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One of the greatest dreams we all have is to own our own home. It is also one of the greatest financial commitments you will ever undertake.

If you already own your own home then depending on how long it has been since you purchased will generally determine what strategies are available to you. Before continuing we recommend that you read the ‘Professional Packs’ and ‘Mortgage Offset’ sections of this website.

If you are buying to live in a property for the first time, whether you are eligible for the First Home Owners Grant or not, we recommend you read the ‘First Home Owners’ section.

If you have owned your own home for some time and have a fair amount of equity we also recommend that you read the ‘Structuring Your Loan’ section.

Getting Ahead

The most important point to remember in all this discussion is that the interest on your own home is not tax deductible. So every saving you can make in interest and fees is money in your pocket that can be used to reduce your loan. The following are some simple tips to ensure your hard work is simply not absorbed by higher interest and fees:

• Be careful with Honeymoon Rates. Whilst tempting upfront they often limit discounts in following years and you may end up worse off overall.
  
  
• See if you are eligible for a Professional Pack that offers a mortgage offset and an interest free credit card all inclusive. Used effectively this may lead to dramatic savings over the life of your loan.
  
  
• If you are considering an all in one account make sure that the interest rate on the facility is not being charged at a higher rate than if you took another package. Some lenders charge the full standard variable rate on that part of the loan that is ‘offset’. There is no point ‘saving’ on some interest if you could have just paid much less interest overall with a professional pack or other reduced interest product.
  
  
• Think of your home as part of your financial plan. Once you have equity in your home you should consider seeking financial advice on how to unlock the equity for family security and wealth creation.