Are you flushing money down the drain by putting off refinancing?

Are you flushing money down the drain by putting off refinancing?

Every year thousands of Kiwi families flush their hard earned dollars down the gurgler because they put off the simple act of refinancing their mortgage. If you’re overdue, rest assured that it’s much easier than you may think!

While there are no hard rules about refinancing, it makes financial sense to review the loan when your individual circumstances change.

For example, you may be growing your family, moving to a new location, or getting married.

There are also plenty of reasons that exist outside personal circumstances, including the major financial benefits it can offer, and we’ll run through some of these below.

Refinance to get a better rate

Refinancing does not always have to mean changing banks.

There are hundreds of circumstances in which borrowers refinance their loans to get a better rate from their bank.

The mortgage market is very competitive, and a deal signed two years ago may not be in your best interest today.

However, if your bank is not in a position to offer you a better rate, there are many lenders in the market who can get you a better deal.

Lock in a great rate

But remember the cost of your mortgage is not just about the interest rate but about the Time you take to repay the home loan.  Interest + Time.  We can show you hot to structure your home loan so you have both flexibility and choices.

Consolidate debt

Refinancing helps to reduce the interest payable on the different loans you have, which can include credit card, car loans or personal loans.

It basically involves combining all the loans into a new mortgage, giving you one simple repayment to make each month instead of a bunch of them – which can lead to late fees if you forget one.

The best news? All your debts are charged at the home loan interest rate – which is usually much lower than a credit card rate!  NB This needs to be done carefully and with thought.

Increase your investment

If you are looking at your investment options but are financially constrained, it’s time to consider refinancing your mortgage.

One reason to do so is to buy another property.

Refinancing in this circumstance makes a lot of sense because you will have enough equity in your property, which may enable you to make another house purchase.

Get in touch

If you’re feeling like it’s probably time you should refinance your home loan, but are simply too busy to do so, then we’ve got great news for you: our job is to make it super quick and easy!

In fact, we can help make the whole process so stress free you’ll be kicking yourself for not doing it earlier.

So if you can identify with any of the above reasons to refinance you home loan, feel free to get in touch with us today!

Beryl – Welcome to the Bricks & Mortgages website. At Bricks & Mortgages we pride ourselves on providing you with professional advice on reducing your mortgage and getting ahead in the property market.

Our team has years of combined mortgage broking and lending experience. We will have an ongoing relationship with you for the lifetime of your loan, including an annual review of your financial goals.