Have a home loan you haven’t done anything with for a while? While it may seem like you can simply set and forget your home loan, it’s important to regularly review your mortgage and ensure it’s still meeting your needs. This is known as a home loan health check, and it can help you save money, pay off your loan faster, or even unlock equity to invest in property or other assets.
Let’s explore why you should have a home loan health check and how you can do it yourself.
There are several reasons why you should consider a home loan health check. Firstly, interest rates are constantly changing. You may be able to secure a lower rate just by refinancing your loan, saving you thousands over the long run.
Secondly, your financial circumstances may have changed since you first took out your loan. You may now have a higher income or more assets, allowing you to pay off your loan faster or expand your investment portfolio.
Finally, a home loan health check can help ensure your loan still meets your needs and goals.
To do a home loan health check, start by reviewing your current loan and comparing it to other home loans available in the market. Look for loans with lower interest rates or features that better suit your needs, such as a redraw facility or an offset account. Use our Loan Repayments Calculator to see how different loan options will affect your repayments and total interest paid.
If you find a new loan that meets your needs, the next step is to apply for refinancing. This involves submitting an application and supporting documentation to the lender, who will assess your eligibility for the new loan. Once approved, you’ll need to sign a new loan contract. You also may need to pay a few fees, such as discharge fees for your old loan and establishment fees for your new loan.
A home loan health check can help you save money, pay off your loan faster, and potentially unlock equity. To do a home loan health check, review your current loan, compare it to other home loans available in the market, and apply for refinancing if you find a better option.
Ready to start your home loan health check? Use our Loan Repayments Calculator to see your options. If you need assistance with your home loans in Australia, reach out to our team of mortgage brokers who can guide you through the process.
It’s important to regularly review your home loan to ensure it’s meeting your needs. Discover the benefits of a home loan health check and how to do it.
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We’ve worked with clients across Australia to access the different first home owner grants (FHOG) as well as the various stamp duty and other concessions that may be available depending on which state you are in. We can talk you through your various options as well as helping you compare things like buying vacant land vs. an established home.
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