Home Loan Refinancing Timeline

Refinancing is the process of trading in the terms of your current home loan for a new loan with a different interest rate and term. It can be surprisingly easy.

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Home Loan Refinancing Timeline

When you refinance, you trade in the terms of your current home loan for a new loan with a different interest rate and term. It may seem like a hassle, but it can be surprisingly easy. An My LMI Group broker can help.

It is important to remember that when you’re refinancing your home loan, there’s no one-size-fits-all solution. It’s a matter of finding the home loan that meets your particular needs now and in the future – both personally and financially.

Understanding the refinancing process and how long you can expect it to take can make the whole journey less stressful.

The refinance process can be summarized in five key steps.:

Your My LMI Group representative will take the time to get a clear picture of your financial needs, including your income, assets, liabilities, and expenses. With this information in mind, they’ll provide options and recommendations tailored to your situation.

If you choose to refinance, the application process works much like the process for applying for a mortgage. In some cases, your home may need to be re-valued. Your broker will confirm whether this is required and then prepare all the paperwork. Once signed, your broker will submit it to the lender.

Once you’ve been approved for your new loan, your broker and new lender can notify your current lender that you’d like to pay off—or discharge—the existing loan.

When your current lender is aware of the exact date of your settlement, he or she will calculate the final payout figure for you. Your broker will keep you abreast of developments throughout the process, managing it on your behalf.

Once you have transferred the funds, your new lender will pay out your old loan. You will then receive documentation for your new loan and begin making repayments on your new loan.

The entire refinancing process can take anywhere from a couple of days to just over a month depending on the complexity of your loan. In most cases, you will have your new loan within two months of beginning the process, but it can take longer depending on how long it takes to receive all necessary documentation, verify all information, and complete required processes.

The appraisal of your property is a necessary step in the refinancing process.

When you refinance, your new lender will likely want to value your home. A property valuation determines the amount of money a lender is willing to lend you. Some lenders may charge you a fee for this service. Your broker should factor this into the numbers to be sure that refinancing is right for you.

If you’re thinking about refinancing your home loan, or it’s been over a year since you got your home loan, book a free appointment with a My LMI Group broker to review your options.

Refinancing is not as difficult as it may seem, especially when one works with a qualified broker. A My LMI Group broker can manage the process for you and could end up saving you thousands now or in the long run.