Help on Home Loans
Thinking about purchasing a unit as my calculations show it would be cheaper then renting an equivalent place.
I came to this conclusion using the following formula - interest on a homeloan + yearly rates + yearly body corp + maintenance < yearly rent).
I have no interest in "owning" the unit and would prefere to just pay off the interest. I also would have at least a 20% deposit to avoid any kind of lenders insurance.
Now my question - idealy I want to have an "interest only" loan where I pay off the interest.. but if I see fit.. decide to contribute more to paying off the loan. i.e. right now I'd prefere to put my money into the share market then pay off the homeloan, when interest rates are only 5-6% and I think I can get a 10% return on the share market.
Do these type of homeloans exist for the standard first home buyers looking for a low interest rate and no added mortage insurance or other antiozbargain style fees?