Refixing Your Mortgage: When, How and What to Consider

1. Timing Matters Start reviewing your options a few months before your fixed rate ends. This gives you time to shop around, weigh up your options, and avoid rolling onto a higher default rate. If you’re looking at going to a different bank, you will need to get it sorted earlier than a simple refix. 2. What Are Rates Doing? Understanding where interest rates are heading can help you decide how long to fix for. Fixing short can give you flexibility, while fixing longer might provide peace of mind if rates are expected to rise. Talk to me and we can go over what the rates are doing at the time you’re looking to refix. 3. Can you get a cashback? WHen you first got your mortgage, you would have received a lump sum from the bank to sign with them. It usually requires a 3 year term to stay with that bank, once that period is over you can move banks and get another cashback or ask your current bank for a retention fee to keep you! If you don’t ask, you won’t get. I’m happy to ask multiple banks on behalf of you. 4. Do You Want Flexibility? Think about whether you need features like lump sum repayments, early repayments, or access to offset accounts. Some loan structures give you more freedom to make extra progress. 5. Splitting the Loan Splitting your mortgage across multiple fixed terms or between fixed and floating can give you a balance of stability and flexibility. It is a good way to reduce risk while keeping options open. 6. Review Your Repayment Amount If your new rate is lower, consider keeping your repayments the same. You are already used to that amount, and the extra money will go toward paying off your loan faster. Final Tip Refixing is not one size fits all. What worked for you two years ago might not be right now. If you are unsure what the best option is, I can help walk you through it and make sure you lock in something that aligns with your goals.