Early refinancing exercise - worth the change

Hi Everyone - is it worth while paying a discharge fee to re finance with a different lender
after the discharge and transfer fees there would still be about $5k p/a savings in interest.
Financially switching sounds like a good move, however iam not sure if there are other issues that should be considered. Would love to hear from the more experienced on this ?
Thanks in advance

 

I’d approach your existing lender and your broker/banker first and see if they can discount the rate.
$5k a year sounds like a good saving, but it’s important to consider lots of other factors as well. Lender policy, valuations etc etc.

 

Its more about the interest rate savings
Think loan term extension, cash flow, ability to split loans for debt recycling, accessing equity, valuations etc etc.

 

Other benefit would be on Reval of existing security with potentially accessing further equity as well.
So signss like the exercise would be worth the Paperwork?

 

Saving 5k p.a but having to pay a discharge fee (around 350) sounds like a good deal.

If refinancing for better rate/cost, then it’s a good overall outcome. May be worth seeing what your existing lender will do first.