Home Loan Refinancing

Savings depend on your current rate, your loan balance, and the new rate you qualify for. A 0.5% rate drop on a $450,000 loan saves ~$2,250 per year; a 0.8% drop saves ~$3,600 annually. Over a 25-year term, that’s $56,000–$90,000 in total interest saved. Andy runs a savings calculation using your actual loan details before you commit to anything.

The best time is when the rate saving or feature improvement outweighs the refinancing costs—typically when you can drop your rate by 0.4% or more, or when your current lender won’t provide features (offset, redraw, extra repayments) you need. If your fixed rate is expiring in 2–3 months, start now so approval is locked before you revert to a higher variable rate. Most Mandurah homeowners should review their loan every 2–3 years; rates and lender policies shift faster than people realise.

Yes—self-employed borrowers refinance all the time. You’ll need 1–2 years of tax returns, recent BAS statements, and a profit-and-loss or accountant’s letter depending on the lender. Some lenders accept single-year financials for established businesses; others want two full years. Andy knows which lenders are flexible with sole traders, contractors, and directors, and which ones will ask for three years of perfect paperwork. The key is matching your income documentation to the lender’s criteria before you apply.

No—you need 20% equity in your property (80% LVR or lower) to avoid Lenders Mortgage Insurance on the refinance, but you don’t need cash. If your property has appreciated or you’ve paid down your loan, you may already be below 80% LVR without realising it. Mandurah’s median house price growth over the last few years has pushed many borrowers into better LVR brackets automatically. Andy checks your current LVR as part of the comparison—if you’re above 80% but below 90%, refinancing is still possible; you’ll just pay LMI on the new loan if the lender requires it.

For PAYG employees: last two payslips, last two years of tax returns (or ATO notice of assessment), 3–6 months of bank statements, and your current loan statement. For self-employed: last two years of tax returns, recent BAS statements or profit-and-loss, business bank statements, and your current loan statement. For equity release refinances, you’ll also need builder quotes, renovation plans, or the investment property contract if you’re using the funds for a purchase. Andy provides a checklist tailored to your situation so you’re not hunting for documents twice.

3–4 weeks for straightforward loans (PAYG income, standard property, no complications). 4–6 weeks for self-employed borrowers or loans with equity release components. 5–7 weeks if a physical valuation is required or if the lender requests additional documentation mid-application. The timeline depends on how quickly you provide documents, how busy the lender’s credit team is, and whether your property valuation comes back at the expected value. Andy manages the process and keeps you updated at every stage so there are no surprises.

Refinancing generates a credit enquiry, which appears on your credit file and may lower your score by 5–10 points temporarily. The impact is minimal and recovers within a few months as long as you continue making repayments on time. Multiple refinance applications within a short window (for example, applying directly to 4 lenders in one month) will hurt your score more than one broker-submitted application, because each lender enquiry is logged separately. Andy submits one application to the best-fit lender, so your credit file shows one enquiry, not four.

It depends on your current LVR. If your property value has dropped but you’ve paid down enough of the loan to keep your LVR below 80%, most lenders will still refinance you. If the drop pushes you above 90% LVR, your refinancing options narrow significantly—some lenders won’t touch high-LVR refinances, and those that do will charge LMI. Andy checks your property’s current estimated value (using recent sales in your street and suburb) before lodging an application, so you know where you stand before the formal valuation.

Your existing offset account closes when you discharge your old loan, and any funds in it are returned to you (or transferred to your new loan’s offset if the new lender offers one). If your new loan includes an offset account, you can deposit the funds there immediately and continue offsetting interest. If your new loan doesn’t have an offset, those funds sit in a regular transaction account and don’t reduce your interest. Andy highlights offset availability during the lender comparison so you’re not surprised after settlement.

Minor credit issues (one missed payment 18+ months ago, a small default that’s been paid) won’t necessarily disqualify you, but they’ll limit your lender options and may result in a higher rate. Recent defaults, multiple missed payments, or discharged bankruptcies will make mainstream refinancing difficult; you’ll need a specialist non-conforming lender, and rates will be higher. Andy assesses your credit file before applying and recommends whether to proceed now, wait 6–12 months for the issues to age off, or go straight to a specialist lender if time-sensitive.

You can refinance directly with a lender, but you’ll only see that lender’s rates and features—and you’ll handle all the paperwork, liaison, and settlement coordination yourself. A broker compares 40+ lenders in one conversation, negotiates on your behalf, and manages the process so you’re not chasing updates or translating policy documents at 9pm. Andy’s service is free to you (lenders pay the broker fee), and his clients typically save more on the rate negotiation alone than they’d achieve going direct. The value isn’t just the rate—it’s the time saved, the features explained, and the certainty that the loan suits your situation before you sign.