When to Refinance and Why
With the RBA cash rate still at an all-time low and various lenders continually offering new rates and loan products we are often asked by our clients WHEN TO REFINANCE and WHY they should review their loan. Gone are the days when we stayed with the same loan or lender for the full term of a home loan – the mortgage market is now very competitive. But even with a changing market it’s important that any decision to
refinance should consider your individual circumstances, your current needs AND your future financial goals.
WHEN should you consider refinancing?
You might think refinancing is simply a good way of reducing your loan repayments but there are various ‘life events’ that could also provide a worthwhile reason to review your finances. These include:
- Using the equity in your property
Perhaps this is an opportunity to consider an investment property?
- Lower loan repayments
This is a common motivation for some clients, however a decision to refinance should not be based purely on a lower interest rate – you need
to consider costs and benefits over the long term. Maintaining your current repayments at a lower interest rate may provide greater benefits over the life of the loan. Ask us How
- You’ve finally become empty nesters
Kids left home? What a great time to ensure you are effectively planning your retirement income and lifestyle,now the KIPPERS (kids in parents’ pockets eroding retirement savings) have gone.
- You will never know if your financial situation could be improved if you don’t take that first step.
Call us for a chat TODAY.
As your finance specialist we have access to a range of lenders when seeking a suitable loan. We have access to over 30 lender and their available loan products.