Property Investors might be getting most of the column space but people upgrading – or simply moving on to a new place – are an active group in the property market too, says Gosnells mortgage broker, Loan Market.
The recent state of the property market, combined with still-low interest rates, has encouraged a number of people to move on or up.
Loan Market has found a number of buyers in this group are unsure about what to do with their home loans when they do decide to move to a new property.
According to Loan Market, the term ‘bridging loan’ was considered “a bit of a dirty word” a few years ago, leading to a lack of awareness and understanding by today’s buyers.
But for some people a bridging loan is useful. A bridging loan is simply a loan that covers both properties for a period of time.
It gives you the freedom to navigate the buying and selling process on both your new and old property, without having to worry unduly about the timing of it all.
That said, it’s still best to complete both transactions as quickly as possible, to limit how much interest you accrue over the course of the bridging period.
Loan Market Perth South mortgage brokers:
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