Discover key insights on home loan refinancing in Australia—timing, costs, and refinancing options for borrowers with bad credit.
How Long Before My Fixed Rate Home Loan Expires Should I Look at Refinancing?
It's essential to start exploring refinancing options for your fixed-rate home loan well in advance, ideally around three to six months before your fixed rate expires. This allows you ample time to evaluate your options, compare offers from different lenders, and make an informed decision. A proactive approach ensures you won't be rushed into accepting less favorable terms due to a looming deadline.
That said, if your fixed rate is expiring sooner than expected, don't panic! We work with several lenders who can process refinance applications in as little as 24 hours, so there are still options available to you.
Here are some steps to take when planning your refinancing:
Assess your current loan terms and repayment structure.
Compare refinancing options from various lenders.
Consider if switching to a variable rate or securing another fixed rate makes sense for you.
If you’re approaching the end of your fixed term, contact us to discuss how we can help lock in a great new rate.
What Are the Costs Associated With Home Loan Refinancing?
Refinancing a home loan in Australia can bring significant savings, but it’s important to be aware of the associated costs. Some of the common fees and charges include:
Loan establishment fees: These are charged by the new lender for setting up your refinanced loan.
Discharge fees: When closing out your existing loan, the current lender may charge a discharge fee.
Valuation fees: Lenders often require a property valuation to assess the current market value of your home.
Legal fees: These cover the cost of preparing and registering the mortgage documents.
Government charges: This may include mortgage registration fees and, in some cases, stamp duty (depending on your state or territory).
We ensure that all of these costs are factored into your refinancing decision, weighing the potential savings against the upfront expenses. Our goal is to help you secure improved loan terms that justify the associated costs.
Can I Refinance My Home Loan With Missed Payments or Bad Credit?
Refinancing a home loan can be challenging if you've had missed payments or bad credit, but it’s not impossible. Many traditional lenders may be hesitant to offer refinancing to borrowers with poor credit histories, but there are specialist lenders who cater to people in these situations. These options often come with higher interest rates or additional requirements.
Here are some potential pathways for refinancing with bad credit:
Seek specialist lenders who focus on refinancing for those with poor credit.
Consider working with a mortgage broker who can connect you with more flexible lenders.
Improve your credit score by addressing outstanding debts before applying.
We can help you navigate the refinancing process by offering advice on improving your financial situation, such as consolidating debt or addressing your credit history. Contact us to see how we can assist in finding the best possible solution for your circumstances.
What Documents Do I Need for Home Loan Refinancing?
Refinancing your home loan requires providing several documents to the lender to assess your eligibility and process your application. Here's a list of the most commonly required documents:
Proof of identity: Driver’s license, passport, or other government-issued ID.
Proof of income: Recent payslips, tax returns, and evidence of employment or business ownership.
Details of debts and assets: Bank statements, credit card balances, and information on other loans.
Property-related documents: Current loan contract, council rates notice, and home insurance details.
While this may seem like a lot of paperwork, don’t worry! Our streamlined process ensures that collecting and submitting these documents is fast and easy. If you have any concerns or need assistance gathering your documents, contact us for support.
What Are the Current Home Loan Refinance Rates?
Interest rates and lender offers for refinancing are constantly changing, especially as lenders compete for new business. To find out the most current refinance rates, we encourage you to get in touch with our team. We work with some of Australia’s top lenders and are committed to finding you the best rate possible.
Our team will do the legwork for you, comparing rates and offers to ensure you benefit from the most competitive deal available. If you're ready to take the next step in refinancing your home loan, reach out to us today and we’ll bend over backwards to find a great rate for you.
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Is Refinancing Right for You?
Talk with one of our business finance experts who can guide you through the process and help find the best solution tailored to your needs.
Call us on (02) 8313-8400 or request a call back.
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