Two-thirds of Borrowers May Save By Refinancing: New Data Shows

Plenty of Australian homeowners are holding out for rate cuts from the Reserve Bank of Australia (RBA). But if you want relief sooner, refinancing could help you reduce your rate now. The catch? Many borrowers are staying loyal to older loans that might be draining their wallets.

When it comes to the RBA, nothing is set in stone until their board wraps up its meetings.

We saw this in July. Many experts were sure a rate cut was on the cards. Instead, the RBA left rates on hold, pointing to ongoing economic uncertainty.

But that did not stop tens of thousands of homeowners from grabbing their rate cut by refinancing.

Refinancing on the rise in 2025

Fresh numbers from property settlement group PEXA show refinancing activity has bounced back. Volumes climbed 12.5% over the year to March 2025 as borrowers hunted for better deals.

That surge saw thousands of homeowners secure lower rates. According to the Australian Bureau of Statistics, more than 65,000 home loans were refinanced in the first quarter of 2025 alone.

Yet plenty of borrowers are still sitting tight.

A survey by Compare the Market revealed that 65% of people who have had the same home loan for over three years have not refinanced.

That is a worry, because the loan that suited you years ago may no longer be your best choice today.

Why consider switching?

As this month’s RBA decision reminded us, there are no promises of rate cuts on the horizon.

It can pay to be proactive. Checking in on your options can help you stay ahead.

This is even more relevant if you have had the same loan for years. The mortgage market has been shifting.

Mozo reports that while some lenders have introduced their rate cuts, others are staying put. A growing number are even offering fixed-rate deals starting with a ‘4’. That is something we have not seen in a while.

Is refinancing the right move for you?

Loyalty is an admirable trait in many parts of life. But when it comes to home loans, it could mean you are paying more than you should.

Sticking with an old loan might leave you with a higher interest rate or outdated features.

If you have not reviewed your loan in years, now is a good time to see if it still meets your needs. If it does not, there are plenty of alternatives that might.

See How Osinski Finance Can Help You Review Your Loan

Our team at Osinski Finance makes refinancing straightforward. We specialise in refinancing your home loan and home loans tailored to your needs. We can compare lenders, explain your options in clear language, and help you lock in a rate that suits you.

Don’t keep paying more than you need to. Message us today to see how we can help you save.

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