There’s more to your mortgage than just the rate 


There’s more to your mortgage than just the rate : When it comes to securing a mortgage, many potential homeowners focus solely on the interest rate. While the interest rate is undoubtedly a crucial aspect, there’s more to your mortgage than just the rate – despite what the banks say.  

Understanding and considering additional factors can help you make an informed decision and find a mortgage that suits your financial goals and circumstances.  

Let’s take a look at some of the other factors you should be looking for when searching for your mortgage. 

Loan Features 

Mortgages in Australia often come with a range of features that can impact your borrowing experience. These features often include offset accounts, redraw facilities, and the ability to make additional repayments.  

An offset account allows you to reduce the interest payable on your mortgage by offsetting your savings against the loan balance, so choosing a mortgage that allows this can allow you to save a considerable amount on interest, making it extremely valuable.  

Comparison Rate 

While the interest rate is important, it’s equally important to take a look at the comparison rate. The comparison rate takes into account both the interest rate and the associated fees and charges, giving you a more accurate representation of the total cost of the loan.  

Australian lenders are required to provide a comparison rate alongside the advertised interest rate, enabling borrowers to make more informed comparisons between different mortgage options. 

Loan Repayment Options 

Different mortgage products offer varying repayment options. Some mortgages require monthly principal and interest repayments, while others offer interest-only periods.  

It’s essential to understand the repayment options available and consider how they align with your goals and circumstances.  

Keep in mind that interest-only periods will lower repayments initially, but often result in higher total interest costs over the life of the loan. 

Loan Fees and Charges 

Another thing you should consider are the fees and charges associated with their mortgage. Some of these fees can include application fees, valuation fees, and ongoing service fees.  

It’s important to compare and evaluate the overall cost of the loan to ensure it fits your situation. 

Lender Reputation and Customer Service 

Similarly to other services, you should always take some time to research the reputation and customer service history of the lender. Choosing a reputable lender can provide you with peace of mind throughout the process. 

You should look for lenders with positive customer reviews, great communication and transparency, and a commitment to providing quality service. 

Prepayment and Extra Repayment Options 

Understanding the prepayment and extra repayment options available with your mortgage is another very important part of getting the best mortgage. Some loans allow you to make additional repayments without incurring penalties, allowing you to pay off your mortgage faster and save on interest costs.  

Assessing these options is especially crucial if you anticipate having the ability to make extra repayments in the future. 

By evaluating these factors alongside the interest rate, you are able to make an educated decision that will fit with your individual circumstances and goals, and you should always compare different lenders and packages to find the best option for you. 

Now, this might seem like a lot of work before your mortgage has even begun, but there is a shortcut that can make things easier, faster, and can even allow you to get a better deal. 


By speaking with the award-winning team at Glass Financial. We will do all of the hard work for you so you can keep your valuable time, plus, we have a great relationship with a number of lenders, so you can be certain that you will always get the perfect deal for you. 

Speak with the Glass team today on 1300 245 277 or email us on [email protected] 

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