FAQ: What are the Costs of Refinancing a Mortgage?
What are the Costs of Refinancing a Mortgage?
Refinancing can be useful, potentially allowing you to access the equity you have in your property, get on top of debt or save money. However, there are also potential costs (both direct and indirect) that you should be aware of before you decide to refinance.
Costs of refinancing a home loan, investment property loan or commercial property loan may include:
New loan fees
- application, establishment and registration fees
- valuation fees
- mortgage insurance (depending on the loan-to-valuation ratio)
Current loan fees
- early payment or settlement penalties and fees
- discharge fees
While refinancing can save you money, you can also end up paying more interest over the life of the loan if you add additional time to your existing loan period.
To find out whether refinancing is the right option for you, please complete a quick Home Loan Check-up, send us an online enquiry, or call 1300 STRATTON (1300 787 288) to speak with one of our experienced Property Finance Consultants.
Please note that this information is of a general nature only. You should consult an accountant to obtain information specific to your situation.
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