--- title: Common mortgage mistakes....and how to avoid them description: Mortgages. For most of us they will be the single biggest financial commitment we will ever make in our lives. image: https://blog.nzhl.co.nz/hubfs/opps-538x350.jpg --- [0800 030 646](tel:0800030646) - Search - [Contact Us](https://nzhl.co.nz/contact-us/) - [Find Us](https://nzhl.co.nz/find-us/) - [Client Login](https://nzhl.co.nz/login/) [![NZHL](https://blog.nzhl.co.nz/hubfs/Nzhl_January2019%20Theme/Images/logo-footer-nzhl.png)](https://nzhl.co.nz/) - [Home Loans](https://nzhl.co.nz/home-loans) - - [Change to NZHL](https://nzhl.co.nz/home-loans/switch-to-nzhl/) - [Buying your first home](https://nzhl.co.nz/home-loans/first-home/) - [Buying your next home](https://nzhl.co.nz/home-loans/next-home/) - [Interest rates](https://nzhl.co.nz/home-loans/interest-rates/) - [Home Loan calculators](https://nzhl.co.nz/home-loans/tools-calculators/) - [FAQ](https://nzhl.co.nz/about-nzhl/faq/) - - [How much could I borrow?](https://nzhl.co.nz/home-loans/tools-calculators/) - [Where's my nearest office?](https://nzhl.co.nz/find-us/) - [How much deposit do I need?](https://nzhl.co.nz/home-loans/first-home/getting-a-deposit/) - [Insurance](https://nzhl.co.nz/insurance) - - [Your Life](https://nzhl.co.nz/insurance/your-life/) - [Your Health](https://nzhl.co.nz/insurance/your-health/) - [Your Home and Car](https://nzhl.co.nz/insurance/your-home/) - [Your Income](https://nzhl.co.nz/insurance/your-income/) - [Request a quote](https://nzhl.co.nz/insurance/request-a-quote/) - [FAQ](https://nzhl.co.nz/about-nzhl/faq/) - - [NEW! 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For most of us they will be the single biggest financial commitment we will ever make in our lives. For other big life events (think weddings and travel) we spend hours and hours of time planning and going over every little detail, thinking about all our different options, discussing and weighing things up. Yet somehow, the biggest financial commitment most of us will ever make, does not get anywhere near that amount of attention. With just a little bit of planning making getting a home loan a little less big and scary is not hard. Here are the four most common home loan mistakes we see...and how to avoid them. ## Focusing solely on the interest rate Especially at the moment, when the interest rates are at an historical low, it's easy to just see the number and forget about everything else. The truth is the interest rate is only one component of a home loan. The structure of the home loan deserves equally as much, if not more, attention than the interest rate as this is the component that you will always control, whereas interest rates you just get to pick from a few options every now and again but you can't actually control what the market is doing. ## Setting and forgetting Not reviewing a mortgage regularly is dangerous territory. By setting and forgetting you could be costing yourself huge amounts in interest. By simply reviewing your home loan, its structure and your spending on a regular basis will ensure it is fit for purpose at each of your life stages. ## Fixing without all the facts It's easy to get fixated on the lowest rate around but is fixing for 5 years the best thing for you? Where do you plan to be in 5 years time? When looking at fixing take into account not only the rate but the term and what your short, medium and long term plans are and how that fits in with these. ## Being swayed by gimmicks A new 50" tv might be nice or whatever the latest enticement that various lenders might be offering but really you'll be paying for this and much more in the long run. A few hundred (or even thousand) dollars worth of product or cash up front does not compensate for the usually hundreds of thousands of dollars in interest costs that you'll be paying over the life of your home loan. If you'd like to talk to one of our consultants about making your home loan less big and scary contact us today *The information contained in this article is of a general nature and should not be taken as advice. It reflects the opinions of the writer only and does not necessarily reflect the opinions of New Zealand Home Loans.*   *[![New call-to-action](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/5029003/15f9b75f-b0b2-4fde-a7e7-54af0db03053.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/5029003/15f9b75f-b0b2-4fde-a7e7-54af0db03053)* - Emily Doran *Author* **Share this article** - LinkedIn - Facebook - Twitter - Google - Reddit - Tumblr ##### Related Articles Get in Touch With Us ##### Popular Posts [![Should you break your loan?](https://blog.nzhl.co.nz/hs-fs/hubfs/shutterstock_1233077740.jpg?width=300&name=shutterstock_1233077740.jpg)](https://blog.nzhl.co.nz/articles/should-you-break-your-loan) [**Should you break your loan?**](https://blog.nzhl.co.nz/articles/should-you-break-your-loan) 11 June 2015 In my recent article I spoke about the[impact of the OCR if you are floating](http://www.nzhl.co.nz/are-you-benefiting-from-the-ocr-drop/). 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