Refinancing your home loan.
IS YOUR HOME LOAN STILL WORKING FOR YOU?
Smarter refinancing solutions tailored to your goals, and future plans.
As your circumstances change, your mortgage may no longer be the best fit. Orange Home Loans compares options from more than 30 lenders to find a refinancing solution that suits your goals, not just a competitive rate. Whether you want an offset account, redraw facility, or to access equity for renovations or debt consolidation, we manage the process and help you refinance with confidence.
What Is a Home Loan Health Check?
A Home Loan Health Check is a no-obligation review of your current home loan and a quick, hassle-free way to find out whether your mortgage is still competitive, without committing to anything. In one quick conversation, we can cover:
If your loan checks out, you get peace of mind. If it doesn’t, you’ll know exactly what a better home loan rate could look like and what it would take to get there. Either way, a mortgage health check every year or two is one of the simplest financial habits you can build.
Download our guide to refinancing your home loan.
As time goes on, your situations and needs change. Have you started a new job? Welcomed a new family member? Perhaps you’re looking for a better interest rate or finally ready to kick off that renovation project. Whatever the reason, it’s the perfect time to review your options.
WHAT TIME IS THE RIGHT TIME
When Should You Refinance Your Home Loan?
Of course, not all of these features will be available on every loan. You can ask us about any that interest you.
End of Term
Your fixed-rate term is coming to an end, and you’re about to roll onto a higher variable rate.
Increased Rates
Interest rates have moved, and your lender hasn’t passed on a competitive deal.
Things have changed
Your circumstances have changed: A new job, a growing family, or a jump in your property’s value.
Not needed features
You’re paying for loan features you don’t use, or missing ones you now need.
Consolidate
You want to consolidate other debts or fund a renovation
As a general rule, it’s worth giving your mortgage a health check every one to two years. Even if you end up staying put, you’ll know your loan is still competitive. Our guide to changing your home loan is a good place to start.
Could Refinancing Help Lower Your Repayments?
For most people, this is the big question, and often the answer is yes.
Even a small difference in your interest rate can add up to thousands of dollars over the life of a loan. A home loan refinance can also let you restructure your loan term or switch repayment types to ease pressure on your budget.
You can get a feel for the numbers with our loan repayment calculator, or use the mortgage switching calculator to see what changing loans could mean once fees are taken into account. When we review your current home loan, we’ll run these numbers for you and explain exactly what a switch would look like.
BENEFITS IN REFINANCING
Why People Refinance
Refinancing After Interest Rate Increases
When the cash rate moves, lenders don’t all respond in the same way, and existing customers often end up paying more than new customers at the same bank. If your repayments have crept up over the past few years, you may be paying a loyalty tax without realising it.
Refinancing after rate increases isn’t always about jumping ship. Sometimes the strongest outcome is using a competing offer to negotiate a better home loan rate with your existing lender. Either way, a quick mortgage health check will show you where you stand, and it costs nothing to find out.
Debt Consolidation Through Refinancing
Credit cards, personal loans, and car loans typically charge much higher interest than a mortgage. Refinancing can allow you to consolidate these debts into your home loan, replacing several repayments with one at a much lower rate.
The catch to watch: stretching short-term debt over a 25-30 year loan term can cost more in total interest, even at a lower rate. Our usual advice is to keep your overall repayments at the same level after consolidating, so the savings go into paying the debt down faster rather than extending it. We’ll model both paths for you before you commit.
Reviewing Fixed vs Variable Home Loans
Refinancing is the natural time to revisit your loan structure.
• Fixed - Certainty over repayments for a set term.
• Variable - Flexibility, offset, unlimited extra repayments.
• Split - Part fixed for stability, rest variable.
There’s no single right answer; it depends on your income, plans, and appetite for rate movement, which is exactly what we work through with you.
Using Refinancing to Fund Renovations
If your property has grown in value, refinancing can unlock that equity to fund a renovation, often at a far lower rate than personal finance. Depending on the project, that might mean a simple loan top-up or restructuring your loan with a redraw facility to draw funds as the work progresses. Done well, a renovation funded through refinancing can improve your lifestyle and add value to your home at the same time. We’ll help you work out how much equity you can access and which lenders are the best fit for renovation funding.
