If you bought or refinanced your North Shore home a few years ago, there is a good chance your current interest rate is no longer competitive. Lenders reserve their sharpest offers for new customers, and the gap between what existing borrowers pay and what new borrowers are offered — the so-called “loyalty tax” — can add up to thousands of dollars a year on a typical Chatswood or Willoughby mortgage.
Signs it may be time to refinance
- Your fixed rate is ending. Many borrowers roll onto a much higher variable rate when a fixed term expires. Reviewing your options two to three months before expiry gives you time to move.
- You have not reviewed your loan in two or more years. Rates, fees and lender policies change constantly. A quick review costs nothing.
- Your property has grown in value. North Shore property values can move quickly. A lower loan-to-value ratio often unlocks better pricing tiers.
- Your needs have changed. An offset account, debt consolidation, or accessing equity for an investment property or renovation can all be reasons to restructure.
What does refinancing involve?
Refinancing means replacing your current home loan with a new one — either with your existing lender (a repricing or internal refinance) or a new lender. As your mortgage broker, we compare your current loan against options from Australia’s major banks and specialist lenders, calculate the true switching cost (discharge fees, government fees, any new lender fees) and the break-even point, and manage the application and settlement process end to end.
Will I qualify?
Lenders assess refinance applications on your income, expenses, credit history and the property itself. Some lenders apply a reduced serviceability buffer for like-for-like refinances, which can help borrowers who feel locked in by higher interest rates. Self-employed borrowers and those with less conventional income also have options — this is exactly where a broker adds value.
Local help, fast answers
Wonderful Global is based in Chatswood and works with homeowners across Sydney’s North Shore — Willoughby, Artarmon, St Leonards, Lane Cove, Gordon and beyond. We are available 24/7, meet online or face to face, and aim to give you a clear answer within 24 hours of receiving your documents. We serve clients in English, Mandarin and Cantonese.
Curious what refinancing could save you? Call +61 404 838 365 or get in touch for a free loan review. You can also read more about our refinance loan service.
This article is general information only and does not take your personal circumstances into account. Consider whether the information is right for you before acting on it.