Millennials are proving better than previously believed in handling their finances. According to a survey from the comparison website Finder. Thirty percent of those surveyed between the ages of 18 and 39 said they would refinance their mortgages in the next 12 months to save money. That’s 2 percent of Baby Boomers who said they’d talk to their creditors.
“Millennials get a bad wrap for not being money savvy, but when it comes to considering refinancing their home loan, they’re ahead of the pack a smart move considering it’s where the biggest potential savings lie.” They were looking to take advantage of lower interest rates. “A new benchmark is emerging – we are seeing more home loan rates that start with ‘2’ than ever before and that’s the case with both variable and fixed loans,” says Bessie Hassan, money expert at Finder.
The research also shows that 8% of Generation Z (younger than 24) and 10% of Generation Y (aged between 25 and 39) were keen to start saving now with plans to refinance in the next two to six months. “Even the slightest reduction to a home mortgage loan rate could equate to thousands of dollars in savings over the life of the loan so don’t be complacent.” Ms. Hassan says.