5 Signs It’s Time to Review Your Home Loan

By Bradley Burns, Founder & Principal Broker · Updated 10 September 2026

You do not need to wait until your mortgage feels expensive to review it. A useful review checks whether the loan still fits your household, then compares the cost of keeping it, changing it with your existing lender or refinancing elsewhere.

1. Your household budget has changed

A new job, parental leave or rising household expenses can change the repayment you feel comfortable making. Bring an updated budget and explain what has changed. A lower repayment may help with cash flow, but check whether it comes from a lower rate or a longer repayment term.

If payments are already difficult, contact your lender’s hardship team early. Our hardship support information explains where to find help while you consider your options.

2. Your fixed rate is approaching its end

Ask your lender for the expiry date, the rate that will apply afterwards and the expected repayment. Put that payment into your household budget before it starts. If you are comparing an earlier switch, obtain a dated break-cost quote; do not assume the cost is small because the fixed period is nearly over.

3. You are planning a renovation or another expense

Write down what the project includes, your budget and a contingency before discussing additional borrowing. Then ask to see two comparisons: refinancing your existing balance, and refinancing with the additional funds. This shows the cost of the new spending separately.

An online property estimate is not a lender valuation. Equity also does not establish how much you can borrow; the lender still assesses the property, your finances and the proposed loan.

4. Your loan features no longer match your habits

An offset with little money in it may deliver limited value if you pay extra to have it. Conversely, a larger ongoing savings balance may make an offset worth comparing. Look at how you used the loan over several months, including extra repayments and withdrawals. Our offset and redraw guide explains the differences to check.

5. You cannot remember the last comparison

Find a recent statement showing your balance, rate, repayment and remaining term. Add package fees and any loan splits. Ask your current lender what it can offer before deciding to move, and compare that response with suitable alternatives. ASIC Moneysmart’s switching guide covers negotiation, fees, lenders mortgage insurance and loan terms.

Give the review a clear decision rule

Use the same balance and remaining term, then include discharge, application, valuation, registration and any break costs or lenders mortgage insurance that apply. Ask how long it would take the estimated saving to recover those costs, and whether you expect to keep the loan that long.

A refinance from 22 years remaining to a fresh 30-year term needs particular care: the repayment may fall while the debt lasts eight years longer. Compare total interest as well as the monthly payment. Our refinance calculator gives an initial estimate, and the refinancing service guide includes a break-even example.

If you proceed, make a transfer checklist for salary payments, direct debits, offset funds and old facilities. Check the final loan offer against the comparison before signing, then confirm the new accounts and repayments after settlement.