How to Refinance Home Loans in Australia

Why Do Australians Refinance Their Home Loans?

Refinancing is more than just a money-saving strategy. It’s a way to take control of your financial future. Whether you’re looking for more flexibility, better features, or to free up cash, Australians refinance their mortgages for many reasons.

Here are the most common:

1. Secure a Lower Interest Rate

This is the number one reason most homeowners refinance. Even a slight drop in your rate, say, from 6.5% to 5.9%, can save you thousands over the life of your loan.

Tip from Stryve: Compare your current rate with the market average. If you’re more than 0.5% above, it may be time for a home loan refinance calculator to see your potential savings.

2. Access Equity in Your Home

Built up value in your property? Refinancing lets you unlock that equity to fund renovations, invest in property, pay school fees, or even take a holiday.

Example: If your home is worth $800,000 and you owe $500,000, you may be able to access part of the $300,000 in equity.

3. Change Loan Structure or Features

Do you want to move from a fixed to a variable rate? Or you’d benefit from features like an offset account, redraw facility, or interest-only repayments. Refinancing allows you to switch to a more flexible product that suits your needs.

4. Consolidate Debt

Do you have multiple debts, credit cards, personal loans, or car finance? Refinancing allows you to roll them into your mortgage, often at a lower interest rate. It can simplify your finances and reduce your overall monthly commitments.

5. Your Financial Circumstances Have Changed

Maybe your income has increased. Maybe you’re starting a family or planning to retire. Life changes and your mortgage should change with it. Refinancing ensures your loan is still the best fit for your current stage of life.

When Is the Right Time to Refinance?

Knowing when to refinance is just as important as why. Many Australians miss out on savings simply because they’re unsure if the timing is right or assume refinancing is only worth it during a rate-cut cycle.

Here are some key signs it might be time to take action:

1. Your Fixed Rate Term Is Ending: If you’re nearing the end of a fixed-rate period, it’s a great opportunity to review your options. Many lenders will automatically shift you to a higher variable rate, so comparing new offers before that happens can lead to real savings.
2. Your Current Interest Rate Is No Longer Competitive: Interest rates and the market move. You could leave thousands on the table if you’re still paying what you locked in years ago. Use a refinance mortgage calculator to see how much lower repayments could be with a competitive rate.
3. Your Financial Position Has Improved: Whether you’ve increased your income, paid down debt, or grown equity in your home, lenders may now offer you better loan terms than before.
4. You’ve Had the Same Loan for 2+ Years: Even if you’re happy with your lender, your loan may no longer be the best fit. Mortgage products evolve, and better deals appear regularly.
   Stryve Tip: Schedule a monthly mortgage health check every 2–3 years to align your loan with the market and your goals.
5. You Want to Restructure or Consolidate Debt: If you’re juggling credit cards, personal loans, or car finance, refinancing into one consolidated loan can reduce your total repayments and simplify your budget.

Refinancing doesn’t have to be stressful; waiting too long could cost you more than you think.

How Does Refinancing Work in Australia?

If you’ve never refinanced, the process might seem complicated, but it’s more straightforward than you think, especially when an experienced broker backs you.

At Stryve Finance, we guide you through every stage of the journey, keeping it stress-free, clear, and aligned with your financial goals.

Here’s a closer look at how refinancing a home loan in Australia works, step by step:

Step 1: Review Your Current Home Loan

Before you make any changes, it’s important to understand the terms of your existing mortgage. What interest rate are you currently paying? Are there any helpful features like an offset account or redraw facility? Are you on a fixed or variable rate, and is there a break cost if it is fixed?

You should also check for discharge fees or any charges for exiting your current loan early. At this stage, Stryve Finance will help you assess whether your loan is still competitive in today’s market and if refinancing could help you pay less or achieve more flexibility.

We’ll run the numbers, explain your options, and show you whether sticking with your current loan or switching could put you in a better financial position.

Step 2: Compare Home Loan Options

Now that we’ve reviewed your current situation, it’s time to consider your future options. This is where using a mortgage broker becomes incredibly valuable. At Stryve, we have access to a wide panel of lenders, from the big four banks to smaller institutions, and we don’t just look at rates. We look at the whole picture.

We compare:

• Interest rates (fixed and variable)
• Loan terms and repayment flexibility
• Features like offset accounts, redraws, and split loans
• Upfront and ongoing fees
• Any cashback offers or refinance incentives

Your financial goals guide our recommendations, whether you’re aiming to reduce repayments, access equity, or consolidate debt. We’ll shortlist the most suitable loans so you can confidently make an informed decision.

You don’t have to spend hours on comparison sites; we’ll present you with the right options in one place.

