The mortgage broker’s role is to simplify the process for the home buyer. With the possibility now of rising interest rates a stark reality, existing mortgage holders will be keen to minimise the impact of higher standard variable mortgage rates.

Mortgage refinancing has become an extremely popular way for borrowers to save on their monthly repayments and to switch to more favourable terms with another lender. In making a home loan comparison, a borrower will look at a range of factors, including monthly repayments, but also the features and benefits of one product against another.

Mortgage refinancing is a competitive market and a borrower who does their homework can take advantage of the many offers in the marketplace. The best home loan for your needs today may not be the one you have at present.

Do you know if your current home loan is working as well as you’d hoped it would? Perhaps your mortgage needs a health check? A refinancing exercise gives you the ability to change your home loan to suit your changed needs and to take advantage of better opportunities.

Your home loan may be your largest financial commitment. Rising or falling interest rates can have a big impact on how much you pay back each month and how much you pay in interest over the life of the loan. By switching loans you could save yourself thousands of dollars in interest or take advantage of features offered by another loan.

There will be a number of circumstances that may arise that can prompt a search for the best home loan for your changing needs. You may want to examine refinancing your mortgage in order to renovate your home. You may be seeking to pay off your debts quicker; you may simply want to lower your monthly repayment plan. A home loan comparison – a home loan ‘health check’ – will help you assess the pay-out costs on your existing loan – and may result in the opportunity to cut your repayments drastically, even freeing up cash to improve your home.

The best mortgage for you under your changed circumstances may involve switching to another lender. There is no ‘betrayal’ factor here. It is common and indeed, it is becoming far more frequent than it has been at any time hitherto. Anecdotal evidence from a number of mortgage broking groups suggest that up to 25% of all home loans generated are people switching from one provider to another.

A number of mortgage brokers will, in quiet times, promote the benefits of switching providers or referencing for other purposes. The exercise of switching for interest rate savings may or not be worthwhile but refinancing certainly can be an opportunity to release funds for raising a deposit for an investment property; raise money for renovation or allow for the consolidation of other loans.

Loan consolidation has become a tool for home borrowers to reduce the amount of money going into loan repayments. By consolidating a number of loans such as credit cards and personal loans into the one loan – the principal home mortgage – a borrower can significantly reduce their monthly repayments. A mortgage broker can assist in the application for refinancing.