You have two choices when it comes to home loan interest rates:
- Fixed rates, meaning the rates are fixed at a certain amount and won’t change regardless of market forces.
- Variable rates, the rates change in response to market forces.
Which is better? Well, it depends on your requirements.
Fixed rates allow you to budget with more accuracy, knowing that the rates on your home loan won’t change.
Variable rates will benefit you if the market interest rate goes down.
Note that the bank may charge higher interest rates if you want a fixed rate, because it’s more of a risk for them.
Whether variable or fixed rates, you can secure the best deal by applying for a home loan with ooba Home Loans. We submit your application to multiple banks, some of which may offer better deals than others.