Refinancing is basically when you get a replacement for your existing mortgage with one that offers better interest rates or other features. In the economic world, everything is dynamic. With every hike in the Reserve Bank of Australia’s cash rates, many Australian homeowners rush to mortgage lending institutions to refinance their home loans.
Furthermore, here are some documents that you’ll likely need to refinance your mortgage:
Proof of Income
Any lender offering you a mortgage loan requires proof that you will be able to make regular payments. When you seek out lenders to refinance your mortgage, they also require proof of income. Here is a list of documents you can give if you want help with refinancing your mortgage.
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Recent Payslips
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Most Recent Group Certificate
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Tax Assessment Notice
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Employer’s Letter Confirming the Salary
Furthermore, if you are a self-employed individual, you will need to provide two years of your business and personal tax returns and the ATO’s (Australian Taxation Office) assessments as proof of income.
Details of Existing Loans and Expenses
In addition to your proof of income, the lenders also require you to furnish documents outlining the last six months of existing home loans and any other debts. Most lenders also ask for the most recent credit card statement, if any. Not falling behind on the repayments of any of your EMIs or credit cards helps you acquire refinancing.
Necessary Personal Information
Mortgage lenders require proof of ID like a driver's licence, passport, or birth certificate. Medicare cards, credit or debit cards, or concession cards are used sometimes when the other ID cards are unavailable. Furthermore, you are also required to submit personal information like your current address and date of birth.
List of Current Assets
Lenders need to access your entire financial standing, which is why you are typically required to provide a list of your current assets. This includes but is not limited to cash and savings, high-end jewellery and art, vehicles, shares, and so on.
It’s always important to keep an eye on the happenings in the financial world. You might be missing out on an opportunity to save your hard-earned money as you read this article. It’s not just mortgage refinancing; when you delve into the world of mortgages, there are plenty of ways to save money.
If you own a home or want to buy one, you should talk to a trustworthy Melbourne mortgage home loan broker. They review your financial situation and the options available to you in the market to ensure you get the best deal.
Call Oz Lend Melbourne home loan brokers at 1300 438 669 today to find out if it's time to refinance your home loan.
