Refinancing your Home Loan from one Lender to another
Are you interested in learning more about loan refinancing in Melbourne? Here’s a rundown of the most common home refinance questions we receive.
What are the benefits of refinancing?
Home loan refinancing allows you to take control of your finances and lower your monthly mortgage repayments. Here’s what we mean.
- By refinancing, you can consolidate multiple high-interest loans into a single monthly payment i.e. your mortgage payment. This might help you regain control of your debts.
- Home refinance lets you free up equity in your home. You can put this equity towards expenses such as home improvements, an investment property or other investments.
- It might be possible to pay off your home loan sooner, depending on the terms of your new mortgage.
- Since you’re switching home loans, you can shop around to find a loan with better terms or lower interest rates.
When should you refinance your mortgage?
There’s no single right answer to this, but here’s when refinancing a home loan is a good option.
- You can reduce your interest rate, which means you could pay less in the long run.
- It makes sense for you to consolidate your debts into a home loan.
- You haven’t reviewed your home loan in over two years – chances are there’s a better deal on the market by now.
An experienced financial adviser can help you make the right call, so don’t rush into any decisions until you’ve sought advice.
What should I know before refinancing my home?
Before you refinance your property, here are three things to bear in mind.
- There’s no guarantee you’ll be accepted for a new loan. It all depends on factors such as your credit rating, your home’s value, and your income.
- You need to pay various expenses to refinance your home, including application and discharge fees.
- Depending on the loan terms, you may end up paying more each month – that’s why it’s so important to get professional advice first.
How do I refinance my home loan?
If you’re ready to switch home loans, simply contact the team at SHL Finance.
- We can help you arrange a property appraisal to confirm your home’s value.
- After we’ve gathered all the relevant information, we’ll match you with the lender best suited to your financial goals.
- We’ll walk you through the whole application process and liaise with the lender on your behalf.
- Once your application is complete, we’ll stay in contact with you to ensure that your loan still matches your needs.
Contact us for more information on loan refinancing.
Steller Home Loans Pty Ltd Trading as SHL Finance – Australian Credit Licence Number 473284. ABN 92 163 306 250