Refinancing & debt consolidation

Personal circumstances often change and so will the interest rate your paying. So if you’re a person who hasn’t looked at your Home Loan for a while it might pay for a health check. Remember, complacency can be costly and refinancing wont cost you the world.

The best part is that it’s quicker, easier and cheaper than you may think. You may even have some more equity that we can use as a bargaining chip when negotiating your rates with our lenders.

In addition to checking if your current home loan is competitively priced, we can help you with debt consolidation, loan increases for renovations and more.

What is involved?

  1. We interview you which involves a needs analysis and fact find. This will give us a clear picture of your objectives and situation.
  2. We order a property valuation. More often than not we can do this online but if required a site visit can normally be arranged and completed within 2 to 3 days.
  3. We present you with options, write up the application and submit it for finance approval.
  4. We request your property be released from your old bank.
  5. We walk your through your new loan contracts and help you sign them.
  6. Your new and old bank liaise with each other and settle the loan and we make sure it is set up correctly.

For some further reading on refinancing costs click here.


FAQ’s

We know you have lots of questions. So, we’ve provided answers to the most common ones here.

Why should I refinance?

You could save thousands of dollars by spending a few hundred. Over time the home loan you originally signed up for may not be as cheap as what’s currently available and you may have built up some additional equity which will give you access to more options. We suggest a quick home product check to see where you are placed and if we think you can do better we will find you the right option.

What is involved in refinancing?

From a customer’s perspective not that much. It begins with an assessment of your financial situation, a review of your current loan, a valuation of your existing property and the submission of some forms. We will manage the process to make this as simple as possible

How much does refinancing cost?

This will vary depending on the lender and the type of loan you have. While fixed loans can be costly, variable loans can normally be sorted for a few hundred dollars. This will be to cover settlement and registration fees while application and valuation fees are typically waived by the new lender.

I have credit card and personal loan debt can I consolidate this into my home loan?

To use industry jargon this is Debt Consolidation and yes this is something we can help you with. Some lenders will have restrictions on what you can consolidate but it can be a great way to simplify repayments and potentially benefit from lower interest rates associated with your home loan.

What’s the difference between variable and fixed rates?

Variable interest rates move. Normally relative to changes in official interest rates set by the Reserve Bank of Australia. A variable rate loan is beneficial when rates are on the decline. Fixed interest rates don’t move. You can fix your rate for a particular period of time, normally between 1 and 5 years. But it’s most beneficial when rates are on the rise.