Heard about Mortgage Refinancing? In the past, most people who took out a Mortgage persistently continued with it until they had paid it off. These days, people refinance their Mortgage much more frequently. The average duration of a Home Loan in Australia now is just 4-5 years. Here we look at some of the reasons people in Australia refinance their Home Loan.
AUD/USD – Short term trend UP, Long term trend UP
The AUD/USD broke through resistance of 1.0600 and has traded as high as 1.0792. RBA leaves rates unchanged and downgrades the Australian growth forecast. The global growth outlook is a concern for the RBA with European sovereign debt issues weighing on the European banking system.
Home owners are still refinancing their mortgages, even as the property market remains flat, the latest Bankwest/MFAA Home Finance Index has shown. The Home Finance Index, which surveyed more than 1,139 respondents, revealed that one in four (24.7%) had refinanced their loan in the past two years and 14.2 per cent had refinanced in the previous year, an increase on the previous HFI.
Commercial property finance is very poorly understood, and this is a major contributor to poor decisions by investors. The most important thing to know about commercial property loans is that there is no hard and fast rules about factors such as the leverage that is available, costs associated with commercial loans or the lending criteria. In commercial finance everything has to be viewed relative to the strength and size of the particular deal.
Cameron has just been announced the top loan writer this month for VIC, SA and Tas through Vow Financial.
Interesting article in today’s Age about stamp duty. It looks like some very influential people are advocating for it to be severely scaled down or abolished.
A TOP economist and the Federal Opposition have urged the Reserve Bank to cut the cash interest rate by at least 0.25 percentage points to avoid recession.
1. Super is the most tax effective investment structure in Australia today. Superannuation monies are tax free after age 60. That’s right, tax free. Can’t do better.
AUD/USD – Short term trend DOWN, Long term trend DOWN
The AUD/USD falls further as risk selling on fears of a deeper slowing of the global economy gather momentum.
As we close out 2011 and reflect on the year that was, the only thing that appears predictable in our current economic environment is unpredictability. Part of the reason for this is that it is near impossible to read the minds of policy makers, but attempting to do so, see to occupy an inmsordinate amount of the time of financial commentators and economists. Every week we are sent analyses of the interest rate environment by bank economists and it is interesting to look back at these memo’s to see how quickly prevailing view of interest rate movements can change at the proverbial drop of a hat.
