Your number one choice for refinancing in Newcastle
Paying more than 3% on your home loan? Get a better rate
Your number one choice for refinancing in Newcastle
When looking to refinance it is important to identify what your goals are so your new loan can suit your needs. Whether it is potentially reducing you monthly repayment, paying your loan off sooner, redrawing cash to purchase a new property or invest in shares, or consolidating debt, we can find a loan that benefits your circumstances. With many lenders and options available on the market, we understand that it can be difficult to determine if you’re getting a competitive rate for your new home.
We’re here to tell you if you’re paying more than 3% on your home loan, you can potentially get a more competitive rate by refinancing.
That’s where we come in. At Watson Mortgages, we help find you a competitive home refinance rate in Newcastle, the Central Coast, or the Hunter Region.
Contact us for more information or book an appointment with our Newcastle mortgage brokers today. We’ll help you refinance your home loan and achieve your goals.
We help homeowners achieve their goals. Our mortgage brokers can find a competitive interest rate for your refinance — with more than 20 lenders to choose from and close partnerships with local financial planners, lawyers, and bankers, we will find a loan to suit your needs.
Refinance your home to buy an investment property
If you have owned your home for a while, chances are you have built up some equity in your home either through being ahead on repayment or from property value increases. You could potentially be sitting on a sizeable sum of money which you could use to purchase an investment property.
Benefits of refinancing to invest are:
- Helps you get a foot in the door of the investment property ladder
- Save you time, you do not have to “save” a deposit
- Potentially access a lower interest rate through refinancing. If you home loan is more than a few years old, chances are a more competitive rate is available.
- Diversifying your investments, by having a range of investments with potentially a mix of property and/ shares.
Risks of refinancing to invest are:
- Market risks – property prices can go up and down. If the property market falls you could be in position where your debt is higher than the value of your properties.
- Fees – consider any fees that may be applicable such as discharge or establishment fees.
- Costs – leasing out a property brings tenants, and they bring risk of damage to your property. There are also all the costs associated with maintaining a rental property such as general maintenance costs, real estate management costs, insurance, and stamp duty.
- Affordability – when refinancing to invest you are increasing your commitment. It is important that you consider your affordability when taking on any new loans.
Our home loan process
- Data Collection
Once you have booked your initial meeting, we will send you a list of things to email through to us prior to your meeting or alternatively bring with you.
- Initial Interview
We get together to discuss your needs and answer any questions you may have.
- Loan Comparison
We review and negotiate competitive finance from our panel of 20 lenders and present you with options.
After you select your lender, we may require further documentation to prepare your application.
- Full Approval
Your lender will prepare you loan agreement and send to us for review.
- Signing Documents
We meet with you to explain the loan offer and sign.
We arrange a settlement date, liaising with your lender.
- Post Settlement
We remain at your service should you have any additional needs in the future – top-ups, fixing, refinancing, additional purchases.
Contact Watson Mortgages for an obligation-free consultation
Here are just a few benefits of choosing Watson Mortgages to refinance in Newcastle:
- We have more than 20 lenders to choose from, meaning we’ll find a flexible home loan to suit your needs.
- We’ll manage the whole process from start to finish. We’ll help find the right loan, communicate with lenders on your behalf, submit documents and secure a loan, then provide ongoing services and support to make the repayment process clear.
- Our services are complimentary and convenient. Our brokers can meet at your location, or we can have a more formal meeting in our office.
- We’ll help you refinance with a competitive interest rate to achieve your goals whether they be to access equity, consolidate debt, or potentially pay your loan off sooner.
- We have the experience and knowledge to provide mortgage and debt consolidation advice, so you will feel supported and on top of things from day one.
Contact the team from Watson Mortgages for an obligation-free consultation today. We’re committed to achieving your homeownership goals.
Frequently asked questions
What loan is right for me?
