The average borrower is taking out a $636,209 home loan, with loan sizes ranging significantly in specific states, based on mortgage data from the Australian Bureau of Statistics. Check out the chart below for the figures:
Regardless of whether your mortgage is higher or lower than these figures, you probably want to reduce your loan balance. Here are some tactics to help you achieve that goal:
- Switch from monthly to fortnightly repayments (depending on your pay cycle) – this means you’ll make the equivalent of 13 months of repayments each year.
- Use your offset account or redraw facility (if you have them), to reduce your interest bill.
- Refinance to a lower interest rate – there are really good deals available for borrowers who have at least 20% equity in their home.
All of those things really depend on your personal circumstances and financial position – so please get in touch if you want me to help you run some numbers.
