Honeymoon Rate Home Loans

Start your home loan journey with a low introductory interest rate. Find out if a honeymoon rate home loan is right for you.

What is a Honeymoon Rate Home Loan?

Assured Home Loans has access to Honeymoon rate home loans (also known as introductory rate home loans). These types of home loans offer a low interest rate usually for the first six months to a year of the home loan. Once the Introductory or Honeymoon period is finished the interest rate usually reverts to the standard variable rate.

Advantages

The advantage of an Introductory Rate is that it offers borrowers a chance to reduce the principal quickly by making extra repayments during the honeymoon period.

Disadvantages

The main disadvantage is that most banks charge penalties if you discharge these types of mortgages within the first 0-5 years after settlement. You are also returning to a standard variable rate which, depending on the lender, may not give you access to long term savings past the honeymoon period.

Is a Honeymoon Rate Home Loan Right for You?

If you’d like to talk to one of our experienced home loan consultants to assess what your finance options are, get in touch today.