Awake Company Network

More and more overseas buyers are investing in Australia and with the government recently lowering interest rates the property market in Australia seems even more attractive (look out for rockhampton real estate as an example).In Australia there are two types of interest rates that apply to home loans, these are variable and fixed (sometimes a mixture of the two), depending on which type of loan you choose.In recent years the majority of home loans given out in Australia, have been at a variable interest rate.  This type of rate will fluctuate with the market. For example if the official cash rate rises you repayments will rise. However, loans with variable interest rates do offer more flexibility in payment plans.Fixed interest rates allow you to fix the interest rate in which you borrow at, for a certain time period. Working in your favour if the official cash rate rises, however unbeneficial if the cash rate drops. Fixed terms are generally between one and four years but some banks offer up to 10 to 15 years. The benefit of this type of interest rate is that you monthly repayments will always stay the same.