Top Property Investment Hacks To Make More Money In Property

29. Don’t fix your interest rate to try and save a buck

Choose fixed over variable to reduce risk, not to reduce interest expenses. Banks will offer a rate not knowing exactly what will happen with interest rates in the future – they’ll factor in a margin for that risk. For the marginal perceived improvement in interest expense you think you’re going to get by fixing, you lose the ability to refinance or sell without incurring a break cost.