We work with over 20 lenders with hundreds of products, so we are confident we can find a refinance to suit your needs. We will discuss with you if you would like features such as re-draw, offset, fixed, interest only, principal and interest, or combination of the above. Depending on your answers we will match you with a lender and home loan product that helps you achieve your goals of refinancing.
How much can I borrow?
It depends on a range of factors such as your income, expenses, house valuation, and loan value. The first step is to book a consultation with the team from Watson Mortgages — we can flesh out the details and determine how much you can borrow and a lender to suit your refinancing needs.
What reasons can I cash out refinance?
Lenders will often place restrictions of cash out refinances to protect their interests and protect the buyer from making poor financial decisions. Banks often want evidence that the cash has been used for its intended purpose. Reasons that banks will often approve of for refinancing are:
- Investing in property
- Investing in shares
- Debt consolidation
What information will I need to provide?
In preparation for your meeting with our mortgage broker we ask that you have ready the following information.
Identification – You will need to provide 100 points of ID. The most common forms of ID are:
Drivers Licence, Photo Card (NSW), Passport, Medicare, Birth Certificated, Proof of Citizenship (if applicable)
NB – if you have been married and changed your name or have been through a divorce that has led to a name change, we will require documents that show the trail of name changes.
Proof of Income – To determine your affordability, lenders request you provide all that apply to your circumstances:
- PAYG income earner- Your most recent 3 payslips showing 3 months earnings
- Self Employed – ATO Notice of Assessment (within the last 18mths)
- Government Income (Centrelink) – Statement from Centrelink showing FTB, Disability Pension etc.
- Child Support Income -Statement form Child Support or if a private arrangement statements showing income paid into your account
Assets – A list of the assets that you hold and may require conformation of this at a later stage (managed funds, shares, investment property).
Bank Statements – please provide:
- Existing home/investment loans – 6 months of statements
- Credit cards/ interest Free debts – 3 months of statements
- Savings accounts – 6 months of statements
- Personal or car loans – 3 months of statements
To help streamline this process we will send you an invite to use CashDeck. CashDeck is an online platform which links to your bank allowing you to electronically send us copies of your bank statements.
Superannuation – copy of your most recent superannuation fund. If you have multiple funds, please provide statements for all funds.
If you cannot find a statement, please obtain approximate account balance, membership number, fund provider or risk profile.
Insurance – Some lenders require evidence of insurance. If you have any of the following, please provide policy statements.
- Home and contents insurance
- Investment property insurance
- Income protection
- Life insurance
- Total and permanent disablement cover
- Trauma cover
Liabilities – Any other expenses you may have such as child support.
Anything else you feel may be relevant.
What will the interest rate be?
Again, it depends on the lender and the type of home loan you go with depending on whether it is fixed, interest only, or principal and interest. With Watson Mortgages, our brokers will find loan options to help you achieve your home ownership goals. We will provide recommendations and advice, highlight the pros and cons of each loan, and guide you towards the option for which suits your circumstances.
How much debt can I consolidate?
When you refinance you can do so to consolidate your debts. What determines how much debt you can consolidate is determined by a combination of the equity in your home, your income, and expenses. If you want to refinance your home loan to consolidate debt, first step is to get in contact with out team at Watson Mortgages and we can discuss your circumstances.
Can I access equity in my home?
When you refinance you can access the equity in our home. This could be used to repair or renovate your home, or potentially purchase another property. Refinancing gives you the ability to access the equity that has built up in your home since purchase.
What is home equity?
Equity is the portion of your property’s value that you own outright. You can calculate your home equity by misusing your mortgage from the value of your home. For example, you house is worth $800,000 – $300,000 (mortgage) = $500,000 equity. The equity in your home increases as the value of you home increases assuming the loan value doesn’t increase.
How much cash can I get by refinancing?
The amount you can access depends on your circumstance. It depends on the equity in your home. Lenders will generally let you borrow up to 80% of your property’s value, so if your LVR is more than 80% you may not be eligible for a refinance.