Refinancing

When did you last check your Home Loan?

Interest rates, circumstances and the markets are constantly changing. The loan you took 2 or more years ago may not be the most suitable right now. A home loan health check could reveal a lot. The question goes begging, can I get a better deal today? It is definitely worth checking.

What’s involved?

Monopoly Finance can do a full home loan health check for you either in person or over the phone with no obligation on you. We will check if your loan is still competitive and still suited to your current needs

Having an expert do this for you can also take the stress out of the process for you. It is advisable you get this check done at least once a year, or immediately if your circumstances have changed.

Questions to ask

Think about what you want checked. Here are some tips.

• Is my interest rate unreasonably high?
• Are the fees too much?
• Are the features I have, what I need?
• Should I be consolidating other debt that I have?
• Have my financial circumstances changed?
• Am I getting the service I deserve?

Benefits

A home loan check will not cost you anything but could save you thousands of dollars. You may be able to find yourself with a lower interest rate or your home loan features could be improved. A better home loan structure could also be introduced, making your repayments more manageable.

Checking the state of your current home loan could uncover the possibility of gaining access to additional funds. Your equity could have increased, thereby giving you an opportunity to own an investment property.

Contact us now for a no obligation assessment. We are licenced and accredited with over 30 Lenders.

What is refinancing and when should I do it?

As a homeowner with a mortgage, chances are you’ve heard of the term ‘refinancing’.

Refinancing involves reviewing your current mortgage, and potentially swapping your loan to another lender, who can better meet your current needs, wants and circumstances.

Refinancing can be a strategy to secure a lower interest rate, switch to a different type of loan and can also allow you to consolidate your debts or pay down your mortgage more quickly.

Another common reason borrowers look to refinance is to access equity – the amount you’d get from selling your home after settling any associated loans and any other costs associated with the property.

However, refinancing isn’t suitable for everyone. There are many different factors you’ll need to consider when thinking about refinancing a loan.

So how will you know that refinancing is the right option for you?

The first step is to speak to a professional, such as a mortgage broker, about your needs, objectives, current financial situation and whether you can afford a different loan structure, particularly if you have more than one property. Contact us at  office@monopolyfinance.com.au OR call 0419650750

Are you looking to pay less interest?

If your purpose of refinancing is to aim for a lower interest rate, this could potentially save you a lot of money in the long-term.

While saving money is often one of the biggest benefits of refinancing, it may not be as straightforward as that and careful consideration is required.

Sometimes refinancing may only save you a small amount per year, particularly when you take into consideration any exit costs, application fees and taxes involved. Refinancing may also not offer benefits if the loan will attract Lenders Mortgage Insurance (LMI) or features like an offset account aren’t offered with the new loan.

However, if it’s going to save upwards of $1,000 a year, refinancing might be a sensible approach.

At this point, the broker will need to find out about your existing loan, repayments and current loan structure.

Your mortgage broker will also need to find out more about your current financial situation, including your income, any other current debts and about any assets you own.

The current value of the property is also taken into consideration, your broker will have access to current data that will indicate what your property is likely to be worth.

The broker will then review the various loan options and figure out whether it’s worth it for you to refinance.

Your mortgage broker can tell you if getting a lower interest rate from your current lender can be achieved without refinancing.

Do you want to change your loan type?

Refinancing may allow you to change to a different loan type, for example switching from a variable loan to an interest-only loan.

If you do decide to go down the refinancing path, working with a broker rather than going straight to a lender has advantages.

Brokers generally have access to loan options from a range of different lenders and if there’s a better opportunity for you, they’re usually able to access it.

Do you want to consolidate your debts?

If you want to refinance to lower lending costs to help you manage your monthly repayments, speak to your mortgage broker who can negotiate with your current lender for a rate suitable to your current situation.

Your broker can also help you look at alternative options to consolidate your personal loans and credit cards into the one loan. This could help you in lowering your monthly repayments, or help you keep your repayments on time, and even save you interest in the long term.

Click the LINK here to leave your contact details or TEXT 0419 650 750 for a callback.