A structured refinance review, not a rate chase

Our refinancing page sets out refinancing as a product — what it is, when people consider it and the practical steps involved. This page is about working with a broker to run a structured refinance review of your own situation: your repayments, equity, offset and redraw use, loan structure and, for investors, the tax context. Both are general information. Whether refinancing suits you, and whether a lender will approve it, depends on your circumstances and the lender’s assessment of your application.

How we are paid: Eternity Mortgage Solutions typically receives commissions from the lender for loans arranged on your behalf. A full explanation of how we are paid, our lender panel and any potential conflicts of interest is provided in our Credit Guide and Credit Proposal Disclosure document, available on request before any loan application is submitted.

Not necessarily. A refinance review looks at more than the headline figure — it weighs any change in repayments against switching costs, the remaining loan term, break or discharge fees and whether lenders mortgage insurance might apply again. Extending your loan term can lower a monthly repayment while increasing the total interest paid over time. We set out the trade-offs so you can decide with the full picture. We do not promise savings, and any outcome depends on the lender assessing your application against their lending criteria.

Repayment pressure is one of the most common reasons people ask about refinancing, but it is not the only option to consider. Depending on your situation, restructuring the existing loan, adjusting the term, or reviewing your wider budget may also be relevant. Refinancing can help in some cases and may not be available in others, particularly if your income or equity position has changed. We talk through what is realistic before you apply, because a declined application can affect your record. Approval ultimately rests with the lender.

Equity is the difference between your property’s likely value and your loan balance, and it shapes what is possible. A stronger equity position can affect the loan-to-value ratio, whether lenders mortgage insurance applies, and whether you can release funds for renovations, a deposit on another property or consolidating debt. We work through your estimated position, but the figure that counts is the lender’s valuation, not an estimate. What you can do with equity depends on that valuation and the lender’s criteria.

Possibly, and this is where having accounting in the same practice helps. With an investment property, interest deductibility depends on how the borrowed money is used, not on the property securing the loan. Restructuring, consolidating or redrawing can blur the purpose of a loan and affect deductibility. We can flag these issues during a refinance review and coordinate with your accountant. This is general information only — confirm the tax position for your situation before you act, because it depends on your circumstances.

An offset account is a separate transaction account whose balance reduces the interest charged on your loan, while redraw lets you pull back extra repayments you have already made. They behave differently for flexibility and, for investors, for tax purposes, because redrawing can change the deductible portion of a loan. When you refinance, the features available can change between lenders and products. We explain how offset and redraw would work under the structures you are considering so the choice is deliberate. Our loan features page covers this in more depth.

Timeframes vary by lender, the complexity of your application and how quickly documents and a valuation can be completed — it often takes several weeks. No approval is assured. A refinance is a fresh application, so the lender reassesses your income, expenses, credit history, the property valuation and the loan against their current criteria. We help you prepare a complete application to reduce avoidable delays, but the decision and the conditions attached to it rest with the lender.