How Orange Home Loans compares lender options
As a refinance home loan broker, we’re not tied to any one bank. We compare different loan types and typical loan features across a panel of more than 30 lenders, then shortlist the options that genuinely suit your situation, not just the lowest headline rate.
We handle the comparison, the paperwork, and the negotiation, and we’ll explain how the loan process works at every step. If you’ve been searching for a refinance broker near you, we’re based in Moonee Ponds and provide mortgage refinance support across Melbourne, in person or over the phone.
Frequently Asked Questions About Home Loan Refinancing
Costs & whether it’s worth it
What are the costs involved when switching home loans
Mortgage switching does come with costs, and it’s important to weigh them against the savings. Depending on your loan and lender, these can include:
- Discharge fees from your current lender.
- Break costs if you’re exiting a fixed-rate loan early.
- Application, valuation, and settlement fees with the new lender.
- Government mortgage registration fees.
- Lenders mortgage insurance (LMI), if you’re borrowing more than 80% of your property’s value.
In many cases, these costs are recovered within the first year or two of savings, but not always, which is why we always run the numbers first. Our mortgage switching calculator gives you a quick estimate, and a Home Loan Health Check gives you the full picture.
How do I know if refinancing is worth it?
Compare the total savings against the total switching costs. If the savings outweigh the fees within a reasonable period, often one to two years, refinancing is usually worth considering. A Home Loan Health Check or our mortgage switching calculator will give you the numbers you need.
How much could refinancing save me?
It depends on your balance, rate, and loan term, but even a modest rate reduction on an average Melbourne mortgage can mean thousands to tens of thousands of dollars over the life of the loan. We’ll calculate your actual potential savings as part of a Home Loan Health Check.
What does it cost to refinance?
Typically, a few hundred to a couple of thousand dollars, covering discharge fees, new-loan setup fees, and government registration fees, more if fixed-rate break costs or LMI apply.
Is refinancing worthwhile after fees?
Often, yes, many borrowers recover their switching costs within the first year or two of savings. But not always, which is why we run the full numbers before recommending a switch. If it doesn’t stack up, we’ll tell you.
What fees and costs are involved in switching mortgages?
Possible costs include discharge fees, fixed-rate break costs, application and valuation fees, and government charges, though these are often offset by the savings. Use the mortgage switching calculator for an estimate specific to your loan.
Timing & process
How often should I review my home loan?
Every one to two years, or whenever your circumstances change significantly. Lenders reserve their sharpest offers for new customers, so a loan that was competitive when you took it out may not be today.
Can I refinance a fixed-rate loan?
Yes, but break costs may apply if you exit before the fixed term ends. Sometimes the savings still justify it; often, it’s better to time your refinance for the end of the term. See our fixed home loans page for more on how break costs work.
How long does refinancing take?
Usually two to six weeks from application to settlement, depending on the lender and how quickly documents come together. We manage the process end-to-end. Here’s how the loan process works.
Should I speak with a mortgage broker before refinancing?
Absolutely. A professional and award-winning team like Orange Home Loans takes the stress out of the process by reviewing more than 30 lenders to find a tailored fit. We handle the heavy lifting, from managing the paperwork to potentially negotiating a more competitive rate with your existing bank so you can stay put. Whether you switch or stay, we ensure you move forward with absolute confidence.
Loan types, equity & borrowing
Can I refinance an investment property?
Yes. Investment loans can be refinanced for the same reasons as owner-occupier loans: a better rate, improved features, or equity access. See our investing in property page for more.
Can I refinance to fund renovations or purchase another property?
Yes, if you have enough equity, refinancing can release funds for a renovation or a deposit on your next property. We’ll help you work out how much equity you can access and structure the loan appropriately.
Can I get a mortgage with lower repayments than what I’m paying now?
It’s always worth checking whether your current loan still suits your needs. Your rate, loan type (fixed, variable, interest-only, or line of credit), and features all affect your repayments, and all of them are on the table when you refinance.
Can I consolidate all my debts into a home loan?
This is one of the most common reasons people refinance. The advantage is that mortgage interest rates are much lower than most other forms of debt. With sufficient equity, consolidation is usually possible. We recommend keeping your repayments at their current level afterwards so you pay the debt down faster.
How much money can I borrow?
Every lender assesses borrowing power differently. Our borrowing power calculator gives you a quick estimate, and we’ll confirm your actual position across lenders when we talk.