About Mortgage Specialist Asia
With over 10 years of experience, we are committed to providing our clients with the best mortgage deals. With our extensive network, we make sure that our customers are able to enjoy good rates. Our friendly sales support team will get back to you in 1 working day, customer satisfaction guaranteed.
The 2 most frequently asked questions on refinance
What if I do not refinance?
More often than not, home owners are too caught up with their daily lives that they overlook on the interest rates of their home loan that they are servicing after the 3rd to 5th year. Interest rates after the 3rd to 5th year can be significantly higher and can even be two-fold of the original rates given. It is the onus of home owners to check the letter of offer that they have signed every 3 years to ensure that they are not paying a much higher monthly installment. For property investors, this can adversely affect their profit margins on their rental yield.
Why refinance after my lock-in period?
With home loan interest rates increasing, the way home loan packages work, you’ll find yourself at the mercy of banks once you’ve left their lock-in period. Even fixed rate loan packages default to floating rate over time, so you might be trapped with a mortgage interest rate of 3% or more, without any alternatives because you can’t home refinance anymore. Home owners are greatly affected due to the increase of their monthly installment and this can affect their monthly commitment greatly. If you own a commercial space, you might be paying an interest rate of 4% or more if you do not refinance. Business owners find it hard to sustain their monthly installment with the overall economy slowing down and this greatly impacts the whole finance world.