Refinancing is often an excellent path to a better financial position. Rising interest rates and cost of living pressures can wreak havoc on your life. But refinancing allows you to access the best interest rates possible, find a better product for your situation and get your finances back under control.
One of the questions we’re often asked by clients is ‘can I change mortgage lenders’ when refinancing? Well the answer to that is a resounding yes. And here’s why you should consider doing just that.
To start, let’s talk briefly about home loan refinancing. Refinancing a home loan simply means changing your existing mortgage product for a new one.
There are several reasons you may look to refinance your home loan. And one of those reasons may be that you’d like to change lenders.
The short answer is yes, absolutely you can. And there are lots of reasons why you might want to do just that. Changing mortgage lenders when refinancing could give you:
There are costs involved if you decide to refinance, regardless of whether you stay with your existing lender or move to a new lender. These may include:
These costs shouldn’t discourage you. But it’s important to know the costs of refinancing, to make sure they don’t counteract the potential savings made through refinancing.
When you’re refinancing your home loan, you’re welcome to change lenders to one that you’re happier with. A different lender may have home loan products available at a lower interest rate or that better suit your personal circumstances.
Of course, if you have to break your existing mortgage agreement, there may be fees and penalties involved. It’s a good idea to review your home loan contract and talk to your mortgage advisor to see if it makes financial sense.
The refinancing process takes, on average, around four to eight weeks. The time taken will vary due to your lender’s home loan application process, the complexity of your home loan and your own personal circumstances.
There are many reasons you may seek to refinance your home loan, and yes, you can change mortgage lenders when refinancing! Refinancing with a new lender can help your financial short-term goals (through lower monthly repayments) as well your long-term financial goals. Refinancing can also help you to access equity in your home to renovate, travel, consolidate debts or purchase a car.
No matter your personal circumstances, having a specialist mortgage broker like Lending Loop on your side can help you through the refinancing process and find the best home loan product for you.
If you’re in the market for a better deal, Lending Loop can help. From over 40 of Australia’s biggest specialist lenders and banks, we can find the right home loan for you. Give us a call at Lending Loop today!