MORTGAGE TYPES
Instead of earning interest on those savings, the balances are offset against your loan, meaning you only pay interest on the difference.
For example, if you have a $500,000 loan and $50,000 across your linked accounts, you’ll only be charged interest on $450,000.
Most lenders allow you to link multiple accounts, making this a great option if you prefer to keep your savings separated for different goals such as renovations, holidays, or emergency funds.
Because your savings are offsetting your loan, you generally won’t earn interest on those accounts. However, the interest saved on your mortgage typically outweighs what you would have earned.
Your savings reduce the loan balance you pay interest on, saving you money.
Link up to 10 savings accounts — keep your money organised and still save on interest.
No need to consolidate funds — your separate savings work for you automatically.
Off-set mortgages are linked to a floating rate loan, so your interest rate may vary.
Not all banks offer off-set facilities — availability can vary between lenders.
At Caldwell Mortgage Advisers, we:
We look at your savings structure to see if an off-set mortgage would benefit you.
We identify lenders offering off-set facilities with the best terms.
We guide you through linking your savings accounts to maximise interest savings.
Interested in an off-set mortgage? Get started today.
