Refinancing Guide

Refinancing means switching your current home loan to a new loan, either with your existing lender or a different one.

When you refinance:

• Your new loan pays out your old loan
• Your mortgage is replaced with a new one
• You start fresh under new terms

People refinance for many reasons, including:

• Reducing their interest rate
• Lowering monthly repayments
• Improving loan features
• Accessing equity
• Simplifying their finances

You might consider refinancing if:

• Your interest rate hasn’t been reviewed in a long time
• Your repayments feel higher than expected
• Your income or financial position has improved
• You’ve built equity in your property
• Your loan no longer suits your lifestyle
• You’re nearing the end of a fixed-rate period

Even a small improvement can make a meaningful difference over time.

Savings don’t always come just from a lower rate.

Refinancing can help by:

• Reducing your monthly repayments
• Lowering the total interest paid over time
• Giving you better flexibility with your money

A cheaper rate isn’t always the best option if it comes with high fees or poor features — which is why the overall picture matters.

Refinancing usually involves some costs, such as:

• A discharge fee from your current lender
• Government registration fees
• A valuation fee (sometimes waived)
• An annual package fee (depending on the loan)

These costs don’t always need to be paid upfront. In many cases:

• Costs can be added to the new loan, or
• The new lender may offer cashback or fee waivers

Whether refinancing makes sense depends on how quickly the savings outweigh these costs.

In many situations, yes.

Depending on your circumstances and the lender:

• Refinancing costs can be built into the loan
• Valuation fees may be waived
• Cashback offers may offset fees

This means some refinances can be completed with little to no money out of pocket, even though costs still exist behind the scenes.

FastRefi is a streamlined refinancing process used by many Australian banks and lenders to make refinancing faster and simpler.

Rather than waiting weeks for your existing bank to process a discharge before settlement can be booked, FastRefi allows your new lender to manage the process and complete the refinance much more quickly.

How FastRefi Works (In Simple Terms)

• You apply for a new home loan with a participating lender
• Once approved, you sign your new loan documents
• Your new lender coordinates the refinance using the FastRefi system
• Your existing loan is paid out as part of settlement
• The new loan settles — often in days instead of weeks

This process is coordinated by specialist settlement providers and used by many banks and credit unions across Australia.

Benefits of FastRefi for You

FastRefi is all about speed, simplicity, and certainty.

Key benefits include:

• Faster refinance timeframes
• Less paperwork
• Fewer delays waiting on your current lender
• Quicker access to improved rates or features
• Potential interest savings sooner

It doesn’t change your loan terms — it simply improves how quickly and smoothly the refinance happens.

Is FastRefi Always Available?

FastRefi isn’t available in every situation.

It generally works best when:

• You’re refinancing an existing home loan
• Your circumstances are relatively straightforward
• You’re not making major structural changes

Your broker can confirm whether FastRefi is available and suitable for your situation.

Variable home loans

• Interest rates can go up or down
• Repayments may change
• Often include flexible features like offset accounts
• Generally more flexible

Fixed home loans

• Interest rate is locked in for a set period
• Repayments remain the same during that time
• Less flexibility
• May involve break costs if exited early

Some refinances use a split loan, combining both options.

Equity is the difference between:

• What your property is worth, and
• What you still owe on your loan

Equity can sometimes be accessed for:

• Renovations
• Investments
• Consolidating debts

Accessing equity increases your loan balance, so it should always be done carefully and with a clear plan.

Some common mistakes include:

• Chasing the lowest rate without considering fees
• Extending the loan term without realising the long-term cost
• Ignoring break costs on fixed loans
• Refinancing too often
• Not reviewing loan features

A proper review helps avoid these pitfalls.

A home loan review looks at:

• Your current interest rate
• Your loan structure
• Your features and flexibility
• Your future goals

It helps determine whether refinancing:

• Makes sense now
• Should wait
• Or isn’t necessary at all

There’s no obligation – it’s simply about understanding your options.

A mortgage broker works for you, not the bank.

A broker can:

• Compare multiple lenders
• Explain refinancing options clearly
• Check if FastRefi is available
• Manage the entire process
• Minimise disruption and delays
• Support you long-term

For most clients, this service comes at no direct cost.