PHOTO: Photo: 123RF

With the Reserve Bank signalling it expects to raise interest rates in the future, Liz Koh has advice on how to get your mortgage paid off faster.

She says it’s all about structuring your loan the right way.

Liz Koh is a financial planner specialising in retirement planning. This discussion is of a general nature, and does not constitute financial advice.

Now is the time to blitz your mortgage, Koh tells Nine to Noon.

“We know we’re on this cusp of mortgage interest rates going up.

“A lot of people just leave their mortgage in one lump sum and they fix it for a period of time. I’m a big fan of breaking it down into two or three components.

“You don’t want to have your entire mortgage renewing at the same point in time, it’s better to spread it out.”

For people who are also saving money, Koh suggests using a line of credit or mortgage offset account.

“So what you can do is have part of your mortgage on a floating rate and that’s either as a line of credit or with what they call a ‘mortgage offset account’.