Many of us get hung up on interest rates when comparing different home loans. It’s easy to understand why – “the lower the rate, the better the loan” is a very simple formula to understand.
You may have heard that refinancing your home loan to a cheaper rate can help you pay off your mortgage sooner. This can be true but there are certain steps you need to follow to make sure this is the case.
For the first time refinancer there can be many little traps throughout the process that can mean paying more than you expected.
There are now so many tools and resources available on the internet that you can complete the whole refinancing process from start to finish online.
If you are weighing up the pros and cons of refinancing, you will need to consider the costs that can be involved in the process.
Refinancing your home loan is a significant decision, and one that’s worth giving some proper consideration before taking the plunge. By following RateCity’s six-step process, you can accurately assess the current state of your personal finances, where you would like them to be, and determine whether switching from one lender to another will ultimately be worth it.
Home Loan Deposit - Step by Step guide 7 with Laine Lister - the ins and outs of mortgage fees and charges.
^Words such as "top", "best", "cheapest" or "lowest" are not a recommendation or rating of products. This page compares a range of products from selected providers and not all products or providers are included in the comparison. There is no such thing as a 'one- size-fits-all' financial product. The best loan, credit card, superannuation account or bank account for you might not be the best choice for someone else. Before selecting any financial product you should read the fine print carefully, including the product disclosure statement, fact sheet or terms and conditions document and obtain professional financial advice on whether a product is right for you and your finances.