Have you considered refinancing your home? Sounds daunting, doesn’t it? But with a bit of time, planning, and some helpful advice, adjusting your finances may just be the best decision you'll ever make…
Think back to when you first took out your home loan for the property of your dreams. Sure, the home may have been just out of your budget, but with some careful research you were able to find a mortgage that suited your needs, at a competitive rate. It was all very sensible and well thought out. But it’s been twelve months or more now, the RBA keeps slashing interest rates, and you’re still working hard from nine till five making sure you earn enough income each week to cover repayments.
Wouldn’t you rather be enjoying your new home, instead of working harder to afford it? This is where refinancing can provide great benefits, allowing your mortgage to work better for you.
How Refinancing Works
Refinancing gives borrowers the opportunity to switch to a new loan or lender, so that they can get a better deal (either from their current lender or another financial institution). This can be a very important step in achieving financial goals.
The five most common reasons people decide to refinance are:
1. To gain a better interest rate
2. To lower monthly repayments
3. Have access to the equity in their property
4. Experience a change of personal circumstances
5. Want to take advantage of refinancing opportunities and benefits
Saving money with a lower (variable) interest rate, accessing improved loan features, streamlining debt management, and investing using home equity are just some of the added perks.
Find A Plan That's Right For You
While obtaining a new home loan is a complex, time-consuming task, refinancing is typically much easier and less daunting. You now have a proven credit record to show your potential lender also.
It's important to have a clear financial objective in mind. You need to explore all the options and make an informed decision as to which form of refinancing is right for your individual needs and overall financial situation.
To find out more about whether refinancing could work for you, download Your Refinancing Guide eBook, or get in touch with our specialist team at Advanced Wealth. We’ll cover everything with you; from why you should consider it to interest rates and how to get started and take the next step.