Is now the right time to refinance your home loan? Here’s what to know
With interest rates shifting and the property market constantly evolving, now is the perfect time to reassess whether your current home loan is still the best fit for you.
Refinancing isn’t just about securing a lower interest rate. It can also mean:
Lower repayments — easing the pressure on your monthly budget
Unlocking equity — to renovate, invest, or consolidate debts into one manageable loan
Better features — such as offset accounts, redraw facilities, or more flexible repayment options
Adjusting your loan term — to help you pay off your home sooner or spread costs over a longer period
Even a small drop in your interest rate can make a huge difference over the life of your loan. For instance, reducing your rate by just 1% on a $500,000 loan could save you more than $5,000 in interest every year.
Why Timing Matters
The lending market moves quickly. Lenders adjust their offers regularly, and the Reserve Bank of Australia’s (RBA) monthly decisions can influence borrowing costs across the board. This means staying informed — and acting at the right time — can be the difference between paying thousands more or keeping that money in your own pocket.
RBA Update
The Reserve Bank of Australia (RBA) has announced a cut of the official cash rate this month to 3.6%.
While this is welcome news for borrowers, not all lenders pass on the full reduction straight away — and so now may be the best time to consider refinancing (whether withy your current bank or a new bank).
This is why refinancing now could be powerful: you can take advantage of the lower rate environment and successfully get an even better deal on your current mortgage or debt recycle to purchase a new investment property at better rates!
With the rate drop, reviewing your loan now could save you thousands.
Contact us today to book a free home loan review — we’ll show you your options and help you make the most of the current market.
