Whats the deal with Interest Rates?

What’s the deal with interest rates?

Everyone seems to be obsessed with Mortgage rates, they are the main topic I see around. My social media ads are bombarded with Mortgage advisers telling me now is a good time to refinance for better rates or free money and I’ve been hearing about the “trend down”, or the “expectations” of rate drops etc.

Most of this is what I call Hopium and Copium. We want rates to come down and we will listen to whomever tells us they will come down.

And then if that ‘expert’ turns out to be correct, we celebrate and the ones who guess wrong just stay quiet until it’s time for the next guess. But no one tells us how much they will go down by and when and how long they will stay down.

No one knows what will happen with interest rates, least of all mortgage advisers and bankers (and they ones who do know, cannot say).

But I never see much discussion on paying the loan off faster, the banks refix rates that get sent to you don’t ask you if you want to pay it off faster and from talking to people who have used other advisers, it’s not really a discussion piece.

Neither is any strategy on rates bar, what’s lowest now?

After 22 years of helping people to get and more importantly get rid of their mortgage, when I think of the clients of mine who paid their loans off faster, there was no secret strategy, no complicated investment strategy (that only seems to pay the adviser) and the discussion on the interest rates was not the key focus.

What we did was set a strategy and then work to keep at it year after year, some years the rates were up to 9.5% and some they were down to 2%, but we stuck to the plan.

So if you want to pay your loan off faster, you can go for the flash strategies, or promises of free money, or super duper better rates, or you can get a boring, but consistent common-sense strategy.

If a common-sense approach where we don’t worry about the latest media headlines would help you clear your loan, come and get some advice.