Refinancing FAQs

Refinancing can unlock a range of new possibilities for you. You may be able to get a better interest rate or lower your repayments. It may help you purchase an investment property or carry out that much wanted renovation.

Refinancing FAQs Picture

What is refinancing?

Refinancing your loan, for example your home loan, investment loan or commercial mortgage, is the process of changing your property loan and/or lender. Refinancing allows you to select a new loan product that better suits your current circumstances and needs. You may also be able to take advantage of additional benefits provided by your current lender or another lender.

How does refinancing work?

When you take out a new loan, you use some or all of the funds to pay out your existing loan. The new loan could be with a new lender or your existing one. If you move to a new lender, that lender will take care of paying out your existing loan.

 

If you are unsure whether refinancing is right for your current situation book a free appointment with us.

Why should I refinance my loan?

Loan refinancing may be used for different reasons such as:

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• Getting a fixed rate loan and peace of mind over your repayments

• Accessing lower interest rates

• Reducing monthly repayments

• Helping you to pay off your loan faster

• Consolidate debts such as credit cards and personal loans

• Unlocking the equity in your property

• Financing a renovation

What do I need to consider when refinancing?

When done properly and under the right circumstances, loan refinancing has a number of benefits. However, there are also drawbacks, particularly the cost. This is why it’s vital that you to weigh up the savings from of refinancing against the expenses.

What is the cost of refinancing?

For more information of the cost of refinancing click here.

Could refinancing be right for you? Talk to us today for a free home loan health check