Dec 9, 2019 6:00:00 AM

When to Refinance Your Mortgage

Topics: Financial Health, Refinancing, Home Loans 0

Refinancing your mortgage could help you secure better interest rates, reduce the term of your loan, and even strengthen your overall financial position. Deciding when to refinance depends on several factors and there are many instances where property owners refinance for reasons other than just the interest rate. Take a look at when you could consider refinancing your mortgage.


Changes to your situation
When mortgage interest rates drop, many property owners think about refinancing. But interest rates are just one part of the big picture.

If you’re looking for more flexibility from your loan product – like a redraw or offset account – or you find you don’t need as many options and a basic loan with a better rate would suffice, it may be a good time to refinance your mortgage.

Similarly, any changes to your family situation – baby on the way, recently married, planning to study or travel – or changes to your financial situation – recent promotion - could signal that refinancing is a good option. Whatever your situation, when it comes to refinancing your mortgage, it’s important to start by assessing your financial capacity with a mortgage review.

The right time to refinance
A good place to start is meeting with a Mortgage Express broker who can help you work through your current financial position and personal situation to assess whether or not refinancing would be the right next step.

There are times when refinancing isn’t the right option – if you’ve recently changed jobs it makes financial sense to wait a few months before approaching a lender to refinance your mortgage. Similarly, if you’re moving home in the near future, it could end up costing you more in break fees if you refinance at this time.

A Mortgage Express broker is experienced at connecting you with the right lender and loan product and can help you understand which option makes the most sense for you.

Deciding when to refinance
If you’re not sure if now is the right time to refinance, ask yourself these questions:

• Have my circumstances recently changed?
• Have the interest rates changed?
• Is my fixed term ending soon?
• How much debt do I have?
• Do I need money for a big purchase?
• What are my goals for myself and my family?
• Could I benefit from better loan features?

With so many lenders and products available, it’s easy to feel overwhelmed when it comes to refinancing. By working with a Mortgage Express broker, you’ll be able to compare financial options and make an informed choice about the right loan option to suit you, your family and lifestyle. Contact our team today to get started.


While all care has been taken in the preparation of this publication, no warranty is given as to the accuracy of the information and no responsibility is taken by Finservice Pty Ltd (Mortgage Express) for any errors or omissions. This publication does not constitute personalised financial advice. It may not be relevant to individual circumstances. Nothing in this publication is, or should be taken as, an offer, invitation, or recommendation to buy, sell, or retain any investment in or make any deposit with any person. You should seek professional advice before taking any action in relation to the matters dealt within this publication. A Disclosure Statement is available on request and free of charge.

Finservice Pty Ltd (Mortgage Express) is authorised as a corporate credit representative (Corporate Credit Representative Number 397386) to engage in credit activities on behalf of BLSSA Pty Ltd (Australian Credit Licence number 391237) ACN 123 600 000 | Full member of MFAA | Member of Australian Financial Complaints Authority (AF