When to Refinance Mortgage and When Not To

When you need the services of refinance mortgage Perth, it takes some consideration before you finally decide whether refinancing is what is right for your mortgage.

When to Refinance Mortgage in Perth

  • If your current interest rate is a lot more or above others in the market. This is the right time for you to refinance as you will be given here the luxury of paying a lot less than your initial plan.
  • To consolidate all your existing debts just to one.
  • If there is a major shift in your finances. Refinancing making you afford to pay and shorten the life of your mortgage. Promotion at work is a good example.
  • When you need to get a lump sum of cash for home renovations or potential investment.
  • When you are looking at changing your loan to a fixed rate to make it more manageable.
  • If you’re aiming to lower monthly payments for your home loan.

When Not to Refinance Mortgage in Perth

  • When you are planning to move out from your property.
  • After the assessment, you see that the cost of your refinancing outweighs your intention to save money.
  • If you are uncertain with your current income or can be you are expecting significant changes in the flow of your finances. It can be a promotion or demotion to the current job post.
  • In case your credit history is poor or you have records of non-payment or even late payments, the decision of refinancing may not be ideal at this time. Strengthen your score first before refinancing.
  • If you are not sure on how refinancing your mortgage can help you. You would never want to take the risk of working on refinancing just because someone told you so.