Preparing for a possible Interest Rate increase

Interest rates have been pegged at a record low 2.5% for the last several months, and experts are predicting this to increase. When that happens, are we prepared?

An increase of 1% would add $186 to your existing $300,000 mortgage, and this could greatly affect consumers spending power. It is wise to assume that the interest rates are not going to stay as it is, as this will encourage people to trim down on their expenses. It is also encouraged to check for other home loan options in case the interest rates shoot up. Planning while the interest rates are still low will help assist borrowers in making sure that mortgage is manageable. Give yourself peace of mind by having a contingency plan on hand.

Read more about this on the Cairns Post website.