Refinancing your home loan can seem like a daunting task, but how do you know if it is the right time to bite the bullet and move your home loan to another lender?
It may be the right time to refinance if:
- You are seeking to increase your current lending.
- Your existing loan is coming out of its fixed term or you considering going into a fixed rate loan.
- You have additional loans such as credit cards, personal loans and want to consolidate them together.
- Your current lender does not seem to be keeping up with the interest rate reductions.
It may NOT be the right time to refinance if:
- Your current lender is going to charge you a high penalty for leaving them.
- You are considering selling your property in the near future.
- You are close to paying out the loan in full and don’t want to borrow again.
- You have not had your current home loan for very long.
Refinancing can lead to some significant savings, but these savings can be lost if you pick the wrong time to change lenders.
With rates at their lowest in 50 years and banks competing for business, is now the right time for you to consider refinancing?