REFINANCING YOUR LOAN
Refinancing is the process of paying out your current home loan by taking out a new loan, either with the same lender or a different one.
Loan Initiatives recommends an regular check of your loan to see whether a refinance will benefit you. This is more important in times where interest rates are changing rapidly.
People refinance for many reasons including the following:
- To renovate their home or undertake home improvements (eg: pool, garage)
- Unlock equity in their home to purchase an investment property or shares
- Consolidate debt eg: paying off high interest credit cards or tax debt with low interest rate home loan debt
- Get a cheaper interest rate
- Switch from a variable to a fixed rate when rates are expected to rise
- Switch from a fixed to a variable rate to a fixed rate when rates are expected to rise
- Free up security if they have more than one property
- For tax reasons – to make as much debt tax deductible as possible
- To change banks because they are unhappy
Thousands of dollars could be saved by taking the time to review your loans and see whether a refinance would benefit you.
We always ensure the benefits outweigh the costs before recommending a refinance to our clients.
At Super Initiatives, we have access to over 30 banks and financial institutions and access to advanced computer software that can instantly select the best deal for your circumstances.