More people are refinancing their mortgages than ever – here’s why.

Interest rates are at record lows, and more homeowners are refinancing their mortgages than ever. With this article we wanted to explain why, and why you should consider talking to your own mortgage broker to see whether refinancing is a great option for you.

You don’t believe me? ABS figures out this week prove we’re not imagining things.

Refinanced home loans reached an all-time high of $17.2 billion in July 2021, which is a 6% increase on June of this year. This is double the level refinanced from last year. 

You don’t believe me? ABS figures out this week prove we’re not imagining things.

Refinanced home loans reached an all-time high of $17.2 billion in July 2021, which is a 6% increase on June of this year. This is double the level refinanced from last year. 

So why are homeowners refinancing in record numbers? There are three main reasons for this:

  • All time low RBA cash rate – With multiple rate cuts over the last few years, at the time of writing the RBA cash rate is at an all-tome low of 0.1% Money is cheap
  • Competition amongst lenders – Lenders are looking to take advantage of lower interest rates and lock in more clients. Competition is fierce and many lenders are competing on price. With neo banks and other lenders coming into the market, this leads to more consumer choice. Many lenders are also offering cash back incentives to entice new customers to join them. 
  • People are looking to lock in low fixed rates – With many expecting the economy to bounce back post-COVID, many borrowers are looking to lock in fixed interest rates ahead of expected rises in interest rates. 

With many households and businesses around the country doing it tough right now, one simple way to reduce your monthly mortgage repayments is by refinancing.

You could manage the  refinancing process by yourself, or you could engage the services of an expert mortgage broker.

Fixer rate loans and cashback options may seem enticing, but they aren’t always the best option available to you. There are many factors to consider, and there may be conditions in the fine print you could miss.

Fixer rate loans and cashback options may seem enticing, but they aren’t always the best option available to you. There are many factors to consider, and there may be conditions in the fine print you could miss.

Plus, it’s just nice to have someone in your corner advocating for you sometimes.

We can help you go through the fine print, fees and limitations that you need to know about when comparing loan options. We can also help you determine whether a fixed, variable or split loan is better suited to your needs.

Sometimes the best option may be negotiating with your current lender. You don’t even necessarily need to change. The thing is, you do need to be prepared to leave if your current lender doesn’t give you a better rate. We can find you a lender that will give you a better deal if your current lender doesn’t play ball. 

If it’s been a number of years since you looked at your loan, now may be the time to assess your current mortgage. Get in touch today and we can see if we can save you thousands of dollars in interest repayments on your mortgage.

Disclaimer: The content of this article is general in nature and is presented for informative

purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.

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Will Bell Mortgage Broker
4.9
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Ed
Ed
00:45 19 Nov 21
Will did an amazing job in restructuring multiple investment loans for me. It greatly reduced repayments and released some equity as well.Thanks for all your hard work!
Harsha Jayaratne
Harsha Jayaratne
10:19 21 Sep 21
It is pleasure to work with always keep you informed and prompt service.
Jen Furlong
Jen Furlong
00:51 21 Sep 21
Will was an absolute pleasure to deal with and made the process of obtaining a mortgage very easy.
REANNE
REANNE
00:54 03 Sep 21
Thanks Will for helping me! Great service!
Imogen Armstrong
Imogen Armstrong
03:11 13 Aug 21
Will is a legend!!!! So helpful, explains everything well, couldn’t speak more highly of him!! Definitely recommend!
Brooke Ware
Brooke Ware
06:10 10 May 21
Will was recommended to me by our real estate and he has been amazing to deal with. He is very responsive with messages and calls and also gives you his honest opinion of what deal is best suited.Definitely looks out for the best interest of his clients....would highly recommend going through Will.Doesn't matter how many questions I had he always talked me through anything I needed.
Sarah H
Sarah H
03:36 06 May 21
Will was recommended to me by my co worker and I was a little sceptical that I would find a broker that could help me in my situation. I’m a single mum of 2 teenagers and have been told previously that I could only borrow a small amount...not enough to purchase a home, even though my salary is quite good and I’m able to service a loan.Will went above and beyond my expectations, he was prompt with initial contact, made me feel like nothing was ever a problem, reassured me that he could help me purchase a brand new home. The whole experience was simple, stress free and fast. Will has a very calming presence and is always smiling, which was very reassuring for me in a stressful time of my life. Thanks so much Will, I will definitely recommend you to everyone I know!
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