Real life refinancing

Would you appreciate an extra $300 in your pocket every month? Who wouldn’t! Reviewing your home loan options when you already have a mortgage makes it easy to pop into the too hard basket. But it could save you a lot of money and I can do most of the legwork for you.


There are several reasons refinancing may help you achieve your goals faster. It could be to access equity for home renovations, for a holiday or to invest. It might be to pay off your home loan sooner by saving on interest or fees and charges. You may need greater flexibility now or want to reduce risk by fixing your repayments over a period of time.

Refinancing can also provide support when your situation has changed and you‘re looking for ways to save money.

There are a few different types of refinancing. You may be able to switch mortgage products and stay with the same lender or you could switch lenders for a more suitable loan. There’s also an option to do a partial refinance where a portion of the loan is switched to another product.

Real life examples

To help you understand the potential savings, here are three examples where Loan Market clients have recently refinanced and saved up to $337 a month.

Case study one

Anna was paying $1,205 per month on her existing home loan of $285,000. Through refinancing she now pays $1,150 – a monthly saving of $55. With the equity in her property, Anna was able to purchase an investment property for $385,000.

Case study two

Katie came to Loan Market determined to pay off her mortgage faster. Through refinancing her monthly loan repayments of $1,892 were cut by $337. By continuing to pay $1,892 each month she’ll save over $98,000 on interest over the life of her loan and reduce her loan period by nine years and eight months.

Case study three

Donna changed jobs and it required taking a pay cut. In order to manage the payments until her income increases again we put her into a fixed rate for the next three years and made her loan interest only. This reduced her outgoings from $1,588 to $1,350 per month freeing up $238 every month so that she was able to stay in her property.

Case study four

Joe and Mandy had a mortgage and some short term debt that was proving difficult to pay. They were considering canceling their mortgage repayment insurance, but had two small children. By consolidating their debts, their total repayments have reduced by $140 per month. They have not only been able to retain their insurances but add medical, which gives them peace of mind.

Some things to consider

There are some factors I’ll review to determine if refinancing is the right move for you. There are costs involved in refinancing your home loan so it may not be the best financial move for everyone. These costs include solicitor fees (however usually the bank will cover this cost), break fees if your loan is currently fixed (this can vary) and sometimes lender application fees.

Aside from costs, some other things I’ll review are:

  • Your repayment history or changed financial circumstances
  • How high is your loan-to-value ratio (LVR)
  • Is your loan amount too small (this is a nice problem to have)

When reviewing your situation, I’ll be looking for an opportunity to save you money and put you in a better financial situation within a year. If you’re wondering if you would be better off refinancing your home loan get in touch.