Reasons to Refinance your home loan

Refinancing your home loan can save your thousands over the life of the loan. There are a few reasons why you may want to consider refinancing your home loan.

First and most common one is to benefit from lower interest rates. Currently the market is flooded with record low interest rates.

The second reason is to switch to a loan that suits your needs. There might be some new features that you might be missing out on – like offset transaction account, splitting your loans or redraw facility.

Another reason is to switch to a fixed rate home loan. You could be coming to an end of a fixed term or want to fix your interest rate now. Fixing your interest rate provides you certainty in repayments.

Another common reason for people to refinance is debt consolidation. If you have a personal loan, car loan or even a business loan most likely you are paying high interest rate.

You can also refinance your home loan to renovate your place.

Another reason to refinance could be to invest. Using the equity from your home to invest in another property, shares or other opportunities can help you grow your wealth.