Refinancing in 2021

A common dilemma borrowers face when refinancing is…should we fix all or part of our loan or should we stay variable?

We often recommend our borrowers do both! Part fixed and part variable, this way you get the best of both options - flexibility with reducing debt on the variable and interest cost reduction on the fixed portion.

Here in Australia, we are currently experiencing the lowest home loan rates in history.
As a broker and home loan borrower (yes, even we brokers have home loans), never did I, and many others ever believe we would be seeing interest rates under 5%, let alone under 3%, and I am from a generation that was paying 17.4% in 1988!

Refinancing owner-occupied home loans as well as investment home loans is saving people thousands in interest costs with these current crazy low rates, so you should take advantage.

Some lenders are happy to re-price your current home loan to keep you from switching to another lender, saving you even more!!

So, you may want to seriously think about refinancing and the benefits for your situation. As an example, if you can save around 0.70% on a home loan of $350,000, that’s savings of about $2450 per year, or around $24,540 over ten years. That’s real money!  


The RBA kept the cash rate unchanged again this month, no surprise. The most common consensus is rates should remain low for a couple more years so if you can save now, you should do so.

And make sure to get your finances in order as the year is flying by - it’s already March! Please call me on 0438 041 111 to arrange a confidential discussion and get things started.

As always, enjoy life, work hard, play safe and remember that we are always here to help you

‘Take the Confusion Out of Lending’ 

All the Best

Peter Vinci - 0438 041 111