03 Aug Interest Rates
It is interesting we are now seeing an increase in the fixed term interest rates. In the last two months fixed term interest rate have with many lenders increased by 0.20 – 0.25% p.a.
Fixed interest rate movement has always be an indicator as to where the variable interest rate will be going in the not too far distant future. This is of course when the economy is stable and steady as it is now.
The other interesting phenomenon is the new perspective on investment lending. We now see ‘Loan to Valuation Ratios” LVR have been reduced on stand-alone investment property purchases. We also return to the 1980’s with higher interest rates for investment properties. We are seeing 0.40% p.a. increase for investors.
The increase in investment interest rate may see a slight downturn with some investors.
For further information personalised to your requirements you are invited to contact us here at Finance For Life.