Whether you’re looking to save on interest fees or seeking more flexible terms, refinancing your home loan could be the right move to optimise your financial standing. In fact, refinancing has led to an upwards trend among Australians in the past three years and hitting a soaring rate of 13.8% in the 2023 financial year[1].

If you’re looking to refinance for 2024, we’ve broken down your top five questions to consider, helping you make the best choice for your homeowner needs.

Is refinancing the right choice for me?

Refinancing could be an effective strategy to save money and acquire more flexibility with your payments. A few key reasons to consider refinancing may include:

  • Lower interest rates: Refinancing allows you to switch to a loan with a lower interest rate. This could lead to significant savings over the life of your loan, reducing your monthly repayments and overall interest payments.
  • Access to equity: Over time, the value of your home may increase, leading to an accumulation of equity. Refinancing allows you to tap into this equity and acquire funds for home improvements, re-investing, and other financial plans.
  • Flexible loan terms: Depending on your needs, you may also consider switching to a loan with a shorter or longer term, or switch from a fixed home loan rate to a variable rate. This allows you to tailor your loan terms to better meet your current financial circumstances.
  • Debt consolidation: Refinancing offers an opportunity to consolidate high-interest debts, such as credit cards or personal loans, into your mortgage. This could simplify your financial obligations and potentially reduce your overall interest costs.

You can learn more about refinancing in our video for more information:

What’s the difference between a fixed home loan rate and variable home loan rate?

While a fixed home loan involves a constant interest rate over a specified period of time (typically 1-5 years), variable interest rates fluctuate in response to market conditions. This means changing economic factors may impact your repayments in the long term. Fixed home loans, are shielded from rising interest rates and have the advantage of rate certainty, which could help from a budgeting perspective.  

However, switching to a variable rate could also have its benefits. It could offer the potential for savings, as when the interest rate market declines – so do your repayments. Certain variable loans, such as our Low Cost Home Loan and our No Frills Home Loan, may also allow additional repayments without penalties. If you can manage some level of uncertainty and are looking to possibly save money, a variable rate may be more appropriate.


Possessing a higher level of equity demonstrates greater investment in your home, which could give lenders more confidence in your commitment to the loan.


How much equity do I have in my home?

You could assess your equity by subtracting your outstanding mortgage balance from the current market value of your property. While some may choose to spend their equity on renovations, luxuries, or to pay off debt, it could also be used as leverage when finding competitive interest rates from new lenders.

Possessing a higher level of equity demonstrates greater investment in your home, which could give lenders more confidence in your commitment to the loan. In turn, they may offer you a more favourable interest rate.

Moreover, it is generally recommended to have at least 20% equity before refinancing[3]. Falling below this threshold may require you to pay lender’s mortgage insurance (LMI) once again, leaving you with additional costs in the process.

What are the costs of refinancing?

Switching to a new home loan could come with various costs, particularly if you’re moving to a different lender. Mortgage application fees are typically imposed by new lenders to process your loan application. Discharge fees, associated with paying off your existing mortgage, may be levied by your current lender.

Additionally, property valuation fees may apply as new lenders assess the current value of your property to determine the loan amount. If you’re moving from a fixed-rate loan before its agreed term, break fees may also apply to compensate the lender for the interest income they would have earned.

Furthermore, it’s important to consider settlement costs, which cover legal and administrative expenses. Having transparent communication with your lender could thus help you weigh out the potential savings against these upfront costs.

Our Low Cost Home Loan offers a combination of affordability and flexibility, providing a low variable interest rate, free multiple offset accounts, and instant redraw


What are my refinancing options?

If you’re looking to refinance for 2024, we offer award-winning home loans at competitive interest rates. These include:

Low Cost Home Loan

Our Low Cost Home Loan offers a combination of affordability and flexibility, providing a low variable interest rate, free multiple offset accounts, and instant redraw through Online Banking. You may also enjoy $0 bank fees and repayment holidays for payments that come in advance.

This could be an ideal solution for first-time homebuyers, refinancers, and those prioritising cost-effectiveness.

No Frills Home Loan

Our No Frills Home Loan offers the lowest variable interest rate with the flexibility of choosing between weekly, fortnightly, or monthly repayments. You’ll also enjoy zero bank fees and penalty-free extra repayments. helping contribute to potential long-term savings. Additionally, this loan offers instant redraw through Online Banking.

Customers may also be able to split this loan with a Fixed Rate Home Loan, providing a balance between interest rate stability and flexibility.

Fixed Rate Home Loan

With a fixed interest rate between 1-5 years, our fixed home loan offers stable repayments with $0 bank fees, a rate guarantee for 90 days, and an option to split your loan between fixed and variable rates. You may also enjoy the freedom of making extra repayments of up to $10,000 annually.

This a flexible loan catering to diverse needs, making it a popular choice backed by over 60 years of customer-focused banking.

Achieve your homeowner goals with Qudos Bank

If you’re looking to refinance your home loan, consider one of the many flexible variable home loan rates we have on offer. Get in touch today to learn more about how our products could help you meet your home needs while ensuring the best option for your financial situation.



  1. Savings.com.au. 2023. “Aussies refinancing home loans in droves: Up 14% in FY23”. https://www.savings.com.au/news/refinancing-home-loans-fy23

  2. Finder.com.au. 2023. “The 6 questions you should consider before refinancing your home loan in 2023”. https://www.finder.com.au/questions-consider-before-refinancing-2023

As the information on this page is of a general nature and has been prepared without considering your objectives, financial situation or needs, before acting on the information, consider its appropriateness to your circumstances.

Normal lending criteria, terms and conditions and fees and charges apply. Mortgage insurance is required for home loans over 80% and is subject to approval.

The Target Market Determination for the Low Cost Home Loan, No Frills Home Loan & Fixed Rate Home Loan can be found at https://www.qudosbank.com.au/support/legal/target-market-determinations/

Qudos Mutual Limited trading as Qudos Bank ABN 53 087 650 557 AFSL/Australian Credit Licence 238 305

 Published February 2024