If you have been thinking of adding a home extension or a second storey addition to your Perth area home, it is time to act now. Record low interest rates are here, with possibly more to come. There will never be a better time to refinance your home loan and use your equity to expand your home.
As you probably know, the Reserve Bank of Australia (RBA) cash interest rate is at a record low 1.50%. From 1990 to 2016, the interest rate averaged 4.89%. The current rate is unprecedented and another cut would be even better. However, it has to stop sometime.
The RBA uses the interest rate to keep inflation at the levels they prefer. If the economy is growing too fast, they raise the rate. If it is growing too slowly or shrinking, they lower the cash interest rate.
Why Now is the Time to Take Advantage of Low Interest Rates
We aren’t going to go through a deep analysis here; there are plenty of business publications for that. But we do want to explain how it affects you. If you have any equity in your home right now, it would be to your advantage to refinance your home loan in most cases. If you have enough equity to turn your current home into your dream home, there will never be a better time to refinance.
Our economy has been stagnant. But as soon as it starts growing, the interest rate will rise again. In addition, so will the price of labour and materials. In other words, if you wait much longer, you are going to pay more interest and you are going to pay more for a home extension.
Best Home Extension Specialists in Perth
If you wait, you could lose thousands of dollars. Call Next Level Extensions to find out more about expanding your home while the economic conditions are perfect: 1300 948 094.