Regularly reviewing your home loan and overall financial position is the key to becoming debt free and setting yourself up for a lifetime of financial success. No matter your reason for refinancing, Lifestyle Loans is here to assist. Our expert mortgage consultants will guide you through every step, ensuring you find the best new loan from our competitive range of providers. We’ll make sure any changes to your loan leave you in a better financial position than before.
Frequently Asked Questions
Refinancing involves replacing your current mortgage with a new one, typically to secure a better interest rate, consolidate debts, or access home equity. Conduct a free loan health checktoday to find out if your current loan is still the right product for you.
Lower Interest Rate: A lower rate means reducing your repayments and overall interest paid. The money is better in your pocket than the banks!
Access Equity: If you have equity in your home, we can access this via a refinance for home improvements, debt consolidation or other major expenses.
Consolidate Debt: Refinancing can help you consolidate high-interest debt, such as credit card balances, into a lower-interest mortgage, potentially saving you money on interest and simplifying your payments.
Improve Financial Stability: Adjusting your loan terms to better fit your current financial situation can provide more stability and peace of mind.
Conduct a free loan health checktoday to find out if your current loan is still the right product for you.
Equity is the amount your property is currently worth, less the amount of any existing mortgage on your property. A cash-out refinance allows you to take out a new loan for more than you owe on your current mortgage and receive the difference in cash. This can be useful for purchasing another property, purchasing a car, home improvements, debt consolidation, or other major expenses.
Here’s how we determine how much equity you have in your home when refinancing:
Property Valuation: Each lender assesses your property’s value differently, with some offering higher valuations than others. Allow our panel of lenders to evaluate your property and identify which one can provide you with the most equity.
Current Loan Balance: Let us know what your current loan balance is by checking your latest home loan statement.
Access Your Equity: For example, if your home is worth $800,000 and you owe $500,000 on your current home loan, you have $300,000 worth of equity. Lenders will let you increase your borrowing up to 80% of the property value without needing to pay LMI. This means you could access $140,000 worth of equity.
If you need help with these calculations or want to explore refinancing options, get in touch with one of our lending specialists today. They can provide personalised advice based on your specific situation.
