction loans have fallen steeply over the past 9 months, inline with new home sales. Australian Bureau of Statistics [ABS] show that the number of new homes being constructed fell by 5.3 per cent in the fourth quarter, 4 times worse than economists were expecting. Single dwelling new homes were hit hardest. So it was felt as lower construction loans with mortgage brokers and banks everywhere.