One of the most frequently asked questions we get asked at MediPro Captial Finance is ‘Can you switch mortgage lenders once you have a home loan?’ If you have a home loan and are thinking about whether you could be saving more money with a different lender, we’re here to show you that it is absolutely possible to save money by switching providers. MediPro can help you make the move, saving you time and money in the process.
Read on to find out why we always answer with an astounding yes when asked ‘Can you switch mortgage lenders once you have a home loan?’ and to learn more about how you could save money by switching home loan providers. Get in touch and call us today on 1300 DR LOAN (that’s 1300 375 626) to get started.
Can You Switch Mortgage Lenders & Why You Should Consider Switching
In today’s world of banking and finance, there are literally thousands of banking and finance choices available to you. With this in mind, there is a very high chance that a banking provider is going to be able to offer you a better rate than your current provider, especially when you consider the advantage of interest payments to the new provider.
A bank stands to make a lot of money from your home loan, so it is in their best interests to make the conditions as favourable as possible for you. If you are currently on a high rate, or you think you can get a better rate with a different provider, then you should at least consider refinancing.
Top tip: if the only thing stopping you from changing providers is the hassle, MediPro can take care of the entire process for you. Why should you be paying more than you need to for your home loan if it’s not necessary?
It’s easier than you think to switch home loans
While the actual process of switching home loans is pretty simple, many people are scared by the risk of paying penalty fees. We agree – fees aren’t great. But if you think about the potential of saving thousands of dollars, the cost of the fees can be outweighed with the right interest rates.
Top tip: Why not try renegotiating with your current bank first? Let them know you are thinking of taking your business elsewhere and see what they can come back to you with!
How much money could you reasonably expect to save?
When looking at your home loan interest rate, you can find a difference of up to 2.3% – which means that if you are currently at a rate of say 4.49% and you secure a loan that was just 1% lower, you could save around $280 per month on a $500,000 loan.
If you look at that per year, that’s an annual saving of $3,360. Depending on what your fees are for leaving your old lender, this amount might easily do away with the fees and make it worth your while.
The steps to take: changing your home loan provider
If you have looked around at different interest rates and decided that you could benefit from a lower rate, then It’s worth giving us a call to find out about how we can help (reach us on 1300 375 626). If you have some equity in your home (around 20% or more), then you may be able to secure an attractive rate.
Of course, if you are a doctor or medico, you will be able to access attractive rates no matter what thanks to the security of your profession. This is because banks and lenders view you as a ‘low risk’ borrower, which means you are likely to make repayments on time and won’t default on your loan.
- Call your bank and find out whether they are willing to go lower on your current interest rate. If not, it might be time to vote with your feet.
- Find out what rates are available and contact some banks to find out what they can offer you in terms of benefits and waived fees.
- Once you have chosen a new lender, let them know you want to transfer your loan to them. They will take care of most of the paperwork for you.
- Ensure you know the length of your new loan, and that you are locked-in to an interest rate that works for you.
- Save money!
Top tip: take advantage of your status as a doctor! You can access great rates on home loans with the added benefit of not having to pay lenders mortgage insurance in some cases.
Alternatively, you can make one phone call to MediPro to get it sorted. We can look at the different rates out there and advise you whether the move to a new lender will be in your best interests. Then, we’ll take care of the whole process for you.
Want to Learn More?
If you’re looking for mortgages for doctors or want to learn more about ‘can you switch mortgage lenders’, get in touch with the MediPro Capital today! We have worked with professionals just like you who are looking to make the switch to the best rates available. Call us now on 1300 DR LOAN or get in touch with us online to get started.
Updated 17 March 2021