Why refinance your loan
Pay off your mortgage faster
If you’re striving to be mortgage free, there’s a good chance there may be a more appropriate product to meet your needs.
Some mortgage products are designed to motivate borrowers to repay their mortgages quickly, so now is the perfect time to talk to your mortgage broker. A new loan could set you on the road to financial freedom – fast!
Reduce your repayments
For example, you may want to go for a lower variable-rate, or lock into a fixed-rate. Break costs can be expensive though, so you’ll need to check that you’ll come out ahead when all costs are considered.
Consolidate your debts
Rolling your debts into one monthly or fortnightly repayment can also help make juggling your finances a little easier, while improving your cash flow.
Avoid fees and charges
Competition between lenders has increased and some now waive administration fees, so refinancing your home loan with another provider can be a smart move to help cut your mortgage costs.
You should check with your lender to see if there are applicable break costs before switching loans.
As you pay off your mortgage you’ll accumulate equity in your home.
As long as you are capable of meeting your loan repayments, refinancing your mortgage can help you tap into the value that you’ve built up, using it for other purposes such as purchasing an investment property.
Peace of mind
Have a mortgage broker health check your exisiting home loan to ensure it’s the right product for you.
With so many options out there and the market changing so often, we recommend visiting your home loan every two years.