Refinancing and Debt Consolidation

Why consider Refinancing and or Consolidating your Debts?

Switch for a better deal

Your life never stands still, and neither should your mortgage. If change is afoot, it might be time to search for a more suitable product.

If your loan doesn’t suit your lifestyle or personal situation you could be wasting thousands of dollars a year on extra interest and fees.

You may be able to refinance and find a loan that’s more appropriate for your needs, with more suitable features and a competitive interest rate to match.

There are now more alternatives to mainstream bank products available that may better suit your needs and personal situation.

If you feel that your loan is no longer right for you, speak with Your Home Loan Consultant to discuss your options.

Pay off your mortgage faster!

If you’re striving to be mortgage free, there’s a good chance there may be a more appropriate home loan product to meet your needs.

Some mortgage products are designed to motivate borrowers to repay their mortgages quickly. So now is the perfect time to talk to your mortgage broker and consider whether a new loan will see you on the road to financial freedom – fast!

Better interest rates and lower repayments

Rates and mortgage deals are constantly on the move. To make the most of a competitive mortgage market, you might want to evaluate the loan product you currently have.

For example, you may want to go for a lower variable-rate, or lock into a fixed-rate. Break costs can be expensive though, so you’ll need to check that you’ll come out ahead when all costs are considered.

Consolidate your debts

Consolidating your debts, such as credit cards or personal loans, into your home loan can save you thousands of dollars in interest charges. Rolling your debts into one monthly or fortnightly repayment can also help make juggling your finances a little easier, while improving your cash flow to boot.

Avoid monthly fees and charges

Some lenders charge a monthly service fee – further adding to your debt. Competition between lenders has increased and some now waive administration fees, so refinancing your home loan with another provider can be a smart move to help cut your mortgage costs.

Unlocking equity

As you pay off your mortgage you’ll accumulate equity in your home. As long as you are capable of meeting your loan repayments, refinancing your mortgage can help you tap into the value that you’ve built up, using it for other purposes such as purchasing an investment property.