How Millennial homeowners are cashing in

PHOTO: Young homeowners are proving to be the savviest of the lot by taking advantage of these favourable market conditions.

Millennial homeowners are cashing in on historically low home loan interest rates and are jumping at the chance to refinance their mortgages.

Once labelled the lazy generation, Millennials are shaping up to be a financially savvy bunch.

According to data from comparison website Finder, 30 per cent of those surveyed aged between 18 and 39 said they would refinance in the next 12 months, effectively shaving tens of thousands of dollars off their mortgages. That is compared to just 2 per cent of Baby Boomers who said they would speak to their lenders.

Bessie Hassan, money expert at Finder, said those who were towards the beginning of their homeowner’s journey were looking to take advantage of lower interest rates.

“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,” she said.

“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,” she said.