It is always a good idea to reduce your loans
Even if, according to the amortisation requirements, you do not need to amortise, it is a good idea to reduce your loans.
- Lower loan-to-value means greater security in the event of a deterioration of your financial situation, for example, as the result of unemployment, illness or retirement.
- As your loan decreases, so too do your interest expenses.
- Amortisation reduces the loan-to-value ratio and can mean that the amortisation requirement decreases.
- If you have amortised all or part of your mortgage loan and sell your property at a time when property prices have been rising, you will have more money available for a down-payment on your next home.