What is the difference between a fixed rate loan and a variable rate loan?
Fixed rate home loans have interest rates and loan repayments that remain the same for an agreed period of time, regardless of market changes. At the end of the term, typically 1 to 5 years, the fixed rate reverts to a variable rate.
Variable rate home loans have interest rates that can move up and down according to fluctuations in the housing market and the cash rate. Fixed rate home loans provide customers with the certainty of knowing exactly what their repayments will be each month.
Contact a Lendi Home Loan Specialist to see which loan type better suits your lifestyle.