Feb 20, 2018 4:31 pm
Mortgage penalties are straightforward if you have a variable-rate mortgage — expect to pay the equivalent of three months' interest in most cases. With a fixed-rate mortgage, the penalty is set at the highest of three months' interest or a calculation called the interest rate differential, or IRD.
Re: Things to discuss about mortgage penalty2
Feb 20, 2018 4:56 pm
Erm - this is Australian site - in Australia no penalties for variable rate - go Aussie!!!
The rest doesnt really apply to us either
Property crazy expert mortgage broker, love building new homes!
Two Red Shoes mortgage broker
Sign in or Join to reply to this Topic
becjarrettdaltonFiguring out what size mortgage we can financeFiguring out what size mortgage we can finance
You can mitigate some of the risk by considering a fixed rate - and in terms of affordability if the bank has already passed you through their calculators the next and…
algernonUnderstanding mortgage broker calculations?Understanding mortgage broker calculations?
On the figures provided there, the net proceeds of borrowing (i,e. what goes towards paying for the house) is $296K. On top of that, there's an 'extra' $7.7K added on to…