Step 3: Submit Your Application

Once you’ve selected your preferred loan, it’s time to apply. Don’t worry, we take care of the paperwork. We’ll collect the required documentation, prepare your application to meet lender expectations, and handle any questions.

You’ll typically need:

• Proof of ID (e.g. driver’s licence or passport)
• Recent payslips or tax returns if self-employed
• Home loan statements from your current lender
• Details of any debts, savings, or other assets

Our team ensures the application is thorough and accurate, reducing delays and increasing your chances of fast approval.

We remove the hassle, so you can focus on your goals while we focus on your paperwork.

Step 4: Approval and Property Valuation

After submission, the lender will assess your application to ensure it meets their lending criteria. They’ll also arrange a valuation of your property to determine how much equity you hold and verify its current market value.

This stage is about confirming that you’re a good match for the new loan and that the loan size makes sense relative to your home’s worth. At Stryve, we follow up consistently to keep the process moving and update you every step of the way.

Most lenders cover the valuation cost, and we’ll let you know if any fees apply upfront.

Step 5: Settlement – Out with the Old, In with the New

Once the lender approves the loan, we’ll help coordinate settlement, the point at which your new lender pays out the existing loan and your refinanced mortgage officially begins. If applicable, this is also when any equity release or debt consolidation occurs.

Your new repayments kick in from here, and you’re on your new loan, ideally with better rates, more suitable features, and a more straightforward path to your financial goals.

We ensure everything is finalised correctly and on time and remain available even after settlement to help with any questions or reviews later on.

Costs and Considerations of Refinancing

While refinancing your home loan can lead to significant savings or provide much-needed flexibility, it’s essential to understand the potential costs involved. Just like any financial move, refinancing comes with a few expenses, some upfront and some ongoing, and knowing what to expect ensures there are no surprises.

At Stryve Finance, we believe in complete transparency. We help you assess whether refinancing is possible and worth it.

1. Discharge or Exit Fees

Most variable rate loans have minimal or no exit fees, but if you’re on a fixed-rate loan, there may be a break cost, especially if rates have changed since you fixed.

Stryve will calculate any break costs upfront and factor them into your decision-making process.

2. New Loan Setup Fees

When you refinance, the new lender may charge:

• Application or establishment fees
• Valuation fees (to assess your property’s current market value)
• Settlement fees
• Title registration and mortgage registration fees

The good news is that many lenders waive fees as part of refinance promotions or offer cashback deals (sometimes up to $3,000) to help offset them.

We’ll walk you through which lenders offer cashback or low-fee refinancing right now.

3. Time and Effort (But We’ll Handle Most of It)

Technically, refinancing requires paperwork, ID verification, and documentation but working with a broker removes 90% of the legwork. At Stryve, we manage the application, deal with the banks, and keep everything on track, so your time commitment is minimal.

Want to Know If Refinancing Is Right for You?

Our free Home Loan Health Check only takes 15 minutes and it could save you thousands.

• 📞 Book a consultation with a Stryve mortgage specialist today
• 📊 Try our refinance mortgage calculator to compare repayment options
• 📝 Get a custom refinance proposal, no obligation, just clarity

Common Myths About Refinancing in Australia

Refinancing can sound intimidating, and unfortunately, a few persistent myths stop people from even exploring it. Let’s clear those up because the truth is that refinancing is more accessible than most think.

Myth 1: “Refinancing is too hard”

Truth: With a mortgage broker like Stryve, most of the heavy lifting is handled for you. We manage the paperwork, deal with the lender, and guide you through every step.

Myth 2: “You always have to change banks”

Truth: Not necessarily. You can refinance with your existing lender under a new product or switch to another lender, whichever makes the most financial sense.

Myth 3: “You need a huge loan for it to be worth it.”

Truth: Even a 0.5% drop in interest can save thousands over the life of your loan, no matter the size. Every bit of saving counts.

Myth 4: “Refinancing comes with massive fees.”

Truth: Some fees apply, but lender cashback offers or lower rates often offset them. We calculate your break-even point before you commit.

Myth 5: “I’ll hurt my credit score.”

Truth: One refinance application has a minor, temporary effect. Over time, saving money and improving cash flow can improve your credit score.

Ready to Explore Your Refinancing Options?

Refinancing doesn’t have to be complicated and it shouldn’t feel like guesswork. Whether you want to reduce your repayments, access equity, or restructure for more flexibility, Stryve Finance will help you do it clearly and confidently.

With access to 40+ lenders and tailored advice from real people (not call centres), we make refinancing smarter, faster, and stress-free.

Want expert help navigating your options? Explore our Refinancing home loan services to see how Stryve can lower your interest or help you release equity.