Should I refinance my home loan?
It’s worth looking at a home loan refinance when your loan no longer fits your life. Maybe your rate has drifted while new customers get better offers, or you now want something your current loan can’t do.
- Your fixed rate is about to end and you’ll roll onto a revert rate.
- Your property has grown in value, so you may have more equity.
- You’re juggling a car loan, cards or personal loans alongside the mortgage.
- You want an offset account, redraw or split loan your product lacks.
- Your income or household has changed and repayments need a rethink.
- Nobody has checked in years whether your loan still stacks up.
How does refinancing a home loan work?
At Loan Finder Store, home loan refinancing is handled by our home lending team at Ownright Custom Finance, the business Loan Finder Store is part of. You start with the same quick form, then our specialist home loan team takes it through a proper mortgage process.
- 1
Loan health check
We look at your current loan, the property’s estimated value, your income and your goals.
- 2
Options compared
The team compares suitable lenders and explains costs and trade-offs in plain English.
- 3
Application and valuation
Once you choose to apply, the new lender assesses your finances and usually values the property.
- 4
Discharge and settlement
Your old lender is paid out, the new loan begins and any extra funds are released.
How long does refinancing take? It varies with the lender, your situation and how quickly paperwork moves. A straightforward switch usually takes weeks rather than days, and you keep paying your current loan until settlement.
Can I refinance to consolidate debt?
Yes, many homeowners refinance to consolidate debt, rolling car loans, personal loans or credit cards into the mortgage. You end up with one repayment, usually at a home loan rate rather than a card rate.
You’d be in big company. RBA figures for May 2026 put the nation’s interest-charging credit card balances at about $19.4 billion.
Rather leave the mortgage alone? A debt consolidation loan combines debts without touching your home loan.
Can I release equity for a renovation or investment?
Often, yes. Equity is the gap between what your home is worth and what you owe, and a cash out refinance or loan top-up can turn some of it into funds for a project. Lenders look at the new loan against the property value, and whether your income supports the bigger loan.
| Project | Typical cost | Worth knowing |
|---|---|---|
| Kitchen renovation | About $15,000 to $50,000+ | Scope and finishes drive the price |
| Fibreglass in-ground pool | About $25,000 to $50,000 | Budget for fencing and landscaping too |
| Concrete in-ground pool | About $50,000 to $100,000+ | More design freedom, longer build |
| Home battery with solar | Varies by system size | Eligible batteries attract a federal discount of roughly 30% |
Smaller projects don’t always need a refinance. Renovation loans or solar loans can fund them without changing your mortgage.
What are the costs of refinancing?
Refinancing isn’t free, so what you save or gain needs to outweigh the cost of switching. Exact fees depend on your current and new lenders, and our team lists them before you commit.
- Discharge fee: charged by your current lender to close the loan.
- Break costs: possible if you leave a fixed-rate loan early, and they can be significant.
- Government fees: for registering the old mortgage’s discharge and the new mortgage; these vary by state.
- Application or settlement fees: some lenders charge them, some don’t.
- Lenders mortgage insurance (LMI): may apply if you borrow a high share of the property’s value, even if you paid it when you bought.
Can I refinance with bad credit?
Sometimes. A few missed payments or an old default doesn’t automatically rule you out, but it can narrow the lenders who’ll consider you. Specialist lenders look at what happened, how long ago and how your finances look now.
Being upfront from the start helps us target the right lender. If repayments are already a struggle, free and confidential support is available from the National Debt Helpline on 1800 007 007.
What you’ll need
- Photo ID for every borrower
- Proof of income: payslips, or tax returns for the self-employed
- Your current home loan statements
- Council rates notice or property details
- Statements for any debts you want to consolidate
- A realistic monthly living expenses figure
- Quotes, if you’re releasing equity for a project
Who it usually suits
- Homeowners with an existing home loan
- Stable income that supports the new loan
- Enough equity for what you want to do
- A reasonable recent repayment record
- Property that lenders accept as security
