• Posted on : 4 Jun 2018

The Dot founding Fathers

In this edition we’re going to run a little refresher on the skills and experience of our managing Directors – Loui Daoud and Lopez Chen. You may have had dealings with them in their tenure with the Commonwealth Bank. Both worked up through the ranks together developing a close and profound comradery along the way. With combined experience of over 17 years, the founding fathers of dot have made it their mission to Empower, educate and enhance the financial lives of all their clients. Both are avid property investors with Loui holding a buyer’s agency accreditation.

Let’s move to what is really important. Your home loan! A few things have been happening in this space.


RBA sees potential concern as borrowers move from IO back to principal and interest over next four years

Almost half a trillion dollars in interest-only (IO) mortgages will convert to principal and interest loans over the upcoming four years, according to the Reserve Bank of Australia. The concern as noted by the RBA is increased risk of arrears coming of age due to the uplift in mortgage repayments taking into account both principal and interest.

Despite the large increases in repayments when IO loans reset – officials estimate they will leap by up to 40 per cent – the Reserve Bank believes most borrowers “should be able to afford the step-up in mortgage repayments” because they have accumulated substantial prepayments.

Is it time to check your interest only expiration and make sure you’re in a position to afford or restructure your facilities should you need to?

More on this by clicking the link


What has Dot been up to this Month?

Besides working on what we do best – Serving our clients + writing home loans, we have engaged a few interesting stakeholders to be part of a project we think will be lifechanging (financially) for our clients. It’s brewing at the moment and we’ll make sure to keep you updated as we come closer to the launch.


A real finance tip that you can actually use?

By switching your repayment frequency from monthly to Fortnightly, this leads to one extra month’s repayment being made per year. This inevitably shaves 4 years off the life of the loan, making room for you to enjoy those special moments 4 years sooner than your expected loan expiration.

Hope you enjoyed reading the blog and should you have any questions, please feel free to email or you can call us on 1300 000 DOT (368).

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