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Not everyone is in the same situation when it comes to their mortgage. Refinancing isn’t a one-size-fits-all decision but there are some common situations where the case for reviewing your loan is especially strong.

In 2025, a record 640,137 Australians refinanced their home loans up 20% on the previous year. They weren’t all doing it for the same reasons. Let’s look at the three scenarios where refinancing tends to make the most meaningful difference.

Scenario One: You Took Out Your Loan Between 2022 and 2024

This is probably the most common situation worth looking at right now.

Between 2022 and late 2024, the RBA raised interest rates repeatedly, pushing the cash rate to 4.35% the highest it had been in 13 years. Many borrowers locked in during that period either at variable rates that were rising, or at fixed rates that now look expensive compared to today’s market.

The cash rate has since come down to 3.85%, with average variable rates for owner-occupiers sitting around 5.5% as of late 2025 according to RBA data. If your loan was written during the higher-rate period and hasn’t been reviewed, the gap between what you’re paying and what’s available today could be significant.

The question to ask: when did you last compare your rate against the current market? If the honest answer is “I’m not sure” or “not recently,” that’s the starting point.

Scenario Two: Your Property Has Grown in Value Since You Bought It

Australian dwelling values rose an estimated 8.6% through 2025. For many homeowners, particularly those who bought three or more years ago, that growth has quietly improved their equity position. And better equity means better options.

Lenders use your Loan-to-Value Ratio (LVR) (your outstanding loan as a percentage of your property’s current value) to price your loan. The lower the LVR, the less risk the lender carries, and typically the better the rate they’ll offer.

Here’s how it plays out in practice. Imagine you bought a property for $600,000 with an 80% LVR meaning a $480,000 loan. If that property has grown to $700,000, your LVR on the remaining balance could now be well below 70%. That improved LVR is a genuine negotiating advantage and most people don’t think to use it.

Average owner-occupier refinancers currently hold over 50% equity in their property, according to Money.com.au research. Many of them discovered that equity through a simple valuation they hadn’t thought to request before.

Scenario Three: Your Life Situation Has Changed Since You Got Your Loan

A mortgage isn’t just about the interest rate. It’s a structure that needs to fit your life — and lives change.

Think about the following situations:

• You’ve moved from a single income to dual income (or vice versa)
• You’ve started or are planning to start a family
• You’re thinking about purchasing an investment property
• You’ve built up credit card or personal loan debt you’d like to consolidate
• You want to start a renovation and need to access your equity
• You’d like to pay your loan off faster and need a structure that supports that

In each of these cases, your loan structure, not just your rate, might need to change. Refinancing can be the mechanism for resetting that structure to something that fits where you are now, not where you were when you first signed up.

What to Do Next

If one of these three scenarios sounds like your situation, the practical next step is to understand what’s actually available to you. An Oxygen broker can give you a genuine market comparison (not just one lender’s view) and help you work out whether the numbers stack up.

More than 75% of all new home loans in Australia are now arranged through a mortgage broker, according to the Mortgage & Finance Association of Australia. For refinancing specifically, around 63% of people who switch do so with a different lender — meaning the market, not just your existing bank, is where the options are.

Oxygen Home Loans has put together a practical guide to the refinancing process — covering what to look at, what to watch out for, and how to assess whether it’s the right move for your circumstances. It’s written clearly, without the jargon.

👉 Download our free Refinance Guide → oxygen.com.au  |  Call: 1300 855 699  | 

Call Oxygen Home Loans: 1300 855 699

⚠ Disclaimer: This information is general in nature. Please seek independent financial advice suited to your personal circumstances

Let’s be straight with each other about something.

When rates were rising quickly in 2022 and 2023, staying put sometimes made sense. You were watching where things would land before making a move. That’s understandable.

But it’s 2026 now. The RBA cut rates multiple times through 2025. The cash rate which peaked at 4.35% in late 2024, a 13-year high and now sits at 3.85%, and most major forecasters expect further movement through the year.

Continuing to “wait and see” at this point? That’s not caution. That’s inertia. And inertia is costing a lot of Australians real money.

This Is All Kinds of Wrong: The Myths Keeping People From Refinancing

Myth 1: “My bank would have told me if I qualified for a better rate”

Your bank may be a good institution, but it is not in the business of proactively reducing your interest rate. Lenders compete for new customers. Existing customers tend to stay unless they decide to leave. This is a well-established pattern in Australian banking and it’s one reason the government and regulators have long encouraged comparison shopping.

Myth 2: “Refinancing is too complicated and not worth the hassle”

It’s not OK to let complexity be the reason you don’t review your biggest financial commitment. In practice, when you use a mortgage broker, most of the complexity is handled for you. A good broker manages the comparison, the application, the communication with the new lender, and the settlement process.

The paperwork involved is genuinely manageable. The time investment is typically a few hours over several weeks not months of your life.

Myth 3: “I probably don’t have enough equity to make it worthwhile”

Well, you can see how rising property values change this calculation. Australian dwelling values rose an estimated 8.6% through 2025. If you’ve owned your home for a few years, your equity position may be considerably better than you realise.

The key threshold most lenders use is 20% equity (an LVR of 80%). Below that, Lenders Mortgage Insurance can become a consideration. Above it, you’re in a stronger negotiating position and often eligible for materially lower rates.

What Does Actually Work: The Honest Checklist

If you’re genuinely thinking about whether to refinance, these are the things worth checking — honestly, in order:

• Do you know your current interest rate? Around 8% of borrowers admit they don’t, according to Money.com.au research. That’s the starting point.
• How long have you had your loan? If you’re planning to extend the term back to 30 years, make sure the savings still stack up after accounting for that.
• What are your current fees? Refinancing typically involves a discharge fee of $350–$500 plus application fees at your new lender. These costs are real — they need to factor into your break-even calculation.
• What does your property’s current value look like? An informal market check or a formal valuation can tell you your LVR which drives the rates you’ll qualify for.
• What’s available in the market right now? This is where a broker genuinely earns their place. The difference between the best and worst rates in the market for a given borrower profile can be significant.

A Note on Perth and Western Australia

For WA homeowners specifically, the picture is particularly worth reviewing. Perth property values have been among the strongest performers nationally over the past two years. That means many Perth homeowners have seen their equity positions improve meaningfully which can directly improve the rates available to them.

Whether you’re in Perth, regional WA, or anywhere else in Australia, the starting point is the same: know your numbers, then see what the market offers. Oxygen Home Loans works with borrowers across Western Australia and nationally.

We’ve put together an honest, practical guide to refinancing that walks through exactly what to look at — including the costs, the timeline, and what questions to ask a broker before you start. No jargon, no fluff.

👉 Download our free Refinance Guide → oxygen.com.au  |  Call: 1300 855 699  |  Call Oxygen Home Loans: 1300 855 699

⚠ Disclaimer: This information is general in nature. Please seek independent financial advice suited to your personal circumstances.

Every few years, something shifts in the Australian mortgage market that changes the calculation for homeowners. Right now, we’re in one of those moments.

In 2025, a record 640,137 Australian mortgages were refinanced a 20% jump from the previous year, according to the ABS. For the first time in Australia’s history, refinancing activity actually exceeded new home lending: 618,966 refinances compared to 537,326 new loans in the year to September 2025.

That’s not a coincidence or a blip. It’s the result of a specific set of conditions that are making it more worthwhile than ever for Australian homeowners to review their existing loans.

But here’s the part that gets overlooked: the majority of people who could benefit from refinancing haven’t done it yet. Understanding why the market shifted — and what that means specifically for your situation — is the real starting point.

The Rate Environment That Changed Everything

After the RBA cash rate peaked at 4.35% in late 2024 a 13-year high the central bank began cutting rates through 2025. The cash rate now sits at 3.85%, with major banks forecasting it could fall further. Average variable rates for owner-occupiers have come down accordingly, sitting around 5.5% as of late 2025 according to RBA data.

For anyone who took out a loan during the rate-hiking cycle of 2022–2024, this matters a great deal. The loan terms that made sense when rates were rising may now be significantly less competitive than what’s available today.

This is what’s driving the surge in refinancing not a sudden shift in people’s priorities, but a gap opening up between what existing borrowers are paying and what new borrowers can access.

What’s Actually at Stake — in Real Numbers

The average refinancing home loan in Australia is now $542,856, according to ABS data from September 2025. On a loan of that size, even a modest rate improvement can translate to meaningful savings over time.

To illustrate the kind of difference involved: refinancing from 5.90% to 5.40% on a $600,000 loan over a 30-year term could save approximately $296 per month. Individual outcomes will vary based on your loan size, remaining term, and the specific rates available to you.

The break-even point (the point at which your refinancing costs are recovered by the savings) typically arrives within 6 to 12 months. After that, the savings are ongoing.

The Equity Advantage Most Homeowners Don’t Realise They Have

Here’s something that surprises many people: the average owner-occupier refinancing in Australia currently holds over 50% equity in their property, according to Money.com.au research.

Australian dwelling values rose an estimated 8.6% through 2025. If you’ve owned your home for several years and haven’t had a formal valuation recently, there’s a reasonable chance your equity position is better than you think.

This matters because lenders use your Loan-to-Value Ratio (LVR) (the size of your loan as a percentage of your property’s current value) to determine your interest rate. A lower LVR typically qualifies you for sharper pricing. A property that’s grown in value since you bought it may open the door to rates you wouldn’t have been eligible for previously.

Why Working With an Oxygen Broker Changes the Picture

When you approach your own bank about refinancing, you’re seeing one set of options. When you work with an Oxygen mortgage broker, you’re accessing a panel of lenders. Around 63% of people who refinance do so with a different lender because that’s often where the most competitive deals are found.

A broker’s role is to assess your situation, compare what’s genuinely available across the market, and guide you through the process. They handle the comparison work, the applications, and the coordination so you don’t have to manage it all yourself.

If the numbers in this article have made you curious about where you stand, our refinance guide is a good next step. It walks through the key factors to review, the costs involved, and how to know whether the timing is right for your circumstances.

👉 Download our free Refinance Guide → oxygen.com.au  |  Call Oxygen Home Loans: 1300 855 699

⚠ Disclaimer: This information is general in nature. Please seek independent financial advice suited to your personal circumstances.

At Oxygen Home Loans our brokers talk to a lot of Australians about their home loans. And one of the most common things we hear (almost word for word ) is this: “I haven’t really looked at my mortgage in years. I assume the bank would tell me if a better deal came along.”

It’s a completely understandable assumption. And it’s almost always wrong.

Here’s the reality: over 640,000 Australians refinanced their home loans in 2025, a record number, up 20% on the previous year according to the Australian Bureau of Statistics. That’s more than 1,700 people every single day deciding their current loan wasn’t good enough anymore.

The market didn’t change for them overnight. Their banks didn’t send a letter. They went looking and they found something better.

What “Loyalty” Actually Costs You

We all know that banks compete hard to attract new customers. What gets talked about less is what happens once you’re already their customer. The introductory rates and sharp discounts tend to go to people switching lenders — not to those who’ve been paying quietly for five or ten years.

Right now, the RBA cash rate sits at 3.85% down from a 13-year high of 4.35% in late 2024. Average variable rates for new borrowers are around 5.5% as of late 2025, according to RBA data. If your loan was written in 2022 or 2023 and hasn’t been reviewed, there’s a real chance you’re paying significantly more than that.

I want to be clear: your outcome will depend on your own situation. But the question worth asking is simple do you actually know what rate you’re on right now?

What Refinancing Can Actually Do For You

When people hear “refinancing,” they often think it means a stack of paperwork and months of hassle. That’s not the experience most borrowers have today especially when they work with an Oxygen broker who handles the heavy lifting.

Refinancing is worth considering if you want to:

• Reduce your monthly repayments by accessing a sharper interest rate
• Switch from a variable rate to a fixed rate (or the reverse) depending on where you think rates are heading
• Consolidate other debts — like car loans or credit cards — into your mortgage at a lower overall rate
• Access equity built up in your home for renovations or investment
• Get better loan features, like an offset account or a redraw facility, that your current lender doesn’t offer

These aren’t abstract possibilities. They’re the actual reasons that drove Australia’s record refinancing numbers in 2025.

The Part Most People Miss

Here’s something worth understanding about how refinancing works in practice: more than 75% of all new home loans in Australia are now arranged through a mortgage broker, according to the Mortgage & Finance Association of Australia. Brokers have access to a panel of lenders, not just one bank, which means they can genuinely compare options across the market on your behalf.

A broker’s job is to work for you, not for the bank. That’s a meaningful difference, and it’s one reason so many Australians now choose to use one.

So… Is Your Loan Still Working For You?

If you haven’t reviewed your mortgage in the last 12 to 18 months, there’s a genuine chance you’re paying more than you need to. The only way to know for sure is to take a look.

We’ve put together a straightforward guide to help you understand the refinancing process — what to check, what questions to ask, and how to know when it’s worth making a move. It’s written for everyday Australians, not finance experts.

👉 Download our free Refinance Guide → oxygen.com.au  |  Call Oxygen Home Loans: 1300 855 699

⚠ Disclaimer: This information is general in nature. Please seek independent financial advice suited to your personal circumstances.

Did you know that over 50% of mortgage holders never check if their offset account is correctly linked to their home loan? This simple mistake could cost you thousands of dollars in unnecessary interest every year.

What Is an Offset Account and Why Does It Matter?

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An offset account is a powerful tool to reduce the interest you pay on your home loan. It works by offsetting the balance in your account against your mortgage. For example:

• Home loan: $460,000
• Offset account: $50,000
• Interest charged on: $410,000 (not $460,000)

But here’s the catch: if your offset account isn’t linked properly, that $50,000 does nothing. You’ll pay interest on the full loan amount. At an interest rate of 6%, that mistake could cost you $3,000 every year.

Disaster if they aren’t linked…

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But if the offset account isn’t linked correctly, that $50,000 does nothing—and the borrower pays interest on the full loan amount. At an interest rate of 6%, that mistake could cost $3,000 per year.

Why would this happen…

• Lenders fail to link the offset account correctly during setup.
• Borrowers assume it’s automatic and never check.
• Changes to accounts or loan structures can break the link.

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How to Check If Your Offset Account Is Linked Correctly

1. Log in to your online banking and check your loan details.
2. Confirm with your lender that your offset account is linked to your home loan.
3. Review after any changes to your accounts or loan structure.
4. It only takes a few minutes—and could save you thousands.

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The Bottom Line
Offset mis-linking is a silent cost for homeowners. A quick check today can protect your savings and help you pay off your mortgage faster..

✅ Need Help? Contact Your Local Oxygen Broker Today

Don’t leave money on the table. Your local Oxygen Home Loans broker can review your offset account setup, ensure everything is linked correctly, and help you maximise your savings.

Click here to find your nearest Oxygen broker and book a free Offset Health Check today!

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