Refinancing allows your loans to stay up to date with market trends, ensuring you are not paying unnecessarily high interest rates. This is a great way for you to pay off your loan faster, while also allowing you to access equity in your home. In addition, it provides a great opportunity for you to renovate or upgrade your property.
Why should I look into refinancing?
Most people will consider refinancing as a means of ensuring their loan stays relevant to their situation and circumstances. Some common reasons to refinance include:
- Funding renovations
- Consolidating debt
- Switching to a different interest rate structure
- Finding a better, lower interest rate
What should I be mindful of when considering refinancing?
There are a number of questions to ask yourself when you are refinancing:
Why am I refinancing?
Are you refinancing to save money on your loan? Or to secure funding for renovations? Ensuring you have a plan in mind for why you are refinancing ensures you actually get a better deal, rather than costing you in the long term.
What is available on the market?
By making sure you are comparing across the market between a variety of products, you are ensuring that you have thoroughly considered a range of products rather than switching to the ‘shiniest’ loan you see.
Am I actually saving money?
While the interest rate is undeniably important, your refinanced loan often incurs a whole host of other fees and charges, such as break fees, establishment fees and switching fees. You must make sure you consider all the terms and conditions of refinancing, so as to guarantee you are better off on the other side.
Our team of mortgage brokers work tirelessly to exhaustively evaluate all the options in the everchanging market when it comes to refinancing and restructuring your debt. Contact us to today to see what we can do for you in your particular situation.