Almost every Bank out there has a standard when it comes to having an interest rate and a special interest rate. But the thing that you need to keep in your mind is that the special home loan rates are only for those people who have more than 20% equity.
If you have less than 20% it then standard interest rates will be applying for you but if you have more than 20% then a special interest rate will be applying for you. If a standard interest rate is applying for you then a low equity margin for a low equity fee has to be paid by you.
In this article, we are going to discuss how home loans provide better home loan rates in New Zealand.
Sovereign Home Loans!
The good news for you now is that sovereign home loans have permanently removed the difference between standard and special rates for different people. Before the rates were discounted for those who had more than 20% equity.
It was quiet and fair for the people because if you try to look at it in the other way then you will find out that if someone had less than 20% equity then they were disqualified completely which is very unfair. To tackle these issues this role is being removed now and there will be no differentiation of the standard and special rates and you more by the sovereign home loans!
Purpose of Change
Now you must be wondering how this change happened and the answer to that question is that you will see one set of traits that is equal to the special rates. Doing this will make a major difference to a lot of borrowers out there.
What about equity margins?
If you are wondering about equity margin then we have got you covered regarding that information as well. For example, if someone has less than a 20% deposit then the lower equity margin is still going to apply for them. But when it comes to knowing the margin will be added to the lower rate and it is going to be very beneficial and helpful in the long run for the borrower.
Is it valuable or not?
When calculated if you pay your mortgage 4 years faster then you will be saving yourself $40,000 which is a lot of money and savings!
What is it for you?
If you are someone who is looking forward to reviewing the existing mortgage with sovereign home loans then you should get in touch with customer support as early as possible to get started!
You will find out a lot of information and data that you didn’t know about before and it is completely free to chat with a person who is available just to assist you!
The interest rate of sovereign home loans is the same that is the advertised home loan interest rate. The benefit that you will get after using the services of sovereign home loans is that there will be no additional fees and you will not have to shift your everyday banking routine!!