Recognising the Value of an Interest Rate Check

Regularly reviewing your mortgage interest rate can make a substantial difference to your budget. Many Australians only compare rates at the beginning of their loan, overlooking the fact that market conditions and personal circumstances can shift over time. With interest rates moving frequently, there’s a good chance you could secure a better deal if you keep track of what’s on offer.

Spotting the Right Moment to Refinance

Changes in employment status, a rise in living expenses, or a shift in lending criteria could make it the perfect time to revisit your loan. When you notice lenders advertising lower rates, or your bank hints at an impending increase, consider looking into alternative options. Even a small adjustment in interest rates can save you hundreds (or thousands) in the long run.

Mapping Out Your Review Strategy

Begin by gathering information on your current loan, including interest rates, fees, and any potential exit costs. Armed with these details, compare products across banks, mortgage brokers, and online loan comparison websites. This research helps you form a clear picture of how competitive your current arrangement is and where potential savings may lie.

Negotiating a Better Deal

Before shifting to a new lender, have a candid conversation with your existing bank. They might match or beat the advertised rates to retain your business. Remember, you’re the customer, and that puts you in a strong position to negotiate.

Taking Care of the Paperwork

If you decide to refinance, be prepared for some admin. You’ll need to submit updated payslips, bank statements, and other documents. While this can be time-consuming, the potential savings make it worthwhile. Ultimately, reviewing your home loan interest rate is a smart financial move that can keep more money in your pocket and support your long-term property goals.