GROWING THE SOUTH-WEST | What you can do with your home-loan rate savings

Generic image. Picture: Jarmoluk, Pixabay
Generic image. Picture: Jarmoluk, Pixabay

The RBA has given another 25 basis point cut to the official cash rate, to a new historic low of 1.00 per cent. The two rate cuts could save the average Australian mortgage holder with a $545,000 home loan about $220 per month, if lenders pass on in full. I encourage borrowers with benefits from cash-rate cuts to review their finances.

This relief may give borrowers a chance to make extra home-loan repayments, the potential to make extra contributions to super or the potential to explore other investments. Are there more competitive home-loan options? It may be the right time to refinance, it's a great time to buy a first home.

SCOTT PARTRIDGE, franchise owner, Mortgage